Not really. You do need packing materials.. but Endicia, Stamps.com, and even the USPS website will let you print postage. And you can request a free pickup through the usps website.
That's your real competition...
Absolutely! However USPS only does pickups from 10-2 M-S. You need to be there or leave the package outside.
We will be soon adding support for UPS, Fedex, Ontrac and a bunch of other regional shipping company. Ship through Shyp and we handle everything.
I've also heard some UPS Stores will pickup, package, and ship packages for you.. but it's up to the store (they're independently owned).. don't know how widespread that is.
I really don't have anything else to add... It's an interesting idea.. How compelling it is depends on the price I would think.
The question now begs whether the benefits of their service warrants the extra cost?
Size of the box is also a very important factor. Using the free USPS boxes, it can be double or even triple the cost of a tight fitting box. Size does matters ;) We currently have 20 different sized boxes in our warehouse.
We are trying to offer an amazing service but still remain competitive to current pricing.
Saying that, there will be a ton of people who will do anything to save a dollar. I value my time very highly and assume a lot of other people do as well.
What would be cool is if you provided the same kind of service that paypal does for shipping (print and prepare labels etc.) as an addon / plugin to shopify or other shopping cart systems.
Check out Ordoro for printing labels. I think they integrate into shopify. Not our business.