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Mailsort 700

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					Mailsort 700
Agenda
    Definition
    Product Specification
    Quality Assurance
    Pricing
    Consolidation
    Customer Benefits
    Royal Mail Support
    Questions




2 Mailsort 700
Definition
• To provide customers with the opportunity to
  benefit from increased workshare discounts by
  providing correctly addressed, sorted,
  machineable mail, bearing a Customer Barcode
  (CBC)




3 Mailsort 700
Product Specification

    Minimum 10,000 items per posting (letters only)
    Sorted to reduced Mailsort selections
    Items to be faced, bundled & bagged
    Maximum bag weight 11kg
    Maximum tray weight 10kg
    Mailsort documentation required




4 Mailsort 700
Product Specification

    Payment channel – PPI, Stamps, and Postage Meter
    Mailsort 700 – 1,2,3 & 3 deferred
        CBC only
    ‘Up front’ Quality Assurance certification:-
        Address Quality
        Mailpiece & Printing
        Sortation




5 Mailsort 700
Product Specification
• CBC Information Build




             (FK77EH1NL)

       Mr R Mead              (FK77EH1NL)
       47 Polmaise Crescent
       Fallin
       STIRLING
       FK7 7EH




6 Mailsort 700
Product Specification
• CBC Information Build Cont:



                              Start
                                    O/W   I/W
                               Bar
             (FK77EH1NL)

       Mr R Mead               (FK77EH
       47 Polmaise Crescent
       Fallin
       STIRLING
       FK7 7EH                 ( F K 7 7 E H



7 Mailsort 700
Product Specification

• CBC Information Build Cont:



                              Start
                                    O/W    I/W   DPS
                               Bar
             (FK77EH1NL)

       Mr R Mead               (FK77EH1N
       47 Polmaise Crescent
       Fallin
       STIRLING
       FK7 7EH                 ( F K 7 7 E H 1 N



8 Mailsort 700
Product Specification
• Delivery Point Suffix

     2 extra characters
     Identifies delivery point – house number or name
     Contained in Postcode Address File (PAF) or Postcode
     Information File (PIF)




 9 Mailsort 700
Product Specification

• CBC Information Build Cont:



                              Start                      Stop
                                    O/W   I/W   DPS CS
                               Bar                       Bar
             (FK77EH1NL)

       Mr R Mead               (FK77EH1NL)
       47 Polmaise Crescent
       Fallin
       STIRLING
       FK7 7EH                 ( F K 7 7 E H 1 N L)



10 Mailsort 700
Product Specification
• Checksum Character

    Used as a means of error detection
    Generated by use of a simple algorithm through PAF software
    program
    Also obtainable from PIF




11 Mailsort 700
Product Specification
• Address Specification

    All addresses must be visible and legible
    Minimum address & Postcode level
        90% full and accurate of total items mailed
    Minimum delivery point suffix (DPS)
        Current: 100% default allowed (e.g. 9Z)
        From 1st May 2008: 90% accurate, remainder default




12 Mailsort 700
Product Specification
• Mailpiece Specification
     Size – max 240 x 165mm: min 140 x 90mm
     Thickness – max 5mm: min 0.25mm
     Weight – max 100 grams
     Flexibility
     Window envelopes:
         Insert movement
     Item sealed on all sides
         No polywrap items




 13 Mailsort 700
Product Specification
• Printing

     CBC to be printed on item
         Windows True Type Font (TTF) supplied by Royal Mail
         Other versions purchased from printer or font supplier
           ask for RM4SCC font
     Flexibility in font used for address and envelope design
     Postcode must be printed in block capitals on it’s own as the last line
     of the address. There must be a character space between the two
     parts of the postcode
     The post town must be on a line by itself with the first letter in capitals
         e.g. Birmingham, Milton Keynes, Ross On Wye




 14 Mailsort 700
Product Specification
• Sortation

     Reduced sortation to approximately half the number of current
     Mailsort 1400 selections
         555 directs + 114 residues = 669
         Fewer selections = fewer bags = production savings
         Fewer selections = more directs = lower price
     Directs sorted by first 4 digits of Mailsort SSC
     Reduced sortation incorporated into the current Mailsort
     Database




