UPS Capital buys Parcel Pro
UPS Capital – the UPS subsidiary which specialises in offering supply chain insurance and payment services – has bought Parcel Pro, a logistics provider to the jewelry, wristwatch and collectibles industries. Essentially, the move brings together UPS Capital’s insurance offerings with Parcel Pro’s expertise in shipping luxury goods.
“The synergies between UPS Capital and Parcel Pro will greatly benefit customers shipping high-value products,” said Ronald Chang, president of UPS Capital, adding: “Many jewelry retailers have insurance policies that cover their inventory, but shipping losses are not always covered by these policies.”
The market for luxury items has flourished internationally over the past decade, while most shipping insurance is limited to $50,000 in the United States and $500 internationally in value per package. This means, according to UPS Capital, that companies usually have to split up shipments, leading to increased transportation and labour costs.
Working together, UPS Capital and Parcel Pro are able to insure shipping within the United States for up to $150,000 in value per package and internationally to selected countries for up to $100,000 per package. The increased maximums allow companies to ship more items in one package, which is easier and more cost effective.
“Parcel Pro’s mission is to provide the most affordable, reliable, secure and convenient services for our industry customers to ship and insure valuable goods. We believe that the acquisition by UPS Capital supports our mission and will only benefit our customers, as well as UPS Capital customers who ship high-value items,” said Joseph Lam, chief executive officer of Parcel Pro.
Parcel Pro’s proprietary technology platform provides online tracking and visibility, e-reporting, web access and shipping, including via smart phone applications. The company has locations in the major jewelry districts of New York, Los Angeles, San Francisco, Miami, Hong Kong, Tokyo and Singapore and provides local customer service, as well as armed guard pick-ups and deliveries in New York, Los Angeles and Beverly Hills, California.
