When Rockstone initiated coverage of Glance Technologies Inc. in June 2017, the stock was trading at $0.165 CAD with a market capitalization of $12 million. Yesterday it closed at $1.29 (+682%), enjoying a market capitalization of $170 million thanks to an innovative app and payment system with a focus on the $600 billion restaurant sector. Today, Rockstone presents the next high-flying candidate from the tech space with a ground-breaking solution most of us have waited for, and is already conquering Canada: ParcelPal Technology Inc.
With 30.5 million shares issued and outstanding, ParcelPal has a current market capitalization of $10 million, whereas it should be noted that the company is already generating revenues and has, most recently, entered an explosive growth path that is poised to accelerate. Today, the company released a must-read Corporate Update on Milestones, Innovation, Expansion and Breakout Strategy for 2018.
My colleague Chris Parr from Vancouver has in-depth knowledge of the North American tech industry and published a "spot on" report on ParcelPal today, copied below. He is a former investment adviser at a Canadian Brokerage firm and has consulted with several early stage private and publicly traded technology companies in helping arrange financing and business development over the past 10 years. A message from the author, Chris Parr:
"Hello readers, I’m excited to present you with this report. I truely believe that ParcelPal is a great opportunity for investors looking for an early stage opportunity that has large future growth prospects. As you will soon discover the management team has been able to execute and created something quite amazing out of very little capital and is now working with some very large companies like Amazon, and is well capitalized to execute plans. Please remember to assess the investment for yourself and consult with your advisor."
Breakthrough innovation in delivery and logistics… Revolutionizing the way we shop
By Chris Parr on February 7, 2018 (PDF)
“I want it and I want it now.” So the pundits say is the mind set of millennials and Gen Z, generations that have grown up amid instant access to information and unprecedented awareness of other peoples’ lifestyles. Businesses, for their part, have long been this way, as some processes simply cannot move forward without the availability of certain items or documents.
Vancouver based ParcelPal Technology Inc. (CSE:PKG) is leveraging these dynamics for various demographics providing on demand delivery in local markets that beat the likes of most modern and standard shipping practices. As ubiquitous as Uber is around the world, ParcelPal has been rapidly expanding in Vancouver and is often considered by professionals in the tech community to be the “Uber of delivery” or the “Uber of things”. ParcelPal is the modern way for consumers to get virtually anything delivered from local businesses quickly and affordably.
With the advantage of mobile commerce, ParcelPal has capitalized on creating an innovative application that makes everyone’s life better. Either through their application, or an integrated eCommerce brick and mortar store, consumers who choose ParcelPal as a delivery method from local businesses will have what they want delivered in under an hour or less. Their technology handles the complete requirements of all delivery logistics by bringing the merchants and customers onto a single platform. Why wait 5-7 business days when you can get what you want in an hour?
The company is on a mission to drastically enhance the efficiency of on demand delivery services for retail stores and restaurants that are unable to offer such services because of the high cost associated with having staff, vehicles and logistics infrastructure. Now for the first time ever this new technology makes it possible for any storefront or business to have fast delivery capabilities to their local customers at affordable prices.
How it works
The ParcelPal platform – whether it’s a merchant or a consumer, is a user friendly marriage of software and logistics. When a customer wants something delivered they simply log on to the ParcelPal app and view a list of merchants available in their area. Once the customer makes a selection, they place the order and pay online through the ParcelPal secure ordering platform. The order is then prepared by the store and brought directly to customers by a ParcelPal driver to their location within an hour or less.
Much like the famed Uber system, couriers are rated on a scale by customers and merchants, therefore the higher the drivers rank the more likely he/she is to receive the new alerts.
ParcelPal’s technology automates and facilitates the entire ordering and delivery process. This advanced technology gives the power back to the merchant for facilitating fulfilment of orders and managing their last mile logistics. ParcelPal’s merchant platform includes web based services, back end services and mobile applications. ParcelPal’s system will gain merchants new customers by driving consumer traffic to their store and help retain current customers. ParcelPal’s technology is aimed at driving additional consumer traffic to merchant’s business.