 15 Mailsort 700
  Product Specification
  • Sortation Cont:
Residue selection name      SSC
482 SS                      48216   Benfleet
                            48217   Leigh-On-Sea
                            48221   Basildon
                            48222   Basildon
                            48231   Canvey Island
                            48232   Rayleigh
                            48233   Wickford
                            48241   Southend-On-Sea
                            48242   Southend-On-Sea
                            48251   Hockley
                            48252   Rochford
                            48253   Southend
                            48254   Stanford-Le-Hope

13 selections for Mailsort 1400
  Product Specification
  • Sortation Cont:
Residue selection name       SSC
482 SS                       4821        Benfleet                Mech Plan
                             4821        Leigh-On-Sea               35
                             4822        Basildon                Mech Plan
                             4822        Basildon                   37
                             4823        Canvey Island             Mech
                             4823        Rayleigh                  Plan
                             4823        Wickford                   39
                             4824        Southend-On-Sea         Mech Plan
                             4824        Southend-On-Sea            57
                             4825        Hockley                   Mech
                             4825        Rochford                   Plan
                             4825        Southend                   61
                             4825        Stanford-Le-Hope

13 selections for Mailsort 1400= 5 selections for Mailsort 700
  Product Specification
  • Sortation Cont:
                              100% Total Mailing



 Minimum 90% (Full & Accurate Postcode)
                                                        Maximum 10% (Outward
Minimum 90%         % of     Maximum *10%               postcode or no postcode,
Accurate DPS    total posting Default DPS               but can match to post town)


     > 25                        < 24                                Residue

    Direct                      Residue
    *A default delivery point suffix e.g. 9Z can be added where a full and accurate
     postcode is present but no match to house name or number is found on PAF
 Product Specification
 • Sortation – Bag Volume Comparison

 Mailing Size 50,000
           Item
Mailing Size 50,000                  No. of bags                    No. of bags
         weight
         Item                       Mailsort 1400
                                    No. of bags                     Mailsort 700
                                                                   No. of bags
            15g
        weight                           1147
                                   Mailsort 1400                        553
                                                                   Mailsort 700
            35g
          15g                            1147
                                        1007                            553
                                                                       667
            60g
          35g                            1156
                                        1007                            558
                                                                       667
           100g
          60g                            1187
                                        1017                            695
                                                                       669
         100g                           1057                           724
                    Estimate based on average distribution of addresses




  19 Mailsort 700
Product Specification
• Sortation – Item % Direct Comparison
     Volume        Mailsort 1400 Number of           Mailsort 700 Number of
                          Directs %                         Directs %

      10000                     0%                              24%

      15000                     4%                              72%

      20000                     9%                              91%

      25000                     22%                             97%

      30000                     35%                             98%

      35000                     50%                             99%

      40000                     63%                             100%
              Estimate based on average distribution of addresses
Product Specification
• Sortation – Item % Direct Comparison
     Volume        Mailsort 1400 Number of           Mailsort 700 Number of
                          Directs %                         Directs %

      50000                     81%                             100%

      60000                     90%                             100%

      70000                     96%                             100%

      80000                     99%                             100%

      90000                    100%                             100%

     100000                    100%                             100%

     150000                    100%                             100%
              Estimate based on average distribution of addresses
Product Specification
• Computer Planning Report
      XYZ COMPANY *               MAILSORT 700 POSTING            DATE: 23/07/07
      123 A STREET                JOB REF. No. H10054*
      TOWN, POSTCODE              FORMAT:LETTER
      Mailsort Parameters
      Mailsort Service                          3            *
      Minimum Selection Size                  25
      Weight of Item                          45g            *
      Presortation Statistics
      Address records processed            31842
      Postcodes matched                    30321
      Post Towns matched                     347
      Addresses not matched                  814
      Number suitable for Mailsort         30668
      Postcode Statistics (% of Address records processed)
      Full Postcode                           94.5%          *
      Outward Postcode only                     1.8%         *
      Postcode level                          96.3%
      No Postcode                               3.7%


                                            * indicates mandatory information
Product Specification
• Computer Planning Report Cont:

      DPS Statistics (% of Address records processed)
      DPS matched                             81.4%           *
      Default DPS allocated                   13.1%           *
      Sortation Statistics                 Number     Items       %Match Bags
      Direct Mech Selections                 308      20551   *     67  322
      Residue Mech selections                 81      10117   *     33  159
      Totals                                 389      30668   *    100  481
      Costs & Discounts
      Number of Mailsort items            30668
      Item weight (g)                         45

