Pricing in Proportion

Pricing in Proportion

Pricing in Proportion is a Royal Mail postal price structure in the United Kingdom introduced on 21 August 2006. It is also used on the Isle of Man by Isle of Man Post, but not on the other island post networks Jersey Post and Guernsey Post. The system has three bands - letter, large letter and packet. The price of mail is based on the size of the item as well as weight. It was started by the Royal Mail to make the pricing of mail reflect what was the actual cost of the postage.

Royal Mail originally claimed that 80% of items would be unaffected by the change which would also be "revenue neutral". This was then revised down to 70% (i.e. 30% cost more or less than before).Fact|date=October 2007

The system

Letter

The size is a piece of mail that has a maximum length of 240 mm "(9.45")",ref|weight a width of 165 mm "(6.50")" and a thickness of 5 mm "(0.20")". Its weight must not go over 100 g "(3.53 oz)". In simple terms, it a letter that is no bigger then an C5 envelope with no more than a few sheets of A4 paper. Examples are most letters, bills and statements.

Large Letter

The size is a piece of mail that has a maximum length of 353 mm "(13.90")", a width of 250 mm "(9.84")" and a thickness of 25 mm "(0.98")". It can weigh up to 750 g "(26.46 oz)". In layman's terms, it is anything smaller than a C4 envelope with about 100 pieces of A4 paper. Example of this are many brochures, catalogues and company reports, some magazines, or DVDs in their boxes.

Packet

Anything bigger then a large letter is classed as a packet, so catalogues like the Argos book or some of the stationery catalogues, VCR tapes, posters in their cardboard tubes and parcels.

Note

# All the imperial measures are up to two decimal places and are just a rough guide. Royal Mail uses metric throughout their postal system.

External links

* [http://www.postoffice.co.uk/portal/rm/content2?catId=400105&mediaId=21100324&campaignid=pipbottomrightpromo A guide to new system]


Wikimedia Foundation. 2010.

Игры ⚽ Поможем решить контрольную работу

Look at other dictionaries:

  • Pricing strategies — for products or services include the following: Contents 1 Competition based pricing 2 Cost plus pricing 3 Creaming or skimming 4 Limit pricin …   Wikipedia

  • pricing — pric‧ing [ˈpraɪsɪŋ] noun [uncountable] 1. COMMERCE the prices of a company s products or services in relation to each other and in relation to those of their competitors, and the activity of setting them: • Aggressive pricing (= cheaper prices… …   Financial and business terms

  • Constant proportion portfolio insurance — (CPPI) is a capital guarantee derivative security that embeds a dynamic trading strategy in order to provide participation to the performance of a certain underlying asset. See also dynamic asset allocation. The intuition behind CPPI was adopted… …   Wikipedia

  • Capital asset pricing model — In finance, the Capital Asset Pricing Model (CAPM) is used to determine a theoretically appropriate required rate of return of an asset, if that asset is to be added to an already well diversified portfolio, given that asset s non diversifiable… …   Wikipedia

  • Cost-plus pricing — is a pricing method used by companies to maximize their profits. The firms accomplish their objective of profit maximization by increasing their production until marginal revenue equals marginal cost, and then charging a price which is determined …   Wikipedia

  • Psychological pricing — Example of psychological pricing at a gas station Psychological pricing or price ending is a marketing practice based on the theory that certain prices have a psychological impact. The retail prices are often expressed as odd prices : a little… …   Wikipedia

  • Royal Mail — Holdings plc Type State Owned Limited company Industry Postal service Founded 1516 …   Wikipedia

  • Pip — may refer to:Noun and namePeople* Pip, any of the backup singers for Gladys Knight in the American R B group Gladys Knight the Pips, active from 1953 to 1989 * Pip, short for Philip Pirrip, the name given by Charles Dickens to the protagonist of… …   Wikipedia

  • Economic Affairs — ▪ 2006 Introduction In 2005 rising U.S. deficits, tight monetary policies, and higher oil prices triggered by hurricane damage in the Gulf of Mexico were moderating influences on the world economy and on U.S. stock markets, but some other… …   Universalium

  • china — /chuy neuh/, n. 1. a translucent ceramic material, biscuit fired at a high temperature, its glaze fired at a low temperature. 2. any porcelain ware. 3. plates, cups, saucers, etc., collectively. 4. figurines made of porcelain or ceramic material …   Universalium

Share the article and excerpts

Direct link
Do a right-click on the link above
and select “Copy Link”