Is outsourcing your delivery service a good option ?
Many business owners deliver ordered goods to their customers themselves. They deliberately do not want to use national parcel services for fear of loss, breakage and/or delays. In addition, many customers like it when someone comes on behalf of the company from which they also purchased the items.
Own delivery service
However, an in-house delivery service can be quite expensive and also involve a lot of hassle. The entrepreneur would rather be busy selling his products than delivering them.
The costs consist mainly of the cost of one or more vans and labor costs or one’s own time if one does the delivery oneself. Often business owners think they save money by delivering something themselves. However, this often overlooks the fact that the business owner usually cannot generate revenue during delivery.
Outsource delivery
It may be a good idea to outsource this delivery service to a courier company / (local) parcel service for several reasons. However, it is important for this company to present itself on behalf of your company and only deal with your orders during the delivery route. I will list a few points that are important when outsourcing your delivery service.
- Appearance
It is very easy to provide the driver/driver with your corporate clothing. Even if all he has on is a jacket, vest or polo shirt that has your name and logo on it. It will be instantly recognizable to your customers that he or she is coming to deliver items ordered from you. - No major investment in vehicle(s)
Most goods will need to be delivered by van. Small items with a small van and larger items with a van, possibly equipped with tailgate if the goods are too heavy to lift. Of course, a representative van is not cheap. For a small van you soon pay €14000 excl VAT and for a large van with tailgate you soon pay €35000 excl VAT. In addition, of course, there are ongoing costs such as road tax insurance and maintenance. Of course, if this van is also regularly idle because there is not much to deliver, it is an additional waste of investment. If you outsource your delivery service to a courier company, you do not need to purchase your own vehicles. Moreover, you can switch easily. If you have 10 small packages to deliver you ask the delivery driver for a small car and if you have a large shipment once you simply ask for a larger vehicle. - No high labor costs and risks
Every business owner knows that personnel costs can add up considerably. It doesn’t stop at the gross hourly wage. Employer charges, vacation pay, sick leave, vacations. If you employ 1 delivery person, he or she obviously wants to be able to work enough hours, and he or she will also want to take the occasional vacation. This is not surprising, of course. You will then have to find a replacement during the vacations, and if someone calls in sick at the last minute, they often don’t have a replacement at all who can step in immediately. If an employee gets sick for an extended period of time then the double costs are around the corner and that does not make one happy. Outsourcing is also the answer here. The courier company has several people who can deliver, and if someone gets sick or has vacation, someone else who has experience in this kind of work just comes. Is there a quiet period and few deliveries? Then you only pay for the hours that do get worked. If you don’t have any orders for a week then you will also have no delivery charges at all that week. With an in-house delivery service, the costs just keep running. Depreciation, road tax, insurance, labor costs. - Route planning
Youdon’t have to spend time plotting the right route either. A good courier company has the right software to calculate the ideal route for a route with more or many addresses. - Proof of delivery
Couriersare generally accustomed to always requiring a signature with name before receiving a shipment. The delivery driver can use delivery slips that you provide, or you can ask that the delivery driver create his own list. This can all be decorated to your own taste. Of course, you may also consider no signature for receipt necessary. - Easy
Perhaps you are unsure if your business is suitable for hiring a delivery service. There is no reason to do so. The question is in what ways can the delivery service best adapt to your business? You can’t think of anything or the delivery man can meet your needs. Very early delivery, very late delivery, signature for receipt, call the customer some time before arrival, checkout on location etc etc.
Ask about the possibilities. You will be surprised how easy it is to outsource your delivery service.
Are you interested in outsourcing your delivery service? If so, please contact us without obligation.
