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As appearing in The Seybold Report - Mar. 23, 2005

Article prepared by C. Clint Bolte, C. Clint Bolte & Associates, Chambersburg, Pennsylvania. For additional information please call 717-263-5768, fax 717-263-8945, or e-mail to clint@clintbolte.com.

Best Practices in Thwarting MERLIN Concerns

While MERLIN might suggest the wizard from Knights of the Round Table, those of us who follow Harry Potter’s exploits might think of Harry as the well intended printer/mailer and MERLIN as his latest dementor. Government acronyms occasionally take on a life of their own particularly during the initial shake down phases for new systems and procedures. Such is the case with this mailing evaluation readability lookup instrument (MERLIN), built under exclusive contract to the USPS by Bell & Howell.

Lets begin with the basics. Just as the printing industry has passed along substantial typesetting savings to its clients who write and design their own material prior to printing, the United States Postal Service offers discounts for mailing projects whose specifications including individual addresses are so standardized as to allow the entire mailing to run through the USPS automated sorting equipment with minimal hiccups. The USPS has now implemented procedures focused around MERLIN to verify barcode readability and consistency along with a number of other direct mail manual (DMM) standards criteria. Better preparation of the mail and good consistent quality attainable by all vendors is good for the industry and will lead toward lower USPS costs.

Some 1,200 MERLIN units have been installed at business mail entry units (BMEU) throughout the nation. The units are owned and operated by the USPS and their own employees. Here is how the grading system works. If the MERLIN read rates (in compliance) on sampled items from a job equal or exceeds 90%, then the entire job receives the full automation rate applied for. If the read rate is between 80-89%, then a partial adjustment is made to the discount, which calls for additional postage being paid. For example, if the read rate is 84%, then additional postage is assessed on 16% of the entire single rate mailing. If the read rate falls below 80%, then the entire mailing losses the automation rate and is charged the higher, applicable presort rate.

Not every job is run through MERLIN and those that are follow this sampling guideline. If the job has more than 10,000 pieces, then 1,000 are run through the MERLIN. For less then a 10,000-piece job, 500 pieces are run through MERLIN. For flats the minimum number of samples is 15 if each item weighs less than or equal to 5 ounces in a 5 digit sort.

An appeal process exists whereby the printer/mailer can send the appropriate sample quantity by USPS Express Mail to the designated Bell & Howell facility in Wheeling, Illinois. Regardless of the results of the original MERLIN test, the appeal test is final. That is, no “averaging” the two results or picking the better of the two. The single appeal test rules.

The DMM standards for barcode placement include (1) an eighth inch minimum clearance around the entire address either in the window or on the label or piece, (2) 1/25 inch minimum clearance above and below the barcode, (3) the barcode has to be at least a 1/2 inch from the edge of the piece, and (4) the barcode must be in the specified “clear zone” which is at least 5/8 inch from the bottom of the piece. A template is available from USPS, which illustrates these parameters.

The Mailing and Fulfillment Service Association (mfsanet.org) has been actively involved in monitoring the progress of the MERLIN implementation, hosting symposiums and webinars on the leading edge BMEU case studies, serving as a clearinghouse for concerns as expressed on their web chat list, and being one of the dedicated industry sources for current information on USPS rulings and updates on DMM. On one of these webinars Ms. Wanda Senne, the Postal Affairs Manager for ACE Marketing Service, gave her firm’s lessons learned in arriving at a disciplined program to assure that they passed the MERLIN tests.

For their Scitex Inkjet unit the following procedures were put in place. Obviously similar criteria can be confirmed for every other inkjet unit. (1) Ensure that the print head is level and perpendicular to the edge of the piece. (2) Confirm the fluids installed in the printer are approved for use in that model. (3) Lower the print head as close as possible to the piece. (4) Verify the phase and voltage settings. (5) Adjust resolution and print density to enhance visual print quality. (6) Select Postnet font (only OCR readable fonts) with characteristics appropriate for the job. (7) Assure 22 bars per inch plus or minus 2. For example, 120 dpi resolution would have a range of 20-24 bars per inch.

Hank Cleffi, MFSA’s Director of Postal Affairs, has facilitated a number of webinars among the early firms serving as BMEUs for the MERLIN units. Several of the highlights of these PowerPoint presentations are available as a courtesy on the MFSA website. Simply search on “MERLIN.” Here is a summary of some of the best practices assimilated by these pioneers. Keep in mind that a “pioneer” has only been at it for a few months so those printers/mailers just getting the bridle on are not that far behind that you can’t catch up quickly.

Best Practices in Assuring MERLIN Compliance

Here are a series of best practices that each printer/mailer might consider incorporating into their own mailing management operation. (1) Monitor USPS (usps.com/merlin) and Association (mfsanet.org) websites for late breaking MERLIN news. (2) When printing barcodes follow DDM specs monitor job using USPS barcode error reference guide. (3) Pretest samples for barcode readability. (4) Communicate barcode concerns, piece design, and other MERLIN issues to your customers and staff regularly. (5) Establish internal QC procedures to include quality testing for all types of mail that your company produces. (6) Identify USPS contact points before problems arise. (7) Review all MERLIN test results and diagnostic reports (additional reports are available and must be requested). (8) If mailing fails, compare reports to actual failed pieces. (9) If first hand review of failed pieces indicates DMM compliance, i.e., there appears to be a MERLIN misread, don’t hesitate to appeal in a timely fashion. (10) Consider going for four day USPS MERLIN training in Norman, Oklahoma (call Byron Jacobson at 405-366-4639).

There are a series of on-going concerns that may have slipped by in the by-gone days that will require closer scrutiny before passing MERLIN’s “eye.” First, there are glossy, porous, and certain background stocks where barcodes won’t dry properly or “bleed” or background “noise” of recycled stock or certain security or colored stocks resulting in incorrect reads. Second, inconsistent folds and trims will make pieces feed cocked through the MERLIN. Third, some window sizes are inadequate with a five-line address to allow the necessary space around the address while accommodating “tap down.” Many of these issues can be avoided with early intervention and planning with the client and client’s design team. Bring your substrate supplier in for testing or to pass along compatible results from others of his printer/mailers.

The envelope industry as a whole needs to consider phasing out the standard #10 windows as it is often borderline acceptable to Merlin. Some envelope suppliers wisely offer a "merlin #10 window" envelope that has a window that is 1 1/4" in height and is a full 5/8" from bottom edge of envelope.

MERLIN is another example of more stringent enforcement of standards that have been in existence for some time. Vendors who have upfront relationships with their clients, have trained, tedious crews, and run well maintained equipment should encounter few run ins with MERLIN. For the longer term MERLIN can be a contributing factor in smoothing mail flow, improving predictable delivery times, and helping contain postal costs. In the mean time this is an excellent opportunity for trade associations to show their worth as effective facilitators, trainers, communicators, and reasonable protagonists.

Article prepared by C. Clint Bolte, C. Clint Bolte & Associates, Chambersburg, Pennsylvania. For additional information please call 717-263-5768, fax 717-263-8945, or e-mail to clint@clintbolte.com.