## [How to Maximize USPS Incentives to Lower Direct Mail Campaign Costs in 2025 & Beyond](/insights/how-maximize-usps-incentives-lower-direct-mail-campaign-costs-2025-beyond) ## NEWS & INSIGHTS Marketing Execution Management Local Marketing Direct Mail Automotive Consumer Brands Entertainment, Media & Publishing Financial Services Healthcare Pharmacy Quick Service Restaurants Real Estate Retail Travel & Hospitality How to Maximize USPS Incentives to Lower Direct Mail Campaign Costs in 2025 & Beyond Brad Duncan February 4, 2026 Image ![Stack of mailed envelopes with USPS Forever stamps featuring the Statue of Liberty and the American flag, symbolizing rising postage rates and cost-saving opportunities through USPS incentives.](/sites/default/files/2026-07/Continuum_USPSIncentives_2026_new.jpg) ## Table of contents 1. [Key Takeaways](#toc-5463959) 2. [Why USPS Incentives Matter for Marketers](#toc-5483961) 3. [The Most Valuable USPS Promotions of 2025 & 2026 ](#toc-5493962) 4. [Building a Smarter Mailing Strategy](#toc-5503963) 5. [The Tactile Advantage of Direct Mail](#toc-5513964) 6. [Final Word: Making USPS Incentives Work for You ](#toc-5523965) 7. [FAQs About USPS Promotions](#toc-5533966) #### Key Takeaways - Postage rates increased in July 2025: 10.4% for Marketing Mail and 8.1% for First-Class Mail. - Promotions like Tactile Sensory, Catalog, and Integrated Technology reduce postage by 3–10%. - Only 30% of marketers participate in promotions, leaving major savings untapped. - Research, including recent USPS-commissioned studies, shows direct mail delivers stronger performance than digital when part of an omnichannel strategy. Marketers are facing more than just higher postage rates these days. Shrinking workshare discounts and tighter budgets add to the pressure. USPS promotions help offset these costs by offering discounts that are active now and continue into 2026, though some come with short registration windows that require quick action to influence upcoming mailings. Marketers need to know when each program starts and ends to capture savings now and building a strategy that stays effective into the next year. The steps you take this fall can also set the foundation for a smarter 2026 direct mail strategy. #### Why USPS Incentives Matter for Marketers Postage rates increased again on July 13, 2025. Marketing Mail rose by an average of 10.4%, while First-Class Mail rose by 8.1%. The industry had expected a smaller increase of around 7.3%, so the final adjustment came in higher than anticipated. While the size of the increase was unusual, USPS implemented it as a single mid-year change rather than splitting it into two smaller adjustments as they had in past years. At the same time, familiar workshare discounts such as DNDC and DSCF are shrinking or disappearing. For marketers, this creates a clear challenge: rising costs with fewer built-in breaks. USPS incentives offer one of the few ways to manage postage expenses without cutting campaign volume or scale. Yet only about 30% of mailers take advantage of these programs. Tracking credits and applying for promotions is complex, and bulk processing is now restricted to companies familiar with the USPS platform. Those with the right systems secure savings, while others fall behind. #### The Most Valuable USPS Promotions of 2025 & 2026 Several USPS promotions offer [meaningful savings opportunities](https://postalpro.usps.com/promotions), with some concluding in 2025 and others extending into 2026. It’s important to understand registration windows and requirements so that you can maximize savings — some have short sign-up periods, while others allow more flexibility. ### Calendar Promotions **Catalog Insights** - **Registration began:** August 15, 2025 - **Promotion period:** October 1 – June 30, 2026 - **Details:** Qualifying catalogs can receive up to 10% in savings. You can register anytime after the registration period begins and during the promotion itself. This is not currently a recurring annual promotion so it's critical to leverage this in 2026 if you can. **Integrated Technology Discount** - **Registration opens:** November 15, 2025 - **Promotion period:** You may choose any continuous 6-month window between January 1, 2026 and December 31, 2026. - **Details:** Provides 5% discounts for campaigns that include QR codes, AI-enhanced copy, or mobile shopping features. Because you must pick your own start date, it pays to be tactical about when to launch. **Tactile, Sensory & Interactive (TSI)** - **Registration opens:** October 15, 2025 - **Promotion period:** January 1 – June 30, 2026 - **Details:** A 5% discount for tactile finishes such as embossing, coatings, and foils. ### Incentive Programs **Mail Growth Incentive (MGI)** - **Registration:** March 2026 – May 31,2026 – This is the period to review your historical mail baseline and lock it in with USPS - **Promotion period:** Applies to all eligible growth throughout 2026. - **Details:** Mailers who surpass their year-over-year mail baselines set in the registration period during the promotion period (Jan – Dec 2026) will receive a 30% postage credit for the qualifying volume. This credit can be applied for postage payments in 2027. **Informed Delivery Add-On** - **Registration:** Constantly rolling registration. Added when applying for another promotion. - **Promotion period:** Runs concurrently with the promotion it is paired with. - **Details:** Provides an extra 1% discount plus digital impressions in consumers’ inboxes. Cannot be used on its