Speedy Freight nominated for major franchising award

March 9, 2019

Speedy Freight has been shortlisted for the Franchisor of the Year Award at the BFA HSBC Franchise Awards, to be held at the Vox, Birmingham, on June 27.

Speedy Freight offers a range of bespoke solutions to logistical challenges, such as linking with manufacturing systems, shipping, warehousing and final mile delivery across multiple industries, from retail to industrial, anywhere in Europe.

The company’s turn key package and strict guidelines to protect franchisees trading areas is key to the business’ continued success. It support centre employs a team of franchise development managers who, with a coaching approach, share best practice from across the network, support training programmes and provide reporting tools to track success and opportunities for improvement.

Mike Smith, Managing Director for Speedy Freight:

“Our vision is to be recognised for pride and professionalism in delivering innovative expedited solutions, whilst delivering a first-class service to all our customers. Becoming a finalist is a credit to our robust model and dedicated franchisees and colleagues.”

Related: Delivery, Parcel And Courier Franchises UK – Should You Buy A UK Courier Franchise?

“The awards evening is the flagship event in the franchising calendar and getting a nomination in itself is a major achievement, proving the business works ethically and in the best interests of franchisees and staff, fighting off many other companies vying for the accolade.

Pip Wilkins, CEO of the British Franchising Association (BFA), congratulated the company:

“Speedy Freight fully deserves its nomination for Franchisor of the Year after sending in a really detailed form showing how they have helped the whole network thrive.”

Andrew Brattesani, Head of Franchising, HSBC, said:

“We are using courier services more than ever, and Speedy Freight, which has been franchising since 2010, has really grown as a business and done so in an ethical manner.

“Its nomination is testament to its hard work and I wish the company the best of luck come the awards night.”

Speedy Freight will go head-to-head against five other franchise units in June from a mixture of sectors, including cleaning services, pet food services and a recruitment franchise.

Source: UK Haulier

Delivery, Parcel And Courier Franchise UK – Should You Buy A UK Courier Franchises?

February 19, 2019

Courier Franchise UK – the TOP 10 MUST KNOWS about finding and running successful UK Courier Franchises.

They may not offer the best margins out there, but UK Courier Franchises do open up some interesting opportunities for those who are willing to carve out their own spaces.

 
We live in a hyperconnected world. With billions of smart devices floating around and the internet access deeper, wider than ever, it’s safe to say that communication is at its absolute peak.

Apart from the obvious changes the technology has made to interpersonal relationships, the internet has had a definitive impact on the way businesses run. The retail industry, for one, has been revolutionised beyond recognition.

More and more people now prefer to shop online for everything from computers and accessories to clothes and even groceries. The courier and delivery sector in the UK has grown exponentially larger as a by-product of these e-commerce trends. People may not be writing letters anymore – but they sure are making up for this by ordering tons of stuff online.

In this article, we will be taking a look and how UK courier franchises have been integral to this trend. We will also try to understand what the growth potential for delivery and Courier Franchises UK is in the context of the peculiar last-mile problem that routinely troubles the e-commerce businesses today.

Courier Franchise UK – Know Your Numbers

UK Courier Franchises have performed steadily over the last 10 years, thanks to the fundamental nature of the services they provide. Before we dig deeper into what keeps propping delivery and courier franchises UK up, it’s important to understand the vital numbers for this industry.

  • The delivery, courier and postal industry in the UK has been a constant market fixture for centuries. Evolving from the systemic, far-reaching global trading outfit of the Victorian era, the present-day courier industry in the UK boasts of revenue in excess of £21 bn.
  • Over 20,000 distinct business entities operate in the UK courier industry. A large number of these are estimated to be franchise units.
  • The industry employs over 250,000 full-time workforce, making it one of the largest sectors in the UK in terms of employment generated.
  • The market share is typically divided between a handful of major players (Royal Mail, being the largest) and scattered, regional operations. As far as courier franchises UK go, the market presence is limited to covering local, final stages of delivery.
  • From 2014 through to 2019, the courier and postal industry in the UK has grown at about 7% per year. This rate is at par with the growth of the overall economy.

