Pitney Bowes: we are entering peak season with a network that is faster and more efficient than ever before
“We made several changes to our network in 2023 to shift operations from older, more manual sites to more modern, fully automated logistics hubs,” said Gregg Zegras, EVP and President, Global Ecommerce at Pitney Bowes. “As a result of these and other changes, which are better for our clients and our associates, we are entering peak season with a network that is faster and more efficient than ever before.”
Since peak 2021, Pitney Bowes has made a series of network enhancements and improvements in its operations. It also focused on providing shippers more options to achieve cost-effective delivery in select markets.
- Opened next-generation Global Ecommerce Hubs in Chicago, Illinois and Columbus, Ohio. The modern and fully automated facilities are helping meet growing client demand for broader, faster, and more predictable delivery and returns services throughout the Midwest region and across the Pitney Bowes national parcel delivery network.
- Deployed new automation solutions, including new AmbiSort AI-powered robotics for parcel sortation for middle-mile operations, and Plus One Induction Robots to pick and place parcels on our automated systems. These solutions target specific processes that can be repetitive and physically demanding such as pick-and-place, interfacility sortation, zone skipping and reverse logistics.
- Announced the expansion of its regional delivery service models to more than 20 major cities across the Southeast and Southwest United States. This new regional service has seen significant uptake as the Company brings a cost-effective service to market that reaches ~240MM consumers in three days or less.
As part of its consultative approach, Pitney Bowes offers retailers and brands a comprehensive analysis of shipping volumes to help determine which parcels best fit a regional service model while continuing to maximize national volume tier discounts. The Company leverages its Designed Delivery Platform for ecommerce shippers to process parcels at scale. The culmination of these changes has helped win and support our Domestic Parcel volumes growing 38% year-over-year in Q3 with a market backdrop that is much less favorable, while also achieving our highest client NPS for this segment.
Pitney Bowes has expanded its Global Ecommerce business significantly in recent years, growing it from a single service and a single client in 2012 to providing fulfillment, delivery, returns and cross-border services to hundreds of retail and marketplace clients today. The business unit generated $1.5 billion in revenue in 2022, serving thousands of ecommerce shippers supporting an estimated $36B in gross merchandise value (GMV).