Royal Mail Business Mail 1st Class Royal Mail Business Mail Overview

2 Definition Business Mail 1st Class and Business Mail will typically contain general correspondence and items of a personalised nature for transactional, contractual or relationship purposes. Generally they are for mailings that do not qualify for Advertising Mail, Sustainable Advertising Mail or Publishing Mail. Business Mail 1st Class is for urgent general correspondence including bills / statements that require a next working day delivery Business Mail is for general correspondence including bills / statements

Product specification

4 Sortation options Unsorted with no additional options Unsorted Machine-readable; Optical Character Reference (OCR), Mailmark Barcode and Customer Barcode Machine-readable Advanced Sorted Low Sort OCR Low Sort Mailmark Low Sort Barcode High Sort

5 Delivery speed Unsorted options 1 st Class delivery aim of next working day 2 nd Class delivery aim within three working days after posting Sorted options 1 st Class delivery aim of next working day 2 nd Class delivery aim within two working days after posting Economy (sorted only) Delivery aim within four working days after posting

6 Formats Unsorted letter large letter Sorted letter large letter

7 Formats Max 240mm Max 165mm Max 5mm thick Max 25mm thick Max 250mm Max 353mm Letter Large Letter Large letter – machine readable Weight Bands Fixed Price g Fixed Price g g (in steps of 1g from 251gms) Weight Bands Fixed Price g Fixed Price g g (in steps of 1g from 251gms) Weight Bands g Fixed Price Max 245mm Max 10mm thick Max 345mm

8 Volumes – minimum posting Unsorted 500 letters or 250 large letters Unsorted Advanced 500 letters Sorted 4,000 letters or 1,000 large letters

9 Address and postcode accuracy Unsorted minimum 90% address & postcode accuracy Advanced: minimum level of discount dependant on address & postcode accuracy to Postal Address File (PAF) Sorted: Minimum 90% address & postcode accuracy

Product sortation

The Royal Mail Selection Files Low Sort: machine-readable Sort to 86 selections OCR & Mailmark Barcode for letters and large letters Customer Barcode for letters High Sort: manual Sort to 1529 Direct selections and/or 86 Residue selections Minimum items per direct selection (sortation discount) 50 letters 10 large letters

Sortation criteria – Low Sort one level of sortation * if trays are to be used then an average number of items across all selections mailed to in that posting must be a minimum of 100 letter or 25 large letters if this cannot be achieved then bags must be used Selections minimum postcode & address accuracy level (inc DPS) Minimum volume* (trays) Minimum volume (bags) OCR8690% 100 letters 25 large letters 1 Barcode8690% 100 letters 1 Mailmark8690% 100 letters 25 large letters 1

Sortation criteria – High Sort Two levels of sortation available Presentation*: if trays are to be used then an average number of items across all selections mailed to in that posting must be a minimum of 100 letter or 25 large letters if this cannot be achieved then bags must be used Pricing: Minimum of 50 letters required for a ‘Direct’ discount Minimum of 10 large letters required for a ‘Direct’ discount Selectionsminimum postcode & address accuracy level Presentation - Minimum volume* (trays) Pricing - Minimum no of items Residue86 90% 100 letters 25 large letters 1 Direct letters 25 large letters 50 letters 10 large letters

14 Combining separate client’s postings into a single posting Single set of direct selections Single set of residue selections Single computer planning report Single line listing Consolidator’s Post Paid Indicia number Consolidator’s account number Consolidation

Product presentation

16 Mailpiece design Payment channel Post Paid Indicia (PPI) and stamps - sorted options PPI and meter – unsorted options Service indicator PPI – 1, 2 or M Return address Standard selection code (SSC) Optional for High Sort and Low Sort Design constraints OCR, Mailmark and Barcode

17 Presentation options - unsorted Option A YORK FACE & BUNDLE SECURELY BAG & LABEL Option B YORK TRAY & LABEL FACE CORRECTLY Option C IF OVER 10mm THICK, DO NOT BUNDLE BAG ALP YORK

18 Presentation options - sorted Option A CAGE FACE & BUNDLE SECURELY BAG & LABEL SORT Option B CAGE TRAY & LABEL FACE CORRECTLY SORT Option C Option D SORT FACE & BUNDLE SECURELY CAGE SORT IF OVER 10mm THICK AND MIN OF 200 ITEMS PER SELECTION, DO NOT BUNDLE BAG ALP CAGE

Containers Unsorted trays for letters trays for large letters up to 10mm in thickness bags or Auto Levelling Parcel containers (ALP)’s for large letters over 10mm Sorted trays* or bags for letters trays* or bags for large letters up to 10mm in thickness bags or ALPs * * for large letters over 10mm large letters or High Sort letters may be unbagged *you need an average of 100 letters or 25 large letters across all selections mailed to, if you cannot meet this then use bags * * only with pre-agreement

Presentation - summary Trays mandatory for all machine-readable unsorted postings not permitted for large letters over 10mm for sorted postings - can only be used if there is an average number of items per selection across all selections being mailed to 100 Letters 25 Large Letters if you cannot meet this requirement then you must use bags this criteria will not apply to International Bags permitted for all sorted products ALPS machine-readable Large Letters over 10mm thick Segregated Bundles permitted as current including for Low Sort Large Letters, not Low Sort Letters Unwrapped permitted as current for High Sort

Payment & pricing

Payment All PPI indicia remain the same i.e. 1 st 2 nd and M (for economy mailings) indicating service speed and including the ‘Delivered by Royal Mail’ logo Posting cheques are only allowed for Business Mail with no additional options (previously known as STL) Meters are no longer permitted for any of the sorted product options Stamps are still permitted for sorted products & P3484 must accompany the posting Volume Related Discounts will now be allowed on some Residue sort products

23 Payment indicia

24 Discounts Machine-readability letters & large letters Sorted options and non-sorted options Advanced option Sortation Directs & Residues Volume Related Discounts Low Sort Directs & Residues – High Sort unsorted

25 Volume Related Discounts - Residue Residue VRDs do apply to: Business Mail 1st Class with High Sort options Business Mail with High Sort options

Other account offerings which are not related to Business Mail, Advertising Mail or Publishing Mail

other Account product offerings 1 st and 2 nd Class (VAT exempt) BPL – Online Business Account (OBA) product code 1 st Class and 2 nd Class No volume requirements No additional options No Volume Related Discounts available No options for sorting No mail machine-readable options Presentation trays or bags permitted No sortation PPI 1 st or 2 nd Class indicia as current including ‘Delivered by Royal Mail’ Compensation as currently available for stamps and meters NB: Do not use BM Advanced envelopes for the VAT exempt product offering

28 IN SUMMARY…….

29 Options available Business Mail with no options Business Mail with sortation Business Mail with machine-readable options Formats letters large letters Machine readability letters – OCR, Mailmark Barcode and Customer Barcode large letters – OCR and Mailmark Barcode

30 Royal Mail Support Account handler Product literature User Guide Royal Mail Technical helpline Technical Consultant - Mark Pearce

31 Questions?