Well, well, reprographers, maybe you should consider getting into the “franking” business!
And, no, I’m not referring to hot-dog(ing)!
Before you read Service Point’s most recent Press Release, which mentions “franking”, you’ll need to have (well, I needed to get) a basic understanding of what “franking” is.
Definitions of Franking on the Web:
Franking (or "franks") are any and all devices or markings such as postage stamps (including printed and/or embossed on postal stationery), printed or stamped impressions, codings, labels, manuscript writings (including "privilege" signatures), and/or any other authorized form of markings ...
Definitions of franking machine on the Web:
A machine that automatically stamps letters or packages passing through it and computes the total charge …
Okay, now that we’re all familiar with what “franking” is and with what a “franking machine” does, here’s the Press Release I found today on SP’s web-site: (Note that, although the Press Release is dated Jan 13, 2011, I’m pretty sure that it was just posted on SP’s web-site yesterday):
Service Point’s Dutch subsidiary re-ensure and extend franking contracts worth over €15 million
Service Point Benelux represented 30% of revenue in 2010 The contracts extend for minimum one year and cover franking services The franking services represents a 20% of the revenue of the unit in Benelux
January 13th 2011. –
In recent weeks the Dutch subsidiary of Service Point Solutions, S.A (ticker: SPS.MC) has re-ensured contracts worth over €13 million for the provision franking services. They also arranged new franking contracts worth over € 2 million new business. In 2010 the Dutch and Belgian operations, combined, accounted for 30% of group revenue. The contracts have a minimum term of one year and can be extended for further terms.
By adding franking contracts to print and mail services, Service Point uses its economy of scale to provide their clients a unique value proposition for combined print & mail solutions.
Benelux is the only unit of Service Point that operates the franking business. Late last year, SPS has renewed its contract with the Dutch Foundation "Children Stamps Stamps Foundation for the Welfare of Children, for a period of three years. This new contract is valued at 1.5 million euros.
The production of stamps for this year represents 2 millions stamps.
On average the degree of renewal in Service Point stays over 95% and have an average period of between 2 and 5 years. It should be noted that companies have renewed have been working with Service Point Solutions since 2002, showing the satisfaction with the service received.
According to Juan Carlos Peiro, COO of Service Point Solutions, “This success demonstrates Service Point’s competitive advantage in the Dutch print & mail market, using the franking proposition as a enabler for targeting new business and logos”