DPID

DPID Overview

Australia Post has developed and maintains a database of over 8.8 million deliverable addresses in Australia.

This database has been named by Australia Post the “Postal Address File” (PAF) and each address within it has been assigned a random unique 8 digit number called a “Delivery Point Identifier” (DPID).

As part of the Future Post initiative Australia Post introduced the “Address Matching Approval System” (AMAS).

DPID information is converted to a “4-state” barcode. It’s name is derived from the fact that the code has four types of bars each with distinct names, values and barcode symbology.

This barcode is printed above the address information on every piece of mail enabling Australia Post to rapidly process and sort each piece down to postal delivery route.

It is available in 3 different lengths and we can help you to select an appropriate barcode structure dependant upon the amount of information you need to include within it:

1. 37 bars includes no customer information
2. 52 bars has 16 bars allocated for customer information
3. 67 bars has 31 bars allocated for customer information

What is the definition of a correct address

Australia Post defines a correct address as:

“An address which can match with the Postal Address File (PAF) and apply the correct Delivery Point Identifier (DPID).”

Varying levels of complexity

The Barcoded Mail system provides the potential for a number of discounts and it has introduced varying levels of complexity to the distribution process.

For example, whereas previously hand written or computer generated tags could be appended to mail bundles for lodgement Australia Post now requires specific barcode information to be printed on tray labels. There are 142 tray label versions available and these need to be assigned depending on the lodgement size and sort plan. CBF makes sure this id done correctly.

Australia Post only accepts mail lodged in trays, so organisations are unable to bag their own mail.

These changes make it difficult to manage bulk mail lodgements in-house, which is an added incentive to outsource the entire production and mailing process to specialist outsourced service providers such as CBF whose core competencies include the management of complex mailings.

Less Postcodes and Sort Divisions

To lessen the incidence of residual mail which is the most expensive lodgement component, Australia Post introduced new requirements. Instead of a Direct Tray comprising 300 letters to a single postcode. It is achieved with 300 barcoded letters to a “sort division”.

A sort division represents a range of postcodes serviced by one of the new high speed barcode scanner sorters developed for Australia Post and mail needs to be separated into these divisions, prior to lodgement.

This National Barcode Presort Plan (NBPP) provides an incentive for organisations to progress to barcoded mail, although to their financial detriment not many in effect have. Previously there were 2500 sort divisions made up of individual postcodes, there are now only 54 divisions. This reduction brings a number of advantages to those businesses willing to take the leap forward:

Barcoded mail items are sorted across a significantly reduced number of postcodes, resulting in a higher number of mail items across a lower number of sort divisions, maximising the likelihood of greater postage discounts.

As there are fewer sort divisions, there is quicker, more efficient mail preparation and a reduction in the amount of residual and full rate mail.

One to one targeted direct marketing is also better supported under the new National Barcode Presort Plan.

If you choose not to barcode your mail immediately, it continues to be processed according to the current 2500 sort plan. This plan provides for fewer mail pieces within each sort division and offers less opportunity to decrease postage costs. There is a clear financial advantage for changing to barcoded mail sooner, rather than later.

Fewer Letters Per Lodgement

To be eligible for postage discounts, Australia Post previously required either 1000 letters per postcode or 2500 letters per lodgement within the same size and weight range. From October 4th 1999, only 300

barcoded letters are required in order to be eligible for bulk lodgement discounts. This is a significant benefit, as it provides you with the flexibility to undertake targeted mailings for smaller segments of the marketplace more cost effectively. For non-barcoded mail, the same conditions apply.

For mailings going over 300 letters, a variety of different lodgement options can be applied, which are summarised in the following table. As you move down the table, the levels of discount given by Australia Post is reduced.

The 75/25 Rule

Australia Post has established “mixed lodgement” guidelines to provide some flexibility in the lodgement of both barcoded and non-barcoded mail together in the one lodgement.

Beginning October 4th 1999, a threshold of up to 25% of your lodgement can be non-barcoded and still receive the lower barcode residual discount.

Australia Post will gradually decrease this threshold until July 2002. From that point in time onwards all of your mail must be barcoded to receive the full postage discount. The schedule for this program is as follows:

As a part of CBF’s Barcoded Mail service, we can parse your data against the PAF to append the DPID and verify whether your lodgement will meet the current 75/25 criteria.

Depending on the outcome of the reductions to the 75/25 rule, CBF will work with you to ensure the best method required, to maximise your prospects of meeting the required 75% threshold, so that you are eligible for the greatest postage discount. For example, if 30% of the mail items within your lodgement were non-barcoded, CBF will remove some of these items to reduce the proportion to 25%. This will make possible most of your lodgement meeting the 75/25 criteria, with only 5% having to be processed as non-barcoded residual mail.