Sources: Statista, Ibis World

These statistical insights should be adequate to convey the fact that the courier industry has more to gain from perfecting their services rather than disrupting them altogether. It’s tempting to think about all the futuristic promises of drone deliveries and AI-fuelled algorithms, while also remembering that that’s clearly something more suited to big players with deeper pockets.

Courier Franchise UK – Making The Most Of Others’ Pain Points

In the introduction of this article, we pointed out that the growth of UK courier franchises – and the courier/postal industry in general – has a lot to do with the meteoric growth rates experienced by e-commerce businesses.

The life, however, isn’t easy for an e-commerce business. The pain points are many and the heavy emphasis on the personalisation of every aspect makes things worse.

Take the actual delivery of a product, for example.

When you order a product from an e-commerce website, you typically get to choose when it’ll be delivered to you. About 20 years ago, this would have been utterly impossible.

This one little luxury means that e-commerce businesses have to invest heavily in the way their inventory moves – giving a well-primed scene for courier companies to enter and take over.

The last mile problem is very much real and isn’t going anywhere any time soon. As long these market conditions persist, parcel and courier franchises UK can be confident of enjoying the same growth rates for the foreseeable future.

Recommended: Here’s Why Franchising Is Here To Stay

What Do Parcel and Courier Franchises UK Do?

Parcel and courier franchises UK are much like any other franchise operation – they aim to offer local, territorial support to the franchisor.

The costs of moving goods from one place to another are huge – unless you operate at a scale that justifies the investments. Combine this with the razor-thin margins of the business and you won’t have much trouble understanding why smaller courier businesses fail to expand beyond a certain point – the bottlenecks are just too expensive to crack open.

Many such businesses that reach the point of saturation resort to adopting the franchising business model.

A courier franchisee typically handles one or more aspects for the franchisor business at the local level.

Types of Courier Franchise UK

Broadly speaking, there are two major types of parcel and courier franchises UK.

Distribution Centres/Holding Centres/Depots

Distribution centres (also known as depots or holding centres) are ‘nerve centres’ of activity in a given territory. A depot franchise typically looks over all the incoming and outgoing parcels, mails and deliveries for the territory and coordinates with other depots as well as smaller units to run an efficient network.

Running a depot courier franchise typically involves larger investments, stronger workforce, and is best suited to experienced franchisors who have some prior experience in the industry.

Local Couriers

Local couriers are often the last cog in the logistics chain for franchisors. From the franchising point of view, these also happen to be the best bets in terms of availability.

A local courier franchise takes over the given (smaller) territory to complete the delivery for multiple courier businesses.

Perhaps, an example would better illustrate this point.

A FedEx package originating from London exchanges many hands before it reaches its destination in, let’s say, a Midlands village. The courier franchise takes advantage of the franchisor’s agreement with FedEx, securing a guaranteed business scale in their territory. Of course, multinational logistics and courier giants like FedEx have many such partnerships – so, it’s important to choose a franchisor that brings in some sort of unique selling point that your unit can rely upon.

Recommended: How Franchising Market Research Can Save You A Ton Of Money

How Much Do Parcel and UK Courier Franchises Cost?

As far as investments go, courier franchises UK are at par with most other franchise sectors. To read more about other UK franchise sector, do bookmark our blog.

On average, a Courier Franchise UK will cost you anywhere between £15,000 and £40,000. The minimum initial investment for courier franchises UK comprises of two major costs:

  1. Initial franchise fees: This is a one-time fee that franchisees need to pay to buy a franchise unit from the franchisor. It reflects the business structure, brand value, operational expertise and market share of the franchisor.
  2. Infrastructure costs: Most franchisors expect you to put up a certain percentage of the minimum initial investment towards building a workable infrastructural setup. This involves leasing a warehouse/office location, acquiring vans, buying computers, putting in place adequate IT solutions and training.

