Why next day delivery guarantees cost your business money

daughters 6th birthdayIt was my youngest daughter’s birthday yesterday, she was 6 and she didn’t have the things she wanted for her birthday. I didn’t have a lot of time this year to find each present individually and I made the decision to shop online. On Wednesday I ordered all of her presents and I paid extra for guaranteed next day delivery.

But Thursday came and went, and they didn’t arrive. They didn’t arrive Friday either and I spent 30 minutes on Friday cancelling the orders for failing to be delivered on time. I got everything refunded back to me and then I went to Lakeside and bought her gifts.

When I had my money refunded from the gift companies, the delivery charges were refunded too as all the companies had promised me next day delivery and had failed to do that. As a business they still have to pay the courier company for the failed delivery and hope that the items are returned to their depot. If they are not for one reason or another, they lose the cost of the product as well as the cost of the failed delivery.

If the delivery cost £7 and the item £13, that’s £20 off the bottom line of your business. Now imagine this happening 100 times , that’s £2000 off of your profits, multiply that over a week and you are losing 10k of profits.

As a business you may have the time and a dedicated member of staff to sit there and collate all the data and file insurance claims and recoup some of that money but some will always slip through.

Isn’t prevention better than cure?

I should have gone to Lakeside in the first place. I shouldn’t have relied on an external courier and I thought that guaranteed next day delivery meant exactly that. At the time of ordering I was thinking like a customer rather than thinking like a delivery expert.

I know that things go wrong at the delivery hubs, I know that drivers don’t turn up and that agency drivers don’t do the work they should do. As a customer this isn’t my problem, my problem is taking the day off of work or working from home to wait for something and then it doesn’t get delivered. As a customer it’s frustrating and as a delivery business myself I get annoyed that the companies own thought is not getting my goods delivered but their profit sheets.

Friday I rang the delivery companies and asked why my goods hadn’t been delivered. One reason was they couldn’t find the house. We have our own postcode, we are the only property in that postcode. The chances are the driver didn’t even look to deliver our item, he or she wanted to get back to the depot and say it was undeliverable. One company said they didn’t have the item. It was lost, their tracking showed it was in the system but the reality was they couldn’t find the package. The third company said we were not in. So I asked for the failed delivery ticket, they didn’t have one. They promised re-delivery on Saturday but that didn’t happen either.

Only same day courier services are guaranteed, everything else next day / economy delivery is open to debate, even when promised to arrive at a certain time.

It’s in the small print. If you are reading this and thinking about your company deliveries let me ask you one thing – are you sending out and losing so much stock that you need a member of staff to fix the problem? Isn’t time you looked at prevention of the problem in the first place? Is it possible that your desire to save money and save a £1 per parcel is costing you business, time and energy that would be better spent rearranging the deckchairs on the Titanic; that would give you are better return than chasing down errant parcel companies.

The moral of the delivery story?

Next day can mean any time in the future, check your parcel companies small print. It doesn’t mean next day if your parcel company is short staffed or can’t find you on their sat nav, or they can’t find your package.
If you are leaving Christmas shopping online to the last minute remember that parcel deliveries triple in December and you should really be ordering the goods now in order to get them on time.

Kevin

What is a dedicated courier?

furniture loaded into a vanThere are quite a few types of courier service available, and if you don’t know the difference you can find you are wasting time and making calls to the wrong companies.

A dedicated courier is similar to a same day courier, but your goods are on a dedicated vehicle. There are no other loads or goods on the van, and the driver collects and delivers directly. The drivers are very smart and the vehicles are unmarked.

Who would use a dedicated courier?

  • Solicitors / Legal firms with time sensitive documents
  • Companies submitting tenders to Local Authorities
  • NHS Trusts needing components and equipment moved fast
  • Manufacturers and supply chain solutions looking to avoid down time of production equipment
  • Clients looking for confidential deliveries
If you have purchased a fragile item, then it may be possible depending on the size and the weight of the item that you also need a dedicated courier. Fresh produce also needs this type of delivery service.
If you are not sure about the type of courier that you need, please ring around and ask some questions. Quite often you will be told by the companies you call what type of service you need.

How expensive are dedicated couriers?

