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Palo Alto Company Helps Businesses Boost Profits

Adding eCommerce can make the difference between success and failure, or push a profitable company to the next level. A Palo Alto company provides the tools for streamlining shipping while controlling costs.

Think postage is boring? Then you’ve never spent time talking with the founders or managing director of DYMO Endicia, a Palo Alto company that’s built itself into a postage powerhouse. How big, you wonder? Try $1.5 billion worth of business in 2011. Billion is not a typo. That kind of postage will speed 300 million packages to their destinations.

Endicia works with multi-national corporations, small businesses and independent online sellers. Regardless of size, the company gives each customer the tools needed to change shipping from a time-thief into an easily-completed task.

Back in 2000, Endicia realized that package shipments were rising as more goods were sold online. Postage meters are expensive for small businesses and require long contracts.  The alternative is trips to the post office and doing everything manually. Endicia stepped in with a solution—download the company’s software and print shipping labels with everything the USPS requires encoded directly into the label.

All shipping costs are automatically calculated. The labels include routing information, postage, insurance, security information and more—all encrypted—to keep your information private.

Endicia works exclusively with the USPS, which it considers a key component in helping businesses control shipping costs. “It’s one of the best-kept secrets of eCommerce,” said Steve Rifai, Managing Director of Endicia.

How? First, the USPS doesn’t have surcharges. Some of its major competitors have more than 150 surcharges. “Rural surcharges, fuel surcharges, business to consumer surcharges—one  competitor has 184 surcharges,” said Endicia Founder and CTO Harry Whitehouse. “And the surcharges are billed separately, so the shipper often doesn’t realize how much they’re paying.” Add free shipping boxes, and the USPS’s wildly successful “It fits, it ships” initiative, and the savings quickly begin to pile up.

Another benefit of using the USPS is security. Everything from diamonds to gold bullion is shipped by the post office. Why? Because it’s a federal crime to mess with the mail. The postal service has its own law enforcement agency.

Want more? The USPS delivers to every address in America and has global agreements with foreign postal services.

OK, so the guys at Endicia have proven that they could provide effective public relations for the USPS. But why choose Endicia over other companies? It’s the market leader for USPS sanctioned PC postage providers. The company was born and raised in Palo Alto—founders Whitehouse and Amine Khechfe started out sharing a single computer. Two years ago the company moved into spacious digs on Sherman Avenue to accommodate 130 local employees. Another 35 work elsewhere.

While the company has certainly grown, Khechfe still sees Endicia as a small business where he knows every worker by name. And he’s hoping that more small businesses, especially in retail, turn to eCommerce. “Retail is a bit soft. Expand online. Endicia makes shipping a breeze. Sign up online and start shipping within minutes.”

As a success story, Khechfe names a locally owned store in Stanford Shopping Center that’s making more money online that from the store.

Endicia’s website emphasizes the cost saving opportunities of using its products:

  • Discounted Delivery Confirmation™ and Signature Confirmation™
  • Discounted Priority Mail® and Express Mail® domestic and international shipments
  • Deeply discounted rates for Endicia Parcel Insurance
  • No contract required: Upgrade, downgrade, or cancel anytime
  • All solutions offer a free trial period

Endicia offers a 30-day free trial period. After that, the cost is $10 - $35 per month.

Customer service is top-notch.  Nothing has been outsourced—Endicia’s customer service specialists handle 700 calls a day, Monday-Friday, 6 am - 5 pm PT, right here in Palo Alto.

The Last Word

Khechfe: “Grow your business online. Come to Endicia—we’ll take care of your shipping.”

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