The operational expenses for courier franchises UK include:

  1. Rent (this is a major component of ongoing, operational expenses if you’re renting a commercial warehouse)
  2. Staff salaries
  3. Marketing expenses
  4. Franchisor commissions
  5. IT expenses
  6. Utilities like electricity and internet
  7. Vehicle maintenance and fuel costs
  8. Insurance
  9. Taxes

How Do UK Courier Franchises Make Money?

The business model for UK courier and parcel franchises is straightforward.

Since you’ll be working as the local unit for the franchisor, the incomings will almost always be directly attributed to them. In most cases, the franchisees earn commissions based on the volume of parcels/deliveries handled each week in various categories. Larger, heavier parcels and packages often yield better revenues for businesses, pushing more and more UK courier franchises towards a B2B model.

A typical, well-run UK courier franchise can hope to break even within 20-24 months of trading. To account for this period, you need to make sure that you have enough working capital and cash reserves.

Recommended: Should You Invest In A B2B Franchise?

How To Market Parcel A Courier Franchise UK?

As is the case with most businesses today, everything eventually boils down to how effective and efficient your marketing plans are.

“Running a well-oiled courier franchise means constantly re-investing in marketing. The sector is fiercely competitive to say the least, and your clients will never think twice before switching to your competitor who offers cheaper services – even by a single penny.”

Since we are referring to smaller, localised courier and parcel franchises UK, it’s safe to focus on affordable but effective marketing.

This usually involves a three-pronged approach:

Business Networking

The best way to secure a good deal of business and improve your visibility is to strike ‘deals of scale’ with local businesses. Almost every business out there has some need for courier partners. If you can find local e-commerce businesses, that’s even better. In other words, use networking as an essential marketing tool.

Local Advertising

If B2C deliveries is your target market, it pays to advertise heavily at the local level. Offering on-call pickups, free quotes and express services are just some ways for courier businesses to win over customers.

Digital Marketing

Digital marketing is an important marketing arm for modern businesses. By working with experienced digital marketers, you can tap additional lead generation channels like social media, organic searches and PPC/PPE ads.

Parcel Courier Franchises – Are You The Right Fit?

Not knowing whether you’re fit to run a business or not is probably the most common reason for franchise businesses to fail.

So, before you invest your hard earned money in a courier franchise, here’s what you need to know:

  1. Courier franchises do not give you the flexibility you typically expect from your own business.
  2. As a courier franchisee, you’ll be expected to be open well before and beyond the regular working hours.
  3. Larger businesses have pretty much every aspect of the business automated and streamlined – you’ll need to work extremely hard to align your services with theirs if you are to win their business.
  4. Things will often be tough. If you don’t have what it takes to make good business decisions, don’t shy away from hiring someone who does.

Recommended: Should You Buy A Franchise At All?!

Top Courier Franchise UK

Here are our picks of some of the most popular UK parcel and courier franchises.

1. InExpress

  • Minimum Initial Investment: £24,999 (plus VAT)
  • USP: Affordable logistics and courier solutions for SMEs
  • World class carriers
  • 350+ franchise units in 14 countries
  • Full training
  • Complete tech solutions
  • Ongoing support
  • Scalable marketing
  • Full BFA Member

2. Post and Packing

  • Minimum Initial Investment: £25,000 (plus VAT)
  • USP: Order fulfilment and packing services for businesses
  • Innovative business model
  • Full training
  • Ongoing support

3. Dor-2-Dor

  • Minimum Initial Investment: £8,000 (plus VAT)
  • USP: Leaflet distribution and mailing partner for businesses
  • Combines marketing with postal services
  • 30+ years in business
  • Full training and support
  • Low-cost
  • Home-based opportunity

4. Speedy Freight

  • Minimum Initial Investment: £38,500 (plus VAT)
  • USP: Leading same day courier and freight business
  • Over 2,500 vans on the road
  • 30+ franchise units in operation
  • Full training on offer
  • Business support
  • Full BFA Member

5. World Options

  • Minimum Initial Investment: £32,500 (plus VAT)
  • USP: B2B parcel delivery business
  • Large network of clients
  • Little to no overheads
  • Home-based courier franchise
  • Funding support available
  • Full BFA Member

Parcel And Courier Franchise UK – The Takeaways

  • Understand the competitive nature of the industry.
  • Talk to franchisees that are already in operation.
  • Know your numbers well.
  • Be prepared to withstand the period before you start booking profits.
  • Focus on franchisor businesses that offer locally favourable solutions.
  • Try to carve out a niche – competing with big players as a franchise unit will take you nowhere.

