Transfinder Reports Record Revenue with Majority of New Clients Ditching Competitors’ Products
Schenectady, NY, January 30, 2020 -- Transfinder Corp. closed 2019 with record revenue for the 22nd consecutive year. The global logistics software developer ended 2019 with $16.75 million in revenue, up 15 percent from the previous year and more than doubling the company’s revenue increase in 2018.
Factors contributing to the record year included a major increase in new clients leaving competitors’ products for Transfinder’s solutions and an increase in clients turning to cloud hosting solutions.
“In 2019, we more than doubled our revenue increase from the previous year with a 15 percent jump versus the 7 percent increase we experienced in 2018. I believe this is a sign of things to come,” said Transfinder President and CEO Antonio Civitella. “The industry is starting to pick winners with an eye toward what company is best positioned to meet the future needs schools will have going forward with a total package. Transfinder’s existing products and the solutions we’ll be rolling out this year will only strengthen our foothold in the school logistics market.”
Transfinder continues to see a majority of its new clients migrating from a competitor’s product. The remaining of the new clients were manually routing students rather than using a software product. Until recently, half of Transfinder’s new customers had no system.
“We are seeing schools wanting to work with one vendor for all their transportation technology needs,” Civitella said. “Some call it ‘one throat to choke’ but I prefer the positive phrase ‘one back to pat.’”
Civitella said there is still a sizable pool of North American school districts manually designing bus routes and bus stops that Transfinder will continuing to reach in 2020.
School districts’ transportation needs have become too complicated to handle manually, Civitella said.
“A district does not make the decision to change systems easily,” Civitella said. “So when a district leaves a competitor for us, it is significant. It’s a vote of confidence in our direction as a company.”
Another shift that took place in 2019 is the number of clients wanting their data hosted in the cloud rather than on their own premises. Today, 40 percent of Transfinder’s 2,000-plus clients have their data hosted on Amazon Web Services. However, 70 percent of all new clients request being hosted on AWS. Transfinder is the only major routing company that provides clients with the choice to either host their data on their own premises or on the cloud.
“We believe this is the district’s choice as each school has its own unique needs and comfort levels,” Civitella said. “The trend, however, is more and more districts are feeling comfortable having their data in the cloud. And we have cultivated an excellent relationship with Amazon.”
Highlights in 2019 include:
- 22nd consecutive year of annual revenue growth;
- 149 new clients (majority migrating from a competitor’s product);
- Attended 26 trade shows;
- Sponsored the Aurora Games, Siena College athletics and Tri-City ValleyCats;
- Named a Best Place to Work;
- Announced plans to open an Innovation Center in India 2020;
- Increased internship program;
- Released upgrades to a number of products;
“2019 was a very good year despite some challenging conditions,” Civitella said. “2020 will be an even better year. We are projecting a 20 percent revenue increase, bringing us to $20 million in 2020.”
Founded in 1988 and headquartered in Schenectady, New York, Transfinder is a national leader in intelligent transportation systems, providing transportation management systems and services to municipalities, school districts and adult care facilities. Transfinder, an Inc. magazine “fastest-growing company” for 11 consecutive years, has offices in Austin, Texas, and Shanghai, China. The software company, named a Best Place to Work and Top Workplace, develops and supports routing and scheduling solutions for optimal transportation logistics. For more information, visit www.transfinder.com.