Rounding when stamps rise to 72c

system_538781

An Post are increasing postage rates from 21st July.

New domestic rate is to be 72c.

Surely I could just pay the current rate of 70c thanks to rounding?

Am I missing something here?

sconhome

system wrote: »

Am I missing something here?

Yes. Rounding is optional for the seller.

L1011

Very few people buy one stamp. Post offices don't round either

system_538781

sconhome wrote: »

Yes. Rounding is optional for the seller.

Stamps are sold at many retail outlets who take part in rounding.

sconhome

system wrote: »

Stamps are sold at many retail outlets who take part in rounding.

There is a massive thread on rounding somewhere in here which will explain that rounding is not on the price of the goods, it is on the total.

Stick a 70c stamp on a letter and it is incorrect postage.

Buy a 72c stamp from a reseller and see if they will round to 70c for you at the till. There is a difference.

system_538781

sconhome wrote: »

There is a massive thread on rounding somewhere in here which will explain that rounding is not on the price of the goods, it is on the total.

Stick a 70c stamp on a letter and it is incorrect postage.

Buy a 72c stamp from a reseller and see if they will round to 70c for you at the till. There is a difference.

I understand the concept of rounding, I simply find it odd that a country that is pushing rounding would choose to price stamps at 72c.

I know that the value of a 72c stamp is still 72c regardless of how much I paid for it.

L1011

system wrote: »

Stamps are sold at many retail outlets who take part in rounding.

Usually in books, which will increase by a rounded amount

system_538781

L1011 wrote: »

Usually in books, which will increase by a rounded amount

Usually in books yes, but there are many outlets selling single stamps, which is where the rounding issue may arise.

L1011

system wrote: »

Usually in books yes, but there are many outlets selling single stamps, which is where the rounding issue may arise.

Not really. It's extremely uncommon.

The vast majority of post is franked anyway, which will go up in tandem

Effects

Last time stamps went up by 2c I had to ask for 60 2c stamps to go with what I had left from current roll of stamps. Bitter wench in the post office didn't want to give me the extra stamps as they would take too long to print.

system_538781

Many shops around Dublin city center just cut the books of stamps up and sell individually.

The majority of post is only franked by business customers, and they receive a discount for doing so.

sconhome

system wrote: »

I understand the concept of rounding, I simply find it odd that a country that is pushing rounding would choose to price stamps at 72c.

Sorry, but you obviously misunderstand the concept of rounding as implemented.

It is not price rounding as every Joe Soap in the country would be hopping up and down about price rises (all forgetting the rounding down too). It is subtotal rounding and it is optional not obligatory.

I do agree that 72c is a random, stupid price point to set at though. Either leave it at 70c or make it 75c but increase the size of envelope/weight allowed.

system_538781

sconhome wrote: »

Sorry, but you obviously misunderstand the concept of rounding as implemented.

It is not price rounding as every Joe Soap in the country would be hopping up and down about price rises (all forgetting the rounding down too). It is subtotal rounding and it is optional not obligatory.

I do agree that 72c is a random, stupid price point to set at though. Either leave it at 70c or make it 75c but increase the size of envelope/weight allowed.

I understand it perfectly well - thank you very much - I love condescending replies.

Setting the price at 72c is leaving room for the price to be rounded down at a small group of outlets that sell single stamps.

L1011

system wrote: »

Many shops around Dublin city center just cut the books of stamps up and sell individually.

An Post does not need to worry what a third party retailer decides to do in that case - its the retailers loss if they round.

system wrote: »

The majority of post is only franked by business customers, and they receive a discount for doing so.

Business customers are the majority of post.

I would take a guess that single stamp sales probably make up something less than one tenth of one percent of all post sent. Most private individuals buy full books, large business makes up most of the post and frank and small business buys rolls.

pinkypinky

It's almost impossible to get a single stamp nowadays in non-An Post shops. I tried recently on a Sunday and went to every local newsagent, none had them.

syklops

system wrote: »

I understand it perfectly well - thank you very much - I love condescending replies.

Setting the price at 72c is leaving room for the price to be rounded down at a small group of outlets that sell single stamps.

So at a small group of outlets, the small group of people who buy single stamps are going to get a good deal to the tune of 2 cents?

The amount of money that adds up to is so small its really not worth even discussing.

system_538781

syklops wrote: »

So at a small group of outlets, the small group of people who buy single stamps are going to get a good deal to the tune of 2 cents?

The amount of money that adds up to is so small its really not worth even discussing.

Yet here we are!

This obviously doesn't affect business customers.

I agree that it is hard to source retailers selling stamps, and also that it isn't a huge loss especially due to the low volume of stamps sold compared to franked mail.

I was simply pointing out that it will be possible to purchase a 72c stamp for 70c. Just because you can't find a shop selling stamps or are not actively looking to save 2c does not mean that it is impossible.

L1011

system wrote: »

I was simply pointing out that it will be possible to purchase a 72c stamp for 70c.

If you find an outlet that sells single stamps, that applies rounding, and buy just one (or 3, which will save you a cent). Which is extremely unlikely and absolutely not worth the time.

Xterminator

system wrote: »

An Post are increasing postage rates from 21st July.

New domestic rate is to be 72c.

Surely I could just pay the current rate of 70c thanks to rounding?

Am I missing something here?

buy 2?

ssmith6287

People sending the odd letter isn't their target market. Its the business that could post 20 or 30 letters a day that will give them slightly more revenue

ssmith6287

Xterminator wrote: »

buy 2?

buy 2 and they will round up?

rubadub

pinkypinky wrote: »

I tried recently on a Sunday and went to every local newsagent, none had them.

If you find one let me know, I want in on this excellent money saving trick.

sconhome

system wrote: »

I understand it perfectly well - thank you very much - I love condescending replies.

I absolutely was not being condescending. Your posts appear to confuse the idea of change rounding with the concept of price rounding which if you remember happened when the euro was introduced and the country went mental.

Overnight stuff that was £1 became €1.30 instead of the €1.27. Same was happening when decimalisation came it.