Money Making Reports
CO-OP PRINTING, IS IT WORTH IT?
1990,1991 (C) - By P.F.Skeberdis. All Rights reserved Except Buyers of this report
have full reprint rights for single copies only providing report is not changed in any
way. Your buyers have reprint rights too per terms outlined. You may NOt review, borrow or
quote in any publication.
CO-OP printing, at first, seems to be a worthwhile plan. Just imagine, get your
printing for prices ranging from ZERO to maybe $16.00 per thousand 8 1/2 x 11s. Your ads
on one side... someone elses on the other side.
If you're just mailing a page or two, it may be true BUT, if you're really a mailorder
mailer, and not just playing the mailorder game, you have probably started a maximize your
customer mailings by sending as much as possible in the envelopes you send out.
You can mail about 4 1/2 8.5 x 11 sheets for the 1 ounce rate and over 18 sheets for
the bulk mailing rate. For argument sake, lets say you mail out 4 sheets when you're
sending 1st class 8 sheets when you're send bulk rate (as it becomes difficult to easily
stuff your envelopes when more than 8 or 9 sheets are used unless you have a folding
machine to make clean crisp folds). ALSO, the more common prices for 1-side co-op printing
run between $6 and $16 per 1,000... making $11.00 per thousand an average pricing. The
prices I note from the better mailorder printers for a 2-side 8.5 x 11 run between $20 and
$39 per thousand making $29.50 per thousand an average price for 2-side printed sheets.
Any of a kind of mailing list rents for 3 cents per name and up... however, I calculate it
without a purchased mailing list.
BREAKDOWN OF 1ST CLASS MAILING:
Co-op way with 4 pages of material and 4 pages of someone elses (4 sheets both sides @ $11.00/1,000)
Postage per envelope
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.29
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Mailing list/name
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.03
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Cost of envelope & Misc.
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.02
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Cost of 4 co-op pages
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.044
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(0.011 per page co-op)
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Total price per piece
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.384
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Since you are mailing 4 pages of your material, it costs you .384/4 = .096 per page to deliver to your customer.
If you do your own mailing list by hand it cost .354/4 = .0885 per page delivered.
The full priced way with 8 pages of material ALL YOURS ( 4 sheets both sides).
Postage per envelope
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.29
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Mailing list/name
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.03
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Cost of envelope & Misc.
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.02
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Cost of 4 sheets at
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.118
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0.0295 per sheet full pr)
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Total per piece
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.458
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Since you are mailing 8 pages of your material, it costs you .458/8 = .05725 per page to deliver to your customer
If you do your own mailing list by hand it costs .428/8 = .0535 per page delivered.
Taking my "blurb" from the ads that co-op might not be worth it even if free. The first class mailing of 4 sheets of your material with ZERO cost for the printing would be .34/4 pages or .085 page delivered vs. .458/8 pages = .05725 page if paying for both side printing. A savings of almost 3 cents per page by using both side printing instead of free co-op printing.
BREAKDOWN OF BULK RATE MAILING
Co-op way with 8 pages of material and 8 pages of someone elses (8 sheets both sides @ $11.00/1,000)
Postage per envelope
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.198
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Mailing list/name
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.03
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Cost of envelope & Misc.
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.02
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Cost of 8 co-op pages
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.088
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(.011/ page co-op
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Total per Piece
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.366
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Since you are mailing 8 pages of your material, it costs .366/8 = .041 per page to deliver to your customer.
If you do your own mailing list by hand it costs .306/8 = .03825 per page delivered.
The full priced way with 16 pages of material ALL YOURS (8 sheets both sides)
Postage per envelope
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.198
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Mailing list/name
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.03
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Cost of envelope & Misc.
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.02
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Cost of 8 sheets (at
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.236
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0.0295 / sheet full pr.)
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Total per Piece
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.484
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Since you are mailing 16 pages of your material, it costs .484/16 = .03025 per page to
deliver to your customer.
Using my blurb again...if co-op cost your ZERO the bulk mailing of 8 pages of your
material would cost .248/8 = .031 per page delivered. Yes, this is getting close and is
just a trifle more expensive than the .03025 per page using 8 pages both sides. BUT, it
more or less makes a point.
So we have shown that on first class mailings co-op isn't worth it even if free. On a 8
page bulk mailing we have shown that co-op is just slightly more expensive, EVEN IF
FREE.
To be completely straightforward with you, on larger sized mailing pieces of 9 sheets
of more co-op @ free has a slight price advantage over doubled sided printing. BUT you
normally can't get free co-op printing! In the real world and normal world, it's still
cheaper to mail both sides at regular prices.
Also, when using co-op printing, you have little if any control over the ads on back.
They might possibly be really cruddy ads that you would hate to send out or perhaps in
direct competition with your own.
If you want to read more about varied mailorder information, etc. I suggest sending
P.F. Skeberdis, Box 27, Fremont, MI 49412 $1.00 and request a sample copy of his report
series.
This report will be revised after and when new postage rates are in place.
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