Related: Courier Franchises – Search Franchise Reviews Directory

If you have a first-hand experience of running a courier franchise, do let us know. We’ll make every effort to feature your submissions on our website.

Zedify expands Outspoken’s UK cycling delivery services

August 12, 2018

Zedify, the delivery arm of the Outspoken cycling franchise, has launched its zero-emissions transportation service in Edinburgh.

The new Zedify facility is Outspoken’s seventh in the UK, following Cambridge, Glasgow, Norwich, Waltham Forest, central London (Smithfields Market) and Brighton. Bristol, Birmingham, Manchester and Liverpool centres are expected to open soon.

“We’re aiming to be in 30 cities in two or three years,” says Outspoken’s managing director Rob King, who founded the courier firm 13 years ago. “We changed from Outspoken Delivery to Zedify because we wanted to give the delivery brand its own identity.”

Outspoken Delivery became Zedify on June 21 – Clean Air Day.

Bike display in the bicycle shop at The Bike Depot, which is run by Rob Turner, previously of Ben Hayward Cycles. Picture: Keith HeppellBike display in the bicycle shop at The Bike Depot, which is run by Rob Turner, previously of Ben Hayward Cycles. Picture: Keith Heppell

“We still have Outspoken Training and Outspoken Cycles doing events and training, and now we have the shop as well,” says Rob, referring to the retail section of The Bike Depot, Outspoken’s habitat near the Science Park.

The in-house urban cycling store sells a range of cargo bikes, tandems, triplets and electric-assist load luggers. The shop is run by manager Rob Turner, who joined from Ben Hayward Cycles in April.

The courier rebrand has allowed the Zedify team – which is led by Rob and Brighton-based co-founder Sam Keam, who founded Recharge in the seaside city – to enhance its in-town delivery service.

“We’re now bigger nationally,” says Rob, “but it’s not just about bikes, it’s about zero emissions transport.

Zedify, The Bike Depot, 140 Cowley Rd, Cambridge. Picture: Keith HeppellZedify, The Bike Depot, 140 Cowley Rd, Cambridge. Picture: Keith Heppell

“There’s been a sea change in the market because city emissions and congestion are now so significant, so the aim is to make zero emissions scaleable, and for a business to do that we have to be national. We’ve invested in the technology, so the big change for us is the ambition, and we can now offer big retailers the option to do something in terms of deliveries.”

Related: Delivery, Parcel And Courier Franchises UK – Should You Buy A UK Courier Franchise?

Zedify’s service involves both delivering to individual customers and moving goods in bulk for the crucial last-mile hike – “it’s actually the last four or five miles”, says Rob.An electric van is available for pick-ups outside that area.

The new locations are set up as licensee partnerships: each depot has its own manager, responsible for its local sales and operations but hooked up to a national IT system developed with Theale-based software sopecialist Skotonung.

Rob believes the future is bright for the sector.

“The next big step would be if politicians cracked down by introducing congestion charging. Some people with vans doing five or so deliveries a day would then look at alternatives.

“Change is difficult but it’s just the ‘how’ not ‘whether’ – you’ll never get change if you don’t incentivise the alternatives.”

Source: Cambridge Independent

Franchise firm World Options moves out of Haslingden to new base

July 3, 2018

World Options, which offers franchisees the chance to run their own shipping business by using their business support and software, has moved into its new HQ in Petre Court, Clayton-le-Moors, from Haslingden.

World Options has more than 100 franchise holders worldwide, with offices in Netherlands, Belgium, Australia and USA, has a turnover of over £25million and employs more than 30 people at the moment. They also handle around a million shipments per year.

But with a new office in Atlanta and a tie-in with logistics giant UPS, managing director Stewart Butler and finance director James Edwards are hoping to maintain their phenomenal rate of growth.

