March 30th, 2014

Neopost develops a Fit-to-size parcel creator to address the rapidly growing fulfillment needs of e-commerce

The machine was developed in close collaboration with a leading e-fulfillment company in The Netherlands. The first model has been in operation since October 2013 and has fulfilled over 200,000 parcels.

Bagneux, March 24, 2014 – The rapid growth in e-commerce is pushing the demand for automated fulfillment solutions. A high volume of labor-intensive work still exists today in the filling, packaging and processing of parcels. The CVP-500 automates and optimizes all the steps of fulfillment as soon as an order has been picked up from a warehouse.

 

 

The unique CVP-500 fit-to-size parcel creator produces a perfect parcel for each specific order. It can create, fill, fold and label each parcel in a different optimized size in one seamless process.

 

The CVP-500 is a truly innovative solution that creates significant benefits for the operating company, the carrier and the end customer. Due to its revolutionary automated fit-to-size and parcel design capability, the CVP-500 offers the following key business benefits:

- Boosts productivity: the CVP-500 is 10 times faster than manual packaging

- Reduces shipping volume per box by up to 50%, by eliminating unnecessary volumeand reducing shipping costs

- Saves up to 20% of cardboard

- Eliminates filler materials with tailor-made parcels

- Environmental benefits are significant due to less use of corrugated cardboard and by avoiding unnecessary transport volume

 - Minimizes cardboard storage by eliminating a vast number of standard boxes

- Increases output with the same warehouse floor space

- Thanks to fully automated processing the risk of unnecessary return shipments is minimized compared to manual operation

- Creates a more professional image thus improving brand image

 

The CVP-500 combines all of these benefits through a unique concept: “boxing the product, not filling the box”.  As products in the e-commerce business significantly vary in size, this fit-to-size parcel concept has major advantages, compared to selecting a box from a limited or standard range of boxes, filling it up manually and then closing the over-sized box. As the need for automation and process improvements is growing not only in B2C e-commerce but also in B2B e-commerce, we strongly believe this innovation has come to the market at the right moment.

 

The first CVP-500 has already been installed at a leading e-fulfillment company in The Netherlands. It has been in operation since October 2013 and fulfilled over 200,000 parcels during the holiday peak season.

 

Denis Thiery, Chairman and Chief Executive Officer of Neopost, comments: With our unique fit-to-size parcel creator Neopost has generated interest from e-commerce retailers in Europe as well as in the United States. We are convinced we can provide our customers with a unique solution which can help grow their business in the near future and improve their fulfillment operations.

 

Philippe Boulanger, Chief Technical Officer at Neopost, comments: “The R&D team in The Netherlands adopted a Lean Startup approach for the customer’s exploration process in a very efficient way. We have confirmed the validity of a certain number of assumptions and identified many key learning points thanks to the early operating phases of the first CVP-500".

 

About
NEOPOST IS THE EUROPEAN LEADER and the number two worldwide supplier of Mailing Solutions, and an increasingly important player in the area of Communication and Shipping Solutions. A specialist in mailroom equipment, Neopost offers the most advanced solutions for franking, folding/inserting and addressing, in addition to a comprehensive range of services, including consultancy, maintenance and financing solutions. Neopost is also gradually developing a portfolio of new activities with the aim of reinforcing its offer to clients in the areas of Customer Communications Management, Data Quality and Logistics Solutions.

 

With a direct presence in 30 countries and 6,000 employees, Neopost generated full-year sales of €1.095 billion, in 2013. Its products and services are sold in more than 90 countries. Neopost is listed in the A compartment of Euronext Paris and notably belongs to the SBF 120 index.