Instead of just offering food delivery, ParcelPal offers an all-in-one marketplace for virtually any goods for quick, direct, efficient delivery. The main verticals the company is targeting are food, liquor, cannabis and retail which are all large market opportunities in Canada and North America. With these verticals, it only makes sense that they will soon be delivering groceries amongst a plethora of goods from local business they could be delivering for – giving these businesses a true competitive advantage compared to their counterparts that don’t. ParcelPal has aimed its sights on the B2B and B2C markets to begin with, focusing on omni-channel sales via e-commerce and brick and mortar storefronts of all kinds. Pushing the boundaries of local commerce is just the start for ParcelPal.
The mission has now become a reality
After a very successful beta test that yielded happy customers, strong repeat order flow and a 0% fraud rate the company is planning to scale the technology in major cities across Canada. From the news on July 11th, 2017, ParcelPal’s President and CEO commented on the excitement around the new technology and the customer uptake of the service. User adoption has been exceptional - nearly 3000 users have downloaded the app within the first month of launching.
President and CEO Kelly Abbott states, “Nothing is more satisfying than seeing our Vancouver beta launch roll out flawlessly. We are very excited to make the app available to the public to download and experience. When it comes to the fastest way to deliver something in the city, there is no one that does it as quickly, easily, and as inexpensive as us.” Abbott continues, “We are aiming to unlock a huge market of local commerce within any city, and we are confident that we can bring thousands of local brick-and-mortar businesses online and onto the ParcelPal platform. We’ll continue to explore opportunities in ecommerce and logistics within local markets.”
ParcelPal teams up with Amazon.com - see´s explosive growth
With the recent launch of their technology platform, ParcelPal has gained the attention of large online retailers. Most notably, one particular online retail giant, Amazon.com Inc. ParcelPal recently signed a work order contact with Amazon.com Inc. to fulfil package delivery on behalf of Amazon in Vancouver, B.C. They have had exceptional growth with both the app launch and this contract, seeing over 115% growth week over week in package volume, where over 150,000 packages delivered in total since mid-November. In a mere month, ParcelPal scaled from 12 employees to over 100 and has easily been able to handle and maintain the growth. Additionally, ParcelPal is happy to report that Q4 was a record quarter where they recorded nearly $390,000 in revenue.
Kelly Abbott, chief executive officer of ParcelPal, commented: "We are extremely excited to be working with such an amazing and innovative organization. Our work order contract with Amazon represents a key milestone in becoming a leader in the logistics space and Uberizing the movement of things. We look forward to further developing our relationship with Amazon and expanding our organization into other territories in the near future and will continue to ramp up operations immediately to meet demand."
As a result of completing the recent financing of $1.6 million dollars, ParcelPal has an aggressive expansion plan for 2018, as they are planning 2018 to be the break out year for the company. Since the software has launched live in Vancouver, the company plans on adding and integrating multiple verticals to diversify revenue and growth opportunities. Since launch, they have landed over 150 restaurants in the Vancouver down town core and have also recently launched alcohol delivery. The next stage in ParcelPal’s growth cycle will include adding grocery, further retail and a ‘Get Anything’ functionality where users can order virtually anything and ParcelPal will deliver the item to them in under an hour.
CEO and President Kelly Abbott commented, “As part of our strategic plan, ParcelPal will begin further marketing efforts in Vancouver and expand our reach into other Canadian cities. We will simultaneously ramp up recruitment of drivers in these select cities to accommodate anticipated demand.” Abbott continued “As strategic growth and expansion are the key priorities for ParcelPal, we intend to reinvest heavily into the company’s on-demand operations and advancement into our technology.”
The biggest gain with on-demand delivery is that it blurs the difference in convenience between online and offline shopping. Customers are able to enjoy the flexibility and concessional pricing of online shopping and still have immediate product access that is native to offline shopping. On-Demand delivery is the next revolution in eCommerce that will reap in benefits for retailers and merchants as well as their many customers. Combined with efficacy of ParcelPal, On-Demand delivery is a fuss-free affair for consumers and merchants.
ParcelPal recognizes that one of the biggest problems people face is balancing work vs. personal life. Time constraints add to the stress we all experience. We’ve all found ourselves wishing we could spend more time doing the things we want to do, and less time doing the tasks we have to do.
