Stamps.com 2015 Annual Report Download - page 42
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Please find page 42 of the 2015 Stamps.com annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.2014 2013 % Change
CoreMailingandShippingRevenue $ 139,672 $ 120,232 16%
Non-CoreMailingandShippingRevenue 2,124 2,876 (26%)
MailingandShippingRevenue 141,796 123,108 15%
2014 2013 % Change
Averagepaidcustomersfortheyear 500 466 7%
Averageannualrevenueperpaidcustomer $ 280 $ 258 8%
CoreMailingandShippingRevenue $ 139,672 $ 120,232 16%
TABLE OF CONTENTS
Coremailingandshippingrevenuein2014was$139.7million,anincreaseof16%from$120.2millionin2013.Non-Core
mailingandshippingrevenuein2014was$2.1million,adecreaseof26%from$2.9millionin2013.
Thefollowingtablesetsforththebreakdownofmailingandshippingrevenue,whichincludesCoremailingandshippingrevenue
andNon-Coremailingandshippingrevenuefor2014and2013andtheresultingpercentchange(revenueinthousands):
TheincreaseinCoremailingandshippingrevenuewasdrivenbybothanincreaseinannualaveragepaidcustomersandan
increaseinannualaveragerevenueperpaidcustomer.Annualaveragepaidcustomersincreased7%to500,000in2014from466,000
in2013.Annualaveragerevenueperpaidcustomerincreased8%to$280in2014from$258in2013.ThedecreaseinNon-Core
mailingandshippingrevenuewasprimarilyattributabletolowermarketingspendintheonlineenhancedpromotionchannel.
Wedefinepaidcustomersforthequarterasonesfromwhomwesuccessfullycollectedservicefeesatleastonceduringthat
quarter,andwedefineaveragepaidcustomersfortheyearastheaverageofthepaidcustomersforeachofthefourquartersduringthe
year.
ThefollowingtablesetsforththenumberofpaidcustomersintheperiodforourCoremailingandshippingbusiness(in
thousands):
Year
First
Quarter
Second
Quarter
Third
Quarter
Fourth
Quarter
Annual
Average
2014 492 492 500 514 500
2013 465 467 464 468 466
ThefollowingtablesetsforththegrowthinpaidcustomersandaverageannualrevenueperpaidcustomerforourCoremailing
andshippingbusiness(inthousandsexceptaverageannualrevenueperpaidcustomer):
Theincreaseinpaidcustomerswasprimarilydrivenby(1)ahighernumberofStamps.comnewpaidcustomerscomparedtothe
prioryearasaresultofourincreasedspendinginCoremailingandshippingmarketingchannels,(2)theadditionofnewpaid
customersfromShipStationandShipWorksasaresultofouracquisitionsin2014,and(3)ourcustomerchurnratesremainedatlevels
thatwereconsistentwiththeprioryear.
ForourCoreMailingandShippingBusiness,ouraverageannualandmonthlyCoremailingandshippingrevenueperpaid
customerin2014was$280and$23.27,respectively,whichincreasedby8%comparedto$258and$21.51,respectively,in2013.The
increaseinaveragerevenueperpaidcustomer(“ARPU”)wasprimarilytheresultoftheadditionofnewpaidcustomersfromour
acquisitionsofShipStationandShipWorkswheretheARPUforthosenewlyacquiredpaidcustomerswashigherascomparedtothe
ARPUfromtheexistingStamps.comsmallbusinesscustomersaswellasgrowthinStamps.com’shighvolumeshippingbusiness.
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