Neopost enters US high-volume parcel-shipping market with acquisition
Paris-based mail solutions giant Neopost has entered the US high-volume parcel shipping market, with the acquisition of software firm SPSI. Neopost, second largest firm in the global mail solutions market after Pitney Bowes, said Wisconsin-based SPSI would be the “cornerstone” of its US shipping strategy.
The company produces a high-volume multi-carrier parcel shipping management software, ProShip, which Neopost intends to position as its platform to market various shipping solutions to US mailers.
SPSI’s clients already include large retailers, e-commerce merchants, healthcare providers and third-party logistics firms. The company’s software connects with carriers including FedEx, UPS, DHL and the US Postal service.
ProShip is capable of managing shipment of millions of packages each day, but SPSI said its average customer generates about 50,000 packages per day, while several customers ship more than 1m per day.
SPSI has its head office in Brookfield, Wisconsin, and offices in Chicago. The firm has been operating since 1987, providing a range of shipping management solutions for large national or multinational corporations and off-the-shelf products for SMEs.
The firm has 50 employees and an annual turnover of about $10m, with double-digit growth rate achieved in 2013 compared to 2012.
Neopost said it is renaming the acquired company after its leading software product, as ProShip Inc.
“Platform”
Denis Thiery, the chairman and chief executive of Neopost, said taking over SPSI was another step in expanding his company’s portfolio of shipping solutions.
“SPSI provides recognised solutions that significantly extend our current shipping offerings,” Thiery said.
“This acquisition is a unique opportunity for Neopost to enter the US high-volume shipping world – the world of large retail, fulfilment and distribution centres, healthcare and pharmaceutical companies. ProShip Inc. will be the cornerstone of our US shipping strategy and will be our platform to market all our shipping solutions notably mobility, tracking and tracing, RFID solutions and parcel lockers.”
John Berg, the vice president of ProShip, Inc., said his company was “eager” to be part of Neopost’s growth strategy in the US parcel industry.
“We are looking forward to promoting other shipping solutions developed by Neopost while accessing Neopost’s extensive customer base to generate commercial synergies,” Berg said.
Neopost has annual sales of EUR 1.1bn, with 6,100 employees operating in 31 countries, selling products and services into more than 90 countries. The firm sells technology including mailroom equipment, metering, folding/inserting and addressing systems, along with services including consultancy, maintenance and financing solutions, along with customer communications, data quality and logistics solutions.
