Streamlite stopped operations “due to the loss of a critical customer,” according to the company Web site. The Atlanta-based company, which used the U.S. Postal Service for last-mile delivery delivery, joins the ranks of now-defunct parcel consolidators APX Logistics, Parcel Corporation of America and DDU Express, wrote David Ross, of Stifel Nicolaus, a financial services firm.
“The company's (price-sensitive) customers should find their way first into the networks of FedEx SmartPost, DHL Global Mail, and Newgistics, in our view, as those are the main remaining small package consolidator options (vs. the faster and more expensive FedEx Ground or UPS Ground products),” Ross wrote.
He estimated Streamlite had annual revenue of $200 million and delivered up to 250,000 packages daily. Between 20 percent and 50 percent of the Streamlite business will be picked up by FedEx SmartPost, and UPS is less likely to pick up as much volume because the parcel giant lacks “a stand-alone consolidator product offering,” Ross wrote.