OFFICE COSTS - 13.10.2010

To frank or not to frank?

What are the benefits of franking?

Stamping and mailing by hand can be expensive. Not only do you require someone to stamp the mail, but also the cost of using traditional stamps as opposed to franking machines is much higher. Using franking machines provides your business with complete control over expenditure on mailing costs and removes the potential problem of running out of stamps. By customising your “stamps” you can add advertising slogans, logos or promotional offers onto your envelopes. Not only will this increase your company’s brand awareness, but it can also provide you with another advertising channel. Franked mail is charged at around 25% less than stamped mail and it gives a more professional look to your business.

Save time and money. Because you can re-credit your machine over the phone, you won’t have to worry about running out of stamps. Using a franking machine also means your mailing expenditure is recorded, so tracking your postage costs is easy. You’ll also save at least 5p per item on standard first and second-class rates, and even more when using other services such as Special Delivery.

How do the machines work?

Most modern franking machines are connected via the Internet or phone line so the postal rates are automatically downloaded. This ensures that you pay the correct amount and avoids mail being returned or additional charges being incurred.

Weighty benefits. Franking machines have integrated scales so if your post exceeds normal postage rates, then you’ll know that the correct price is being paid. The machines can either be rented or purchased from approved suppliers and postage is topped up by downloading money onto the machine via a phone/fax line or your network, just like topping up a mobile phone. It can be paid for by direct debit, cheque, BACS or credit card. You can also choose to have your logo and return address printed alongside your postage value if you want to.

Franking licences and products

When you hire or buy a franking machine, Royal Mail will issue you with a licence that authorises you to use it. All franking customers are bound by the Royal Mail Scheme for Franking (2008) and it has the right to withdraw a licence if any part of the scheme is not met. You can use your machine to buy a number of products including: Special Delivery; first and second class; standard parcels and Airmail.

What you’ll save

Mail is up to 27% cheaper if you frank it rather than stamp it. Franking machine users receive a discount on every item of mail sent: save at least 5p on every first class letter; at least 7p on every second class letter; at least 16p on every first class large letter; at least 11p on every second class large letter.