Savvy Shopper
by Mie-Yun Lee
Tampa BayBusiness Journal, October 19, 1998
You need to have a document sent across town, and it's 4:15 p.m. andthe receiving office closes promptly at 5 p.m. Leaving your desk to bravetraffic would not be productive, and sending it by fax is not an option.What do you do? You call a courier service.
Courier services have made a business out of helping other firms meetdelivery deadlines, particularly in high-traffic urban areas. Using bikeand foot messengers for downtown deliveries and vehicles for longer orlarger runs, ground courier services specialize in same day pick-up anddrop-off. While some focus exclusively on package deliveries in the downtownarea, other services extend coverage to the metropolitan region and beyond.
While they may not seem all that different, there are some differencesto keep in mind. One area where courier services often differ is in thetimeliness of their delivery practices. For example, some services canbe called at a moment's notice, whereas others focus their business onrouting, meaning your package will get to its destination over the courseof a messenger's day. Although routed delivery may be perfect for a payrollprocessing company that distributes checks on a weekly basis, it certainlydoes not meet the demands of a law firm that needs to rush documents tothe courthouse within 30 minutes. Also, some services operate only duringweekdays, while others have messengers on call 24/7.
The courier industry is highly competitive, and entry into the marketrequires very little initial capital investment or experience. Therefore,thoroughly investigate the track record of potential suitors by makingan effort to speak with current clients that have comparable delivery volumesand requirements.
Ask questions:
Is performance consistent?
Is messenger turnover, which can affect how well a courier knows notonly the address, but how to get around a building, high?
You may also want to test trial several different couriers by givingthem packages that don't need to be rushed and noting how quickly theymake the drop off. Guarantees of delivery performance are always a plus.
Even more crucial is to request a copy of the certificate of insuranceverifying the coverage that the service carries. A courier company thathas zero or little liability coverage may translate into a future lawsuitagainst your company if the messenger happens to get into an accident whiledelivering your company's package. Besides liability, two other types ofcoverage to look for are cargo and bonding. The former covers packagesthat have been damaged or stolen while being transported by the courier.The latter protects against employee theft.
Depending on the city, average prices for a standard-sized package deliveredlocally range anywhere from $4 to $16. Depending on the urgency of thedelivery, the size of the package, and the distance it needs to travel,tack on an additional 50 to 200 percent for rush or off-hours delivery.Try not to keep your messenger waiting, either, as that could potentiallycost you another 20 to 50 cents per minute after an initial five- to 10-minutewait.
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