How much a dedicated courier costs depends on certain variables such as distance travelled, toll roads and vehicle size. This type of service is a premium service because the items are very time sensitive. If something cost a few hundred pounds and was easily replace then sending it by Royal Mail would be the best option. If the item was irreplaceable then you send it by dedicated courier.

How does this service operate?

The driver that collects the item is the driver that delivers. There is no co-loading, no stopping, no mucking around with maps and finding directions. Everything from route planning to item security is planned prior to collection. As a customer, you would call and book the service, send email confirmation and make payment for the delivery. All the rest is handled by your delivery company. These types of couriers are best for rush jobs, time sensitive, and fragile freight.

Petra

 

When is a XLWB van not the van you want?

Do you know why you want your Extra Long Wheel Based (XLWB) van?

  • Do you want it for the weight?
  • The bulk?
  • The extra .3 of a metre?

Knowing what you want your van for means you can get the correct one for your delivery.

The Iveco is 4.5 metres long but can only carry 1100kgs, the Citreon XLWB is 4.2 metres long (loading length) but carries 1500kgs.

When booking your courier service and ordering your XLWB vehicle explain what you are needing it for and they will book you the correct vehicle. Simple sharing of the vehicles use will see you get the correct one every time.

Sarah

How to get your freight delivered on time

Imagine a day where you are not dealing with late delivery complaints.

For us that is every day.

boxes for Freight delivery

Sick of late freight?

As providers of courier services we know how tough it is to get your freight delivered on time. We are fortunate though – we have a process that we are going to share with you and if you follow these steps your freight will always reach it’s destination intact and when it should.  The day you cease to have customers calling about late deliveries is now a few steps closer.

1. When a customer wants a delivery double check their location details

Sometimes a customer calls from one location (that you have on your database) but they want their pallets delivered to a different destination. They don’t tell you but they do tell the warehouse. This means when you schedule the delivery their isn’t enough time for subsequent deliveries because you are routing to the wrong delivery address. A quick check at the booking stage can save your business hours.

2. Manage your clients delivery expectations from the outset

If your client calls at 8am and want their pallets in Birmingham at 10am that is not a problem providing you are also in Birmingham. However if you are in Edinburgh or London you will not be able to get the pallets to their destination in 3 hours. Not even documents using a motorbike could get delivered in that time frame. If you manage your clients expectations openly and honestly then you will have less phone calls hassling you.

3. When outsourcing to a courier service check that they have all the customer details…

… and that those details are correct. Email the courier the correct delivery addresses, phone numbers and details of service areas (especially if they haven’t delivered for you before). If there are issues parking at the delivery destination tell them now. The better prepared they are the more likely they are to be on time with your consignments.

4. Named contacts

Inform your courier service of the person ordering the job at collection and delivery points. If the job is a “special” or “screamer” then sometimes the general warehouse staff are not aware of it. Make the loading and unloading process faster by providing points of contact with phone numbers. A good courier company will ask for these at the time of booking.

5. Documentation

Most hold-ups at collection points involve the documents travelling with your freight. Call the warehouse and prepare them in advance for urgent collections and make the office staff aware of that days deliveries and who is collecting them. Without the correct documents a warehouse won’t release the freight and this will make the delivery late. A few minutes here can save you an hour and you avoid paying waiting time.

If you run through the 5 steps every time you outsource a delivery you will rarely have a problem getting your freight delivered on time.

Sarah

Delivering wedding gifts

Today’s blog is rather topical – delivering wedding gifts.

First congrats to Kate and William, we hope your day goes well and that your married lives  are filled with happiness.

Second, who is going to move all the gifts after the wedding?

In the case of the Royal wedding their will be staff on hand to pack the gifts up and transport them back to their new home. Their biggest problem is loading the vehicles safely so that items are not broken.

For not so affluent newlyweds  family help out and transport items back to their home. Again careful loading needs to take place.

If you have your gifts in a room at a hotel, be careful!

It has been known for a distracted receptionist to allow the wrong people in to collect the wedding gifts and for the gifts never to bee seen again! That’s no way to start a relationship :(  Collecting gifts from a room in a hotel will always be precarious for just one person, the room is open, the vehicle is in the carpark and it can take time to load and reload. Be vigilant and get help!

Larger wedding gifts can always be delivered direct to the bride and groom, along with any really valuable items.

Anyone need a Tiara delivering?

Kev