The cost to continue in-house printing exceeds outsourcing to a profesional printing company. Consider the in-house cost of printers, toners, maintenance, stuffing machines, folders, and LABOR and you will find this to exceed $2.00 per piece. here are two actual organizations that changed their bulk mailing process's.
Borough of Kutztown
The Borough produces 6500 utility bills per month. the services for electric, water, sewer,refuse, telecommunicatiosn were aggregated into one bill to reduce the number of mailing cycles and create a more consistent due date and easier payment solution for customers. Once the process was complete to transition into a consolidated bill, this also help manage water leak charges. Quarterly bills were exhorbitant . Considering the time and effort to manulally produce the bills in-house ranged on average, $2.65 per bill. The process to out-source includes reprogramming your system to produce an export data-file which can be sent via the web to a printer capable of accepting a file and creating the bills for printing. The other option, have your software generate image files of the bills, this is less expensive and requires only printing by the printer. The new cost, $1.75 per bill!!! significant savings analyzed over the year.
Additional out-source advantage : You can place an advertisment or message area on your bill similar to a buckslip insert, speaking of which, you have the ability to place an insert into the same mailer as the bill, once again, reducing your mailing cost. The labor time recoverd redirects toward customer service and other areas.
City of Easton
Easton has a service fee of $2.00 per bill to cover mailing expense. The first isssue to tackle was the changing of multiple billing cycles into a single cycle. The City bills 12,000 utility billls per month. Have multiple cycles is labor intensive. To reduce cost, the City moved toward an online payment system and bill persentation system, while launching a GO PAPERLESS initiative. An option was created for customers to opt for paperless and in turn the City reduced its $2.00 service charge to $1.00. The Utility department repurposed two individuals to other positions, We also revmoed all Pitney Bowes equipment and other mailing equipment. The new proces is automated to send a bill file to the printer for online presentation and manuall billing. The City also saved $7,000 by reducing the billing cylces from three to one.
Reducing your process. By outsouring you reduce your process time and in-house labor cost. The new process is simply an execution by your computer application to print bills, then email or upload to your printer. That's it, your done. Reallocate the saved labor time to other more important operations. This is also a lead into online bill presentation because the images created by the printer can also be made available online