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  • 1. Straight to the Point Annual Report 2007

2. Gain greater insights from my customer data | Reach customers when theyre ready to buy | Speed production of sensitive communications | Expedite delivery of domestic and international mail | Cut postage costs | Create targeted marketing campaigns | Pick the best location for my next retail store | Track incoming mail and packages | Give my international mail a local look and feel | Protect my corporate brand | Manage multi-carrier shipping | Cleanse my address database | Merge multiple databases | Get purchasing power for all my mailstream needs | Gain greater insights from my customer data | Reach customers when theyre ready to buy | Speed production of sensitive communications | Expedite delivery of domestic and international mail | Cut postage costs | Create targeted marketing campaigns | Pick the best location for my next retail store | Track incoming mail and packages | Give my international mail a local look and feel | Protect my corporate brand | Manage multi-carrier shipping | Cleanse my address database | Merge multiple databases | Get purchasing power for all my mailstream needs | Gain greater insights from my customer data | Reach customers when theyre ready to buy | Speed production of sensitive communications | Expedite delivery of domestic and international mail | Cut postage costs | Create targeted 3. Everythingwe dohas onegoaltoensure thatour customersachievetheir goals. Murray D. Martin President and Chief Executive Ofcer 4. Feels like home: Boost global response rates with a local approach D I A B E T E S W E L L N E S S N E T WO R Kat the University of Minnesota, Harvard THE FOUNDERS OF THE DIABETES Wellness Network bring their ownUniversitys Joslin Diabetes Center, the personal passion to the pursuit of aUniversity of Miami and other major cure for type 1 diabetes, also knownresearch centers. as juvenile diabetes, a devastating The foundation also does its fund-raising illness that can lead to a host of life- on an international scale, conducting threatening conditions. direct-mail campaigns in the U.S. and Michael Gretschel and John AlahouzosEurope to raise more than 90 percent began raising money for diabetesof its contributions. It relies on Pitney research more than 30 years ago after Bowes International Mail Services to Gretschels son and then his daughter consolidate its mail in the U.S. and ship were diagnosed with the disease.it to various countries. Each mail piece Their foundation has raised more than displays the destination countrys postal $150 million and helped establish the indicia and a local return address, as rst pancreatic islet cell transplant if it were created and mailed there. center in the U.K., at Oxford University. The result: faster, more economical It also supports groundbreaking workdeliveryand better response rates. 2 P I T N E Y B OW E S A N N UA L R E P O R T 2 0 0 7 5. SATURN OF CHARLESTONvendor, it often took up to 10 days for a AS MARKETING DIRECTOR FOR THE mailing to reach prospects. The lost time Saturn dealership in Charleston, South spelled lost opportunity. Carolina, Ken French knows that timing is everything. When Saturn introduces Pitney Bowes showed the dealership special promotions, its his job to get how it could reduce turnaround prospective buyers into the showroom time and cut costs in half by moving to take advantage of these limited-time the direct-mail operation in-house. offers. The salespeople can take care The solution includes Pitney Bowes of the rest. address-cleansing software, folding and inserting equipment, and an advanced French has been extremely successful digital mailing system. Now, it takes using a multichannel marketing stra- just one day to produce and send as tegy Saturn of Charleston ranks ninth many as 4,000 direct-mail pieces. This among more than 460 Saturn dealer- makes the salespeople at Saturn of ships. But direct mail had always posed Charleston very happy. special challenges. Using an outside Strike while the iron is hotwithout burning through the marketing budget P I T N E Y B OW E S A N N UA L R E P O R T 2 0 0 7 3 6. L A C U R AC AOcurrently operates 10 big-box stores in A S A S M A L L B U T G ROW I N G R E T A I L chain catering to the Latino population Southern California and Arizona and in the Southwest, La Curacao cannot plans to open a store in Nevada in 2009. afford to make mistakes when picking Location is a critical factor in countless new store locations. It uses AnySite other strategic and operational deci- Online from Pitney Bowes to help sions whether its deploying police, ensure that doesnt happen. planning a network or assigning risk La Curacao uses our AnySite tool tofor insurance purposes. Our expertise analyze income levels, shopping pat-and advanced technology help busi- terns, drive times, and a wealth of other nesses and governments worldwide information to assess the protabilitygain deeper insights from location- of potential new sites. La Curacaorelated data. Map the path to growth with our location intelligence tools 4 P I T N E Y B OW E S A N N UA L R E P O R T 2 0 0 7 7. P I T N E Y B OW E S A N N UA L R E P O R T 2 0 0 7 5 Carnaval 1994 Precita Eyes Muralists. 