Savings Update

iStock_000004002458XSmallSince 2013, we’ve reduced clients’ mailing equipment expenses on average 60%.

Total savings over $40,000,000 and growing.

  • Helping our clients better manage their mailing expenses
  • Implementing savings and recovering lost funds 

Here is that breakdown:

 Top 10 Total Client Savings:

Mailing Equipment Savings – $27,867,451 – 60%

By negotiating individual and national agreements, as well as working with the end users, we were able to reduce mailing equipment costs by $27,867,451 (60%).  This savings represents the difference of what our clients were paying vs. the new prices we helped implement.  Also, we typically only make changes to locations at the end of their agreements.  We have plans in place with all clients to right-size future leases to further increase the savings numbers.

Top 3 Client Mail Equipment Savings

  1. $8,220.542 (63%) – Pharmaceutical Industry
  2. $5,835,779 (27%) – Business Services Industry
  3. $2,450,078 (65%) – Telecommunications Industry
Click below for mail equipment savings case studies:

Pharmaceutical Provider (89% Savings)

Uniform Manufacturer and Supplier (58% Savings)

Recovering Lost Postage – $2,888,553

By managing our client’s postage data, we are able to find closed and dormant postage accounts and help recover the funds.  As offices close, merge, or just terminate their postage meters, these funds can be forgotten.  Also, with the limited visibility and confusion around how postage accounts are funded, it can lead to money sitting idle for long periods of time.  We are constantly monitoring our clients accounts to recover lost funds and help them improve visibility and oversight for the future.

Top 10 Postage Recoveries

Finding Vendor Overcharges – $7,438,820

We examine every mailing equipment invoice to make sure clients are not overspending. We find savings in the following areas:

  • Contract Violations – Invoices that did not reflect the pricing inside the national agreements
  • Duplicate Charges – Locations being invoiced for meter rentals, maintenance, rate changes and reset fees when these costs have already been included in their all-inclusive lease agreements.
  • Closed Terminated Locations – At times locations continue to be charged for equipment that was either picked up or no longer used.
  • Un-Redeemed Loyalty Points – We help our clients redeem any unused points that can be turned into free postage and supplies.

Top 3 Vendor Overcharges

  1. Business Services $4,932,515
  2. Pharmaceutical $332,374
  3. Telecommunications $260,724

Eliminating Avoidable Fees – $360,214

We look for any fees that are not a requirement for the equipment and therefore can be eliminated.

The following are the most common fees that Postal Advocate finds:

  • Late fees and finance charges that can be over 20% of the cost of postage
  • Vendor-provided equipment insurance that is not needed since most companies have their own blanket policies
  • Loyalty programs and other miscellaneous fees that are unnecessary

Top 3 Avoidable Fees

  1. Uniform Services $49,463
  2. Healthcare $43,275
  3. Uniform Services $27,911

 

GET IN TOUCH
SIGN UP for our Free Newsletter

Enter your email and stay on top of things

Subscribe!