      Standard Postal Rate                  19.5p
      Standard Postal Price             £5,980.26
      Direct selection discount
      (20551 items at 20.5%)             (£808.33)
      Residue selection discount
      (10117 items at 10%)               (£197.28)
      Mailsort Discounted cost          £4,961.45
      Net Cost                          £4,961.45

                                          * indicates mandatory information
Product Specification
• Line Listing


                            *      XYZ COMPANY                *                 Date 23/07/07
                            *      MAILSORT LINE LISTING      *           JOB REF. No. H10054*
                            *      LETTERS: VOLUME 30668      *              FORMAT:LETTER*
  Mech       Mech Selection Name                        No.       Cum.         Est.     Cum.
  Code                                                  of          No.         No.      No.
                                                      items       items        bags     bags
  4511   LEEDS                  LS9,LS14-LS15,LS24   25            1796          1       45
  4512   LEEDS                  LS16-LS20            34            1830          1       46
  4513   LEEDS                  LS25-LS28            34            1864          1       47
  4521   LEEDS                  LS1-5,LS11,LS88,    128            1992          1       48
                                LS98-LS99
  4522 LEEDS                    LS8,LS13,LS22-LS23, 131            2123          1       49
                                LS29
  *      *   *                  *                     *               *
  *      *   *                  *                     *               *
  *      *   *                  *                     *               *

  452 LEEDS                     LS1-8,10-13 ETC RES    76         13283          1      278
  453 BRADFORD                  BD RESIDUE             46         13329          1      279
  454 HALIFAX                   HX RESIDUE             39         13368          1      280
Product Specification
• Bag Labelling Requirements

    Customer Final Labelling (CFL) mandatory
        Yellow bag labels




25 Mailsort 700
Customer Final Labels
Examples of Mailsort 700 final bag labels
Quality Assurance
• Aspects Requiring Certification

    Address management – QA form A
    Mailpiece and printing – QA form B
    Sortation – QA form C




27 Mailsort 700
Quality Assurance
• Address Management – Form A

    90% minimum full & accurate postcode
    90% minimum PAF accurate DPS allocation




28 Mailsort 700
Quality Assurance
• Address Management – Form A Cont:
     Method 1:- 1:n sample of 5,000 addresses checked by
     Royal Mail
     Method 2:- Automatic pass if using RM approved VAR.
     Co-Supplier or software package
• Where to:        •Quality Assurance Co-ordinator,

                   •Royal Mail Marketing

                   •Kings Mead House

                   •Oxpens Road

                   •OXFORD

                   •OX1 1XX




 29 Mailsort 700
Quality Assurance
     • Mailpiece and Printing – Form B

           210 mailpiece samples
           Samples checked for:
                  Mailpiece suitability
                  Readability of CBC




30 Mailsort 700
Quality Assurance
     • Mailpiece and Printing – Form B Cont:
           Contact the Customer Operations Manager at your
           local Mail Centre for details
           Alternatively contact:

                        •Quality Assurance Co-ordinator,

                        •Royal Mail Marketing

                        •Kings Mead House

                        •Oxpens Road

                        •OXFORD

                        •OX1 1XX




31 Mailsort 700
Quality Assurance
• Sortation – Form C
    Automatic pass if approved software purchased
                                  or
    Customer writes software. RM supplies test address list.
    Customer completes sortation
    and supplies results for checking
        Contact Mailsort Technical Helpline (0207 371 6957)
        for test addresses and advice

• Where to:     •Quality Assurance Co-ordinator,

                •Royal Mail Marketing
•
                •Kings Mead House

                •Oxpens Road

                •OXFORD

                •OX1 1XX
Quality Assurance
• Summary

    Customers achieve QA accreditation prior to first mailing
    for:
        Address Management
        Mailpiece compliance & barcode printing
        Sortation
    Ongoing quality checks




33 Mailsort 700
Presentation in Trays
• You may choose to present your Mailsort 700 posting in
  trays subject to the following requirements:
     Minimum volume 1 million items per mailing (A single set of
     direct and residue selections)
     Mail must be pre-segregated in accordance with standard Royal
     Mail pre-segregation requirements (segregation codes
     presented in separate cages)
     Mail to be placed in trays upside down with the PPI facing the
     tray label
     Items must be loose loaded in trays – no bundling
     One Mailsort 700 selection (direct or residue) only per tray
     Items for Jersey (JE), Guernsey (GY) and the Isle of Man (IM)
     must still be presented in bags
     Trays to be presented in RSCs