19th & Harrison Streets, San Francisco, CA.Directed and Designed by Joshua Sarantitis with Emmanuel Montoya.www.precitaeyes.org 415.285.2287 8. B O U YG U E S T E L E C O MThe company does not undertake IN LITTLE MORE THAN A DECADE, Bouygues Telecom has emerged as such relationships lightlyfor instance, one of the leading communicationit operates its own call centers rather companies in France. Its strategy?than entrusting this other critical Innovative pricing plans, creative usecustomer touch point to a vendor. of technology and, most important, Says Laurent Biojoux, Bouygues Telecoms an unwavering commitment to excep- executive vice president for customer tional customer service. relations: We want our bills to be as Its monthly statements represent an clear as possible, inspire condence, essential component of the companysarrive on time, communicate our latest customer communications strategy. offers and do anything else that will Bouygues relies on Pitney Bowes tomake life easier for our customers. print, insert, send and track this large, complex mailing to as many as 9 million customers and to protect the integrity of these sensitive documents. Get the right information to millions of customers, on time, every time 6 P I T N E Y B OW E S A N N UA L R E P O R T 2 0 0 7 9. Turn that routine report into a must-read for your clients JOHN HANCOCKa generic document containing Now, each of the 45,000 plan sponsors T O I M P ROV E C L I E N T C O M M U N I C A - tions, John Hancock Retirement Plan information on the full universereceives an enhanced communication Services knew it needed to communi- of John Hancock investment options. that includes just the information cate less. Counterintuitive, perhaps. that he or she needs. And while John Using our expertise in both communi- And surprisingly difcult to do.Hancock is still delivering the neces- cations and in managing vast amounts sary information to the plan sponsors, The nations leading provider of 401(k) of variable data, we worked with John it is also winning awards for its plans, John Hancock typically sent itsHancock RPS to design a process for the customer communications. 45,000 plan sponsors updated fund mass customization of these complex information twice a year. It had been documents.P I T N E Y B OW E S A N N UA L R E P O R T 2 0 0 7 7 10. Murray D. MartinPresident and Chief Executive Ofcer To our shareholdersThis annual report begins with stories about our customers to make a simple but important point: Our success depends on our ability to make our customers successful. It is only by achieving this goal that we are able to create value for all our stakeholders our employees, our communities and, of course, you, our shareholders.With this in mind, how did we do in 2007? Despite delivering less growth We made investments to strengthen our customer value proposition than planned in the second half of the year, we had a number of signicant and expand our capabilities in faster- accomplishments that we are condent will yield benets in 2008 and growing areas of the mailstream software, marketing services, and beyond. We made investments to strengthen our customer value proposition mail services. and expand our capabilities in faster-growing areas of the mailstream software, marketing services, and mail services. We also reorganized our businesses to be more customer-centric and launched a comprehensive effort to improve the end-to-end customer experience. And, we maintained a steady focus on operational efciencies, free cash ow, and expense management.In the area of U.S. postal reform, we continue to be actively engaged in the industry dialogue to implement the legislation that is transforming the mail- stream market environment in the United States. Postal reform sets the stage for long-term benets arising from unprecedented exibility in rate structure, the integration of more technology into the mailstream, and more incentives for partnerships to enhance the efciency of the postal network. 8 P I T N E Y B OW E S A N N UA L R E P O R T 2 0 0 7 11. Successful organizations continually reinvent themselves by building ontheir strengths and pursuing new opportunities. That is exactly what weare doing as we innovate across every segment of our business. Since we rst announced our growth strategies in 2001, we have beenexpanding our value proposition beyond our traditional strengths in theproduction phase of the mailstreamour mail-nishing solutions. Werecognized the need to move up the value chain and provide solutions thathelp our customers make more meaningful connections with their owncustomers. It is for this reason that we have been moving aggressively intothe so