own. #### Building a Smarter Mailing Strategy [Participation in USPS promotions](https://www.continuummarketing.com/insights/how-cut-usps-costs-direct-mail-insights-2025-national-postal-forum) requires planning and precision. The brands that maximize incentives in 2025 create promotional calendars, build in lead time for USPS approvals, and validate results to ensure postage statements reflect savings. In addition, marketers are investing in stronger data hygiene practices — using tools like NCOALink, ACS, and AI-based parsing — to reduce undeliverable addresses and increase deliverability. Improving address data not only prevents wasted postage but also helps qualify for deeper postal discounts. Beyond data, logistics strategies also play a major role in keeping costs down. Commingling and co‑mailing let brands combine mail streams to cut expenses and speed up delivery. One campaign saved 8.6% - cutting over $265,000 from a $3 million budget. Others are testing walk‑sequencing and density tactics, which unlock additional discounts by aligning with carrier routes. Together, these approaches show that smart planning means more than just signing up for promotions. It is about building a mailing process that keeps rising rates under control and makes them manageable. A proactive approach to next year’s budget helps lock in savings as you prepare upcoming campaigns. #### The Tactile Advantage of Direct Mail Digital fatigue is real. [Research led](https://shop.sloanreview.mit.edu/store/how-direct-mail-delivers-in-the-age-of-digital-marketing) by Dr. Jonathan Zhang and commissioned by USPS confirms that [direct mail delivers stronger performance](https://www.continuummarketing.com/insights/2025-direct-mail-trends-and-strategies-every-marketer-needs-know) than digital alone: - 80% of consumers find physical ads more memorable. - 70% report frustration with digital overload. - Gen Z and Millennials are 25% more likely to purchase after receiving direct mail. - Direct mail campaigns deliver average order values that are 22.9% higher than digital. - Executives who integrate direct mail with digital are 150% more likely to report positive ROI. #### Final Word: Making USPS Incentives Work for You Postage rates are climbing, and marketers need every tool available to stay ahead. USPS incentives have become essential for managing costs. By enrolling in promotions, improving data practices, and integrating direct mail into omnichannel campaigns, marketers can control expenses while strengthening performance. The brands that act now will see lower costs, stronger campaigns, and a competitive advantage in 2025 and beyond. [At Continuum](https://www.continuummarketing.com/contact-us), direct mail execution is never limited to format. We combine strategic execution, data-driven creative, and a vendor-independent production model to reduce costs and maximize performance. Our team helps clients shape messaging and design that resonate with the right audience while ensuring campaigns qualify for USPS incentives and built-in cost savings. Postcards, catalogs, and personalized letters are supported by insights from 200+ direct mail tests each year. We apply behavioral science and psychographic messaging to refine copy, creative, and targeting so campaigns deliver stronger response rates and higher ROI. Continuum also operates under a transparent compensation model — we only succeed when our clients do. By aligning our services with measurable savings and profits, we make direct mail[ a true growth channel](https://www.continuummarketing.com/marketing-execution-management/direct-mail) backed by performance. #### FAQs About USPS Promotions **Why are USPS promotions more important this year?** Because postage rates have increased by 7–10% as of July 2025, incentives are one of the few ways to offset rising costs. **Do I need high volume to qualify?** Not always. Smaller mailers can use commingling and walk-sequencing to share in savings. **Which USPS promotions deliver the biggest savings?** The Mail Growth Incentive (30%) and Catalog Insights (up to 10%) are the largest, but add-ons like Informed Delivery are simple, effective ways to capture extra value. **Are USPS incentives difficult to manage?** They require upfront planning, sample approvals, and validation, but experienced partners make the process straightforward. **Is direct mail still effective in 2025?** Yes. Research shows it delivers higher recall, stronger purchase intent, and better ROI — especially when paired with digital. **Do these promotions carry into 2026?** Yes. While some USPS promotions apply only in 2025, others extend into 2026 or allow you to choose promotion periods that roll into the new year. Taking advantage of them now not only lowers current costs but also positions you for savings in the year ahead. ## [Brad Duncan](/author/brad-duncan) ![Brad Duncan](/sites/default/files/styles/media_library/public/2026-07/brad-duncan_0.png.webp?itok=YGH7ztNt) Brad Duncan ## AUTHOR BIO **Account Director, Continuum Marketing Services** Brad Duncan is an experienced marketing and print professional with over 13 years in graphic communications, procurement, and account leadership. As an Account Director at Continuum, he specializes in executing strategic initiatives that ensure brand consistency and drive operational efficiency. With deep expertise in postal and logistics strategies, Brad helps Continuum clients maximize cost savings and enhance campaign performance. 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