TZL announcement 3rd May ? PBA relationship overview.PBA has an...

TZL announcement 3rd May ? PBA relationship overview.
PBA has an extensive and established base of corporate and government sector clients including Australia Post and the Australian Government Department of Defence. Since the signing of the memorandum of understanding between TZI and PBA as announced on 12 November 2010, PBA has been actively promoting TZI's Intelligent Locker solutions in the Australian and New Zealand markets and is currently in negotiation with a number of major companies for upcoming pilot programs and system deployment trials.

Hint 1: The 3rd May announcement spell's out the relationship PBA has with Australia Post.

Australia Post Overview

Australia Post Revenue is about $ 5billion a year
Post Offices 4800 around Australia
Posting Boxes 16000 around Australia

Australia Post & EBusiness (from Wikipedia)

In February 2010, Ahmed Fahour was appointed MD and CEO of Australia Post.[5] In May 2010, he announced a new strategy dubbed "Future Ready" designed to reinvigorate Australia Post. This included a new organisation structure as well as a renewed foray into digital businesses under the "eServices" Strategic Business Unit.

Hint 2: We know that Australia Post is looking at moving to incorporate internet related solutions into their business model

Potential Value (my interpretation)
TZ?s asset delivery package is modular and attachable in banks of 6 lockers. The Sterling Apartments from the youtube video is a bank in alphabetic order from A-M (horizontally numbered * 6 (vertical) for a total of around 90 lockers servicing approximately 400 apartments. Given that most suburbs have around 1000 houses + apartments (obviously density is higher in the CBD) you would expect at least a bank of 90 lockers in each designated post office location. However if the solution is deployed in apartment blocks this will typically supercede the requirement of going to a post office.

The number of lockers deployed will depend upon whether the strategy of picking up a parcel supersedes and overtakes targeted parcel delivery to an address.
The 4th July announcement of the deployment of 2 banks of PAD?s in the US for a value of $250K gives an insight into the potential value of a significant Australia wide distribution agreement, albeit that was for a corporate use rather than customer.

If a bank is installed in a post office the potential value could be in excess of $125K (1 bank?) +20% to 30% annual maintenance fee (20% is standard in the software industry, however this has a hardware component as well so it may be higher). Annuity revenue being a key component of generating a revenue stream.

Let?s say we get maximum saturation, 4800 (post offices) * 125K = $60 million initial project rollout and a $12-$15 million annual maintenance contract. Is $60 million a lot for a reinvigoration of an existing Australia wide distribution network? Could they be adapted to be incorporated into existing post box dropoff?s of which there are 16000 locations, we'll that's a different story.

Obviously there are a few logistical issues to overcome and questions such as; can existing post office boxes be retrofitted with the automatic locks? If so, the system can be adapted to any post office situation and size of post office box.

Anyhow these are just a few of my thought?s quantifying a value to a large distribution network suffice to say a win at this level is a company maker, let alone the multitude of opportunities around the globe.

DYOR
Note: My analysis is done using all information available in the public domain.