UPS Store records first-year success

One year after launching a historic re-branding campaign, The UPS Store network has generated triple-digit growth in UPS shipping volume and added more than 300 new stores for a total of 3,300 locations.

This achievement has led franchisor Mail Boxes Etc., Inc. and its parent company, UPS (NYSE:UPS), to set a goal of expanding The UPS Store network to 5,000 locations in the United States by 2007, including innovative concepts in under-served areas such as urban neighborhoods, Free Enterprise Zones, college campuses and military bases.

“The success of this launch not only underscores the power of the UPS brand, but also validates customers’ appreciation for the convenience and value offered by The UPS Store,” said Kurt Kuehn, senior vice president of UPS worldwide sales and marketing.

One year ago, the UPS brand was extended from the company’s delivery vehicles and aircraft to America’s storefronts when approximately 90 percent of MBE centers in the U.S. elected to convert to The UPS Store name. The event marked one of the largest franchise re-brandings in history and the use of the UPS brand has proven dramatic in its results:

Overall UPS shipping volume has more than doubled, including a nearly 75 percent increase during the peak holiday shipping period.
New store openings doubled over the previous year, to more than 300.
Multiple-store ownership has increased by 67 percent in the past year.
Interest from entrepreneurs in buying a franchise has nearly doubled.
“The first-year results of The UPS Store have been phenomenal, but that’s just the start. We will continue to enhance the business through innovative programs intended to expand opportunities for our franchisees and provide additional services our growing customer base requires,” said Stuart Mathis, president of Mail Boxes Etc., Inc.

In addition to serving consumers and small businesses, The UPS Store network is now meeting the needs of large corporate customers as well through UPS’s Corporate Retail Solutions team. This group is providing UPS customers, such as catalogers, retailers and manufacturers with unique programs to meet their needs such as convenient product returns and repairs through The UPS Store network.

Additionally, The UPS Store continues to expand its business services to serve the needs of small businesses and mobile professionals. For example, thousands of The UPS Store locations are being equipped with Wi-Fi “hot spot” technology to provide customers with wireless Internet connectivity when they’re away from home or office.