New contracts at Pitney Bowes Finance (PBF) have increased by 65
per cent in the three years to December 2007, while net finance
receivables have risen by 38 per cent.
The company linked this growth with greater integration of the
finance arm with Pitney Bowes’ manufacturing business.This
integration now functions in every country in which the company
operates.
Go deeper with GlobalData
Access deeper industry intelligence
Experience unmatched clarity with a single platform that combines unique data, AI, and human expertise.
The operation in France, for example, had come about by an
acquisition and the integration had the effect of turning around
the operation to one that has a 90 per cent penetration rate – and
a finance portfolio 70 per cent larger than prior to
acquisition.
After the UK, PBF is currently most active in France, Sweden and
Norway, although business is booming in several new markets,
including the Pacific area.
Gary Dawson, PBF’s international commercial director, said the
core business remains the financing of franking machines. “They
still consist of more than 50 per cent of total sales,” he said,
“but mailroom equipment also extends to industrial inserters
costing around £250,000 and larger sortation equipment ranging at
around £500,000. Towards the smaller end, small office/home office
equipment usually retails at below £500 per asset.”
PBF is currently implementing SAP business software throughout
its 15-country network. Dawson expects it to be fully integrated by
mid-2009 and that it will open up “a totally new growth platform
for us”.
US Tariffs are shifting - will you react or anticipate?
Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.
By GlobalDataApart from financing mailing and document technologies, PBF also
supplies marketing, accounts receivable and regulatory and
accounting expertise to the Pitney Group.
New PBF lease schemes include Purchase Power Post Now – Pay
Later, which permits customers to re-credit their postage by
phone meter without depositing advance funds. It also allows them
up to 25 days to pay, from receipt of invoice, while PBF pays Royal
Mail on their behalf.
“There is also,” Dawson said, “an interest-free credit period
and automatic acceptance for existing Pitney Bowes Postage-by-Phone
customers. Customers are able to charge their postage, rentals and
supplies to their Purchase Power account, and receive just one,
monthly, consolidated bill.”