 34 Mailsort 700
Product Specification
• Geographical Presentation

    For Mailsort 1, mailings must be presented in the
    preferred order of posting;
        UK divided into regions, labelled A to P
        Residue codes and priority table included in Mailsort
         database
        Not mandatory for Mailsort 2 and 3, but can be useful for
         mailings presented over a number of days




35 Mailsort 700
Pricing

      Mailsort 700                 Direct          Residue
Number of Direct Items per day
                                 Selections       Selections
                                 % discount       % discount
0-19999                             19.3             12
20000-39999                         20.8             12
40000-79999                         22.8             12
80000-119999                        23.8             12
120000                              24.6             12

       Price calculation:
       Mailsort 1 = (0.330 – discount) x volume
       Mailsort 2 = (0.231 – discount) x volume
       Mailsort 3 = (0.202 – discount) x volume
Pricing - Comparison
                      1st Class – Indicative Prices
  Daily
 Volume      Public Mailsort Mailsort Mailsort Mailsort
                                       1400       700
            Tariff - 120 OCR 120 CBC Directs - Directs -
  (Direct     £/ka     - £/k   - £/k
Selections)                             £/k       £/k

0-19999          324.7        273.9   270.6      300.3   266.3
20000-
                 321.3        269.0   265.7      297.0   290.4
39999
40000-
                 321.3        262.4   259.1      292.1   254.8
79999
80000-
                 321.3        259.1   255.8      287.1   251.5
119999
120000           321.3        256.4   253.1      285.5   248.8
  a   = Postage Meter or Account
Pricing - Comparison
                     2nd Class – Indicative Prices
  Daily
 Volume      Public Mailsort Mailsort Mailsort Mailsort
                                       1400       700
            Tariff - 120 OCR 120 CBC Directs - Directs -
  (Direct     £/ka     - £/k   - £/k
Selections)                             £/k       £/k

0-19999          229.2        191.7   189.4     210.2   186.4
20000-
                 226.8        188.3   186.0     207.9   183.0
39999
40000-
                 226.8        183.6   181.3     204.4   178.3
79999
80000-
                 226.8        181.3   179.0     201.0   176.0
119999
120000           226.8        179.5   177.2     199.8   174.2
  a   = Postage Meter or Account
Pricing - Comparison
                          M3 – Indicative Prices
  Daily
 Volume      Public Mailsort Mailsort Mailsort Mailsort
                                       1400       700
            Tariff - 120 OCR 120 CBC Directs - Directs -
  (Direct     £/ka     - £/k   - £/k
Selections)                             £/k       £/k

0-19999           229.2        167.7         165.6   183.8   163.0
20000-
                  226.8        164.6         162.6   189.8   160.0
39999
40000-
                  226.8        160.6         158.6   176.8   155.9
79999
80000-
                  226.8        158.6         156.6   174.7   153.9
119999
120000            226.8        157.0         154.9   173.1   152.3
  a   = 2nd Class Postage Meter or Account
Term Contracts – Mailsort 700
                  Class                          Contract Duration



      Mailsort 1, 2, & 3                    1 Year                  2 Years



 Additional Discount (per
                                             1.40%                   2.00%
          year)


Minimum annual volume of 1 million items applies per product and class of service
                                  contracted




40 Mailsort 700
Consolidation
• Combining Separate Client’s Mailings Into A Single
  Mailing
          • Single set of direct    • Single line listing
             selections
                                    • Consolidator’s PPI
          • Single set of residue     number
             selections
                                    • Consolidator’s Royal
          • Single computer           Mail account number
             planning report




41 Mailsort 700
Customer Benefits

    Substantially increased savings over and above current
    Mailsort 1400 prices
    Reduced sortation
        Fewer selections = fewer bags = production savings
        Fewer selections = more directs = lower price
    Assistance with implementation




42 Mailsort 700
Summary

    Product specification
    Quality assurance
    Pricing
    Customer benefits




43 Mailsort 700
Royal Mail Support

    Royal Mail Account Handler
    Technical Helpline 0207 371 6957
    Product literature
    Mailsort User Guide
    Technical Product Consultants




44 Mailsort 700
Questions

				
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