E-commerce services provider Mailpac Limited, in pushing to recover lost earnings, said it will, as part of the strategy going forward, seek to go after more customers through new products and services created to drive greater growth for the business.

The 25-year-old Junior Market-listed company, through its existing Pack Yuh Barrel (PYB) service added in 2022 and more recently launched Swoop initiative, wants to double down on revenues from these services as it targets different customer segments to further diversify its base.

PYB is an end-to-end barrel packing and delivery service while Swoop, which is deemed a “cutting-edge online shopping service”, utilises a more community-centric approach to reach customers.

“Swoop, launched in the third quarter of 2023, is an innovative sub-brand that is poised to broaden our customer base in the core of the consumer market in Jamaica, providing budget-conscious consumers with unparalleled value. Through strategically positioned order fulfilment centres across the island, Swoop will establish a direct connection with customers in the heart of their communities, enhancing service accessibility and underscoring our unwavering dedication to community development and robust customer relationships,” said executive chairman of Mailpac Khary Robinson during the company’s third annual general meeting on Friday.

“Our PYB service has also been well-received based on its ability to create unique savings from large shipments which would attract much higher cost for duty and freight if shipped traditionally. This solution has already expanded our captive customer base, to include budget-conscious consumers and even the Jamaican Diaspora abroad, all of whom are more focused on getting value for money,” he added.

Robinson in further speaking to a number of other customer satisfaction and employee engagement initiatives rolled out last year, said a multi-step plan at the end of 2022 was engaged to foster stronger customer relationships as the group ups its affinity to positively impact future performance.

“By offering tailored solutions to distinct customer segments, we are not only broadening our market reach but also enriching our customers’ experience by providing them with options that directly align with their preferences and values. At Mailpac we believe that building strong customer relationships is a critical element to success which goes beyond providing solutions and involves creating a meaningful connection that also resonates with the building of our brand,” Robinson further stated.

The company’s revenue performance which had significantly benefited from travel and lockdown restrictions during the pandemic years, in 2022 saw its margins fall down as e-commerce activities receded and competition in the local market increased. The outturns when compared, though above those in 2019, fell below those in the following years.

Revenues which totalled $1.6 billion in 2022 were 7 per cent below those in 2021, accompanied by profit of 308 million — down 22.4 per cent. This was carried over to the six-month period ended June 2023, which further saw reduced revenues of $804.1 million with a net profit of 134.5 million — 2.2 per cent below that of the same period last year.

Despite the drop in earnings, the company in remaining bullish on its plans for future growth said it is optimistic even as increased competition in the e-commerce market and other factors continue to impact its performance. Its latest initiatives complemented by the roll-out of more lockers as well as the build-out of new stores along with a revisit of previous acquisitions, the company believes, will help to pave the path towards it becoming a market leader in the space.

“Looking ahead we remain optimistic about our prospects. We will continue to focus on innovation, customer experience and sustainable growth. In 2023, shareholders can look forward to the roll-out of further strategic initiatives poised to create enhanced growth for the Mailpac group. Additionally, we are exploring both local and regional opportunities for acquisition and our partnership to drive the company’s revenues to achieve greater economies of scale,” the executive chairman said.