Postal increases will affect non-profit organizations

HALIFAX – Canada Post’s impending rate increases and the end of urban direct delivery will not only affect homeowners, but will also change the way some charities and non-profit organizations do business.

Hundreds of charities and non-profit organizations are scrambling to understand the impact of the postage price increase set to hit them next year. Many, like Feed Nova Scotia, use large mailouts to canvass for donations, and the higher costs will be a major blow.

“We do a Christmas appeal. We send out about 125,000 pieces of correspondence to donors and hopefully new potential donors,” said Dianne Swinemar. the executive director of Feed Nova Scotia

Swinemar said because it’s unaddressed mail, they get a cheaper rate, but that’s not the case for everything.

“We pay regular postage when we’re doing out receipting, paying our invoices, that sort of thing…so there’s a fair chunk of change that is going for postage,” she said. “But that amount of increase is really going to change our budgeting process for the new year quite substantially.”

The CEO of Easter Seals Nova Scotia said it fears the extra cost will cut into its budget.

“Our direct mail represents approximately 10 per cent of our fundraising effort throughout the year,” said Henk van Leeuwen. “Anytime you incur or absorb any kind of increase or cost to your fundraising, it does have an impact on your bottom line.”

Swinemar said group mailboxes have a negative effect on Feed Nova Scotia’s donations.

“Typically any mail going to group boxes, the return is less and slower,” she said.

Swinemar said because Feed Nova Scotia gets most of it’s donations from seniors — a demographic that frequently uses letter mail — the community mailboxes will hurt.

“If they are also in a situation where they have to use group boxes where they are not going to be easily accessible, it is going to change what we’re doing,” she said.

Swinemar said she hopes all charities and non-profit organizations appeal to Canada Post for a discounted rate on postage.