ParcelPal trades on the following exchanges:
Canada: (CSE: PKG)
Germany: (FSE: PT0)
United States: (OTC: PTNYF)
Share structure/ investor overview
Shares outstanding: 30,451,780
Management holdings: 8,000,000 +
Current market cap: $10M
52 Week high: $0.59
52 Week low: $0.05
Estimated burn rate: 20-30k / month
Meet the ParcelPal team
President and CEO, Kelly Abbott
Kelly has over 10 + years’ experience in entrepreneurship and software management and is extremely passionate for disruptive innovation. Kelly has made a career of identifying opportunities within early stage and existing start-ups. He is a highly skilled business analyst, specializing in process design/redesign, solution development and all aspects of supply chain management. Kelly is experienced in management, technology development, business development, sales and marketing, and capital markets. Kelly is a director and the current CEO of ParcelPal and runs the day-to-operations.
Marketing Director, Dylan McRobert
Having helped facilitate growth for both tech start-ups and ad agencies Dylan has a deep understanding of business and consumer side acquisition and go to market strategies. He takes a highly analytical approach to marketing strategy and implementation, combining this with his keen eye for design and UX/UI. Dylan’s hybrid approach ensures a consistent and effective brand experience across all consumer touch points. Dylan currently runs all marketing aspects at ParcelPal Technology.
CTO, Shane Erno
Shane brings a passion for disruptive innovation. He has 16+ years of professional experience in software development, specializing in internet applications and services. He´s an extremely experienced and passionate developer, and is responsible for the underlying architecture of ParcelPal Technology. Shane currently runs all aspects of software management, outsources and quality control at ParcelPal Technology.
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Disclaimer and Information on Forward Looking Statements:
All statements in this newsletter, other than statements of historical fact should be considered forward-looking statements. These statements relate to future events or future performance. Forward looking statements in this document include that Parcelpal can take a chunk of delivery transactions globally; that Parcelpal can dominate delivery transactions in Vancouver; that Parcelpal could become a billion dollar company like Uber; that Parcelpal has game changing delivery technology; that there may be global adoption of Parcelpal’s mobile delivery technologies; and that Parcelpal will be a major beneficiary of the growing legal marijuana industry. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements. Risks include that Parcelpal’s technology may not work as well as expected, may not be accepted by industries as expected, competitors may create better or cheaper technology, Parcelpal’s potential inability to attract and retain qualified people, or inabiilty to raise sufficient funds to carry out its plans or even to continue operations, among other risks. Risks and uncertainties respecting technology companies and Parcelpal in particular are disclosed in the annual financial or other filing documents of Parcelpal and other technology companies as filed with the relevant securities commissions, and should be reviewed by any reader of this article.
About Zimtu Capital Corp. and this Newsletter
This newsletter is an online financial newsletter published by Zimtu Capital Corp. We are focused on researching and marketing resource public companies where we have a pre-existing relationship (almost always as shareholder and a provider of services). Nothing in this article should be construed as a solicitation to buy or sell any securities mentioned anywhere in this newsletter. This article is intended for informational and entertainment purposes only. The author of this article and its publishers bear no liability for losses and/or damages arising from the use of this article.
Be advised, Zimtu Capital Corp. and its employees are not registered broker-dealers or financial advisors. Before investing in any securities, you should consult with your financial advisor or a registered broker-dealer.
Never make an investment based solely on what you read in an online newsletter, including Zimtu’s online newsletter, especially if the investment involves a small, thinly-traded company that isn’t well known. Most companies featured in our newsletters, and on our website, are paying clients of Zimtu (including Parcelpal). In most cases both Zimtu and the writer of this report own shares in the companies we feature. That is the case with Parcelpal. For those reasons, please be aware that we are extremely biased in regards to the companies we write about and feature in our newsletter. Because our featured companies pay fees to us for our a variety of services, including public relations, and we almost always own shares in the companies we feature, there is an inherent conflict of interest involved that influences our perspective on these companies. This is why we stress that you conduct extensive due diligence as well as seek the advice of your financial advisor and a registered broker-dealer before investing in any securities. When investing in speculative stocks of this nature, it is possible to lose your entire investment. Information in this report has been obtained from sources considered to be reliable, but we do not guarantee that it is accurate or complete. Our views and opinions regarding the companies we feature on in our newsletter are our own views and are based on information that we have received, which we assumed to be reliable. We do not guarantee that any of the companies mentioned in this newsletter will perform as we expect, and any comparisons we have made to other companies may not be valid or come into effect.
Rockstone Disclaimer: Fundamental risks and conflicts of interest exist. The publisher, Stephan Bogner, does not own any shares in ParcelPal Technology Inc. but may initiate a long position shortly and is paid a monthly retainer by Zimtu Capital Corp., which company holds a long position in ParcelPal Technology Inc.