And Mr Butler, who has a background in shipping before creating the new firm 14 years ago, said they were hoping to grow with East Lancashire at its core after seeing a gap in the market.

Related: World Options franchisee wins ‘Millionaires Row’ for hitting £1m sales in one year

He said: “We are effectively a buying group, we buy off the carriers such as UPS, DHL, FedEx and TNT wholesale and try and help offer affordable shipping solutions for small and medium-sized carriers.

“The problem of the small business is that they can’t have an assigned account manager, because it costs too much money. They don’t get the service they deserve.

“What we provide is an old-fashioned ‘white glove’ approach when we go in and find out what their needs are and provide a low-cost solution.

“Some firms will use multiple carriers for different customers, which means multiple payments, multiple invoices etc.

“With us all carriers are under one umbrella, one log-in, one account manager and we automate the whole process.

“Our growth has been quite phenomenal in the UK. We have had that as we nurture the client through face-to-face relationships.

“We train franchisees here, centrally, and then they go out and solicit local businesses.

“They get access to the portal and online systems, access to the rates and our admin services. We basically offer franchisees a business in a box. “They find customers and retain customers and we do the admin centrally.

Related: Delivery, Parcel And Courier Franchises UK – Should You Buy A UK Courier Franchise?

“We see East Lancashire as the mothership and we can probably double the amount of people we employ in this new building. It’s one of the reasons we chose to relocate here.”

Franchisees pay £30,000 for the right to the franchise and a monthly software and admin fee, leaving the franchisees to concentrate on their customers as World Options staff take care of everything else.

And franchisees have a non-geographical area so they are able to find customers wherever they please, an approach quite unique in franchising.

Mr Edwards added: “The investment is significant and the type of people who are attracted to franchising are usually entrepreneurial people, who want to run their own successful business and franchising is one of those markets which has a 95 per cent success rate. So if people are looking to invest in a nice, safe nest egg thus is a good place to put the money.

“The franchisee is responsible for getting into the local community, networking and understanding how the local business use shipping.

“We are delighted to get into the new building. It’s a prestigious business park and it’s in a great location.

“We have been franchising for five-and-a-half years now and we have had more than 50 per cent growth year on year. In these austere times it’s incredible.

“But small businesses are looking to save money and streamline the business and give them a better service.”

Source: Lancashire Telegraph

World Options franchisee wins ‘Millionaires Row’ for hitting £1m sales in one year

June 15, 2018

Proof that franchising can be just as lucrative as running your own business, a franchisee for World Options has been awarded after generating over £1m revenue for his franchise arm over the last 12 months.

Stuart Douglas from Guildford was presented with the Millionaires Row accolade at the online parcel delivery service’s national conference for franchisees, where it gathered its franchise network to celebrate its recent successes.

Since becoming a franchisee for World Options four years ago, Douglas has become the chain’s highest earning franchisee making £1m in sales of online shipments and impressive £500,000 gross profit in the last 12 months.

Alongside Douglas, Russ Thornton and Steve Brock from the Manchester South franchise were awarded second place for also achieving Millionaires Row status.

The conference, which took place at the Hilton in St George’s Park, was also attended by World Championship and European Championship gold medallist Derek Redmond (pictured left) who spoke about overcoming adversity to reach success. Redmond was famously carried across the finishing line by his father when he pulled his hamstring at the 1992 Olympics.

With over 75 franchisees operating across the UK, World Options is looking to help more budding entrepreneurs follow in Douglas’ footsteps.

The franchise promises flexible hours with a home-based business opportunity, access to world-class software, and 100% residual income.

Related: Delivery, Parcel And Courier Franchises UK – Should You Buy A UK Courier Franchise?

Stewart Butler, group CTO and founder of World Options. said:

“The last 12 months have been an exciting and busy time for us, we have invested in new IT systems to help World Options franchisees become even better at what they do.

“And since the official opening of our offices in the USA in January 2018 we are now authorised resellers for UPS, only the second company to do this in the USA, which is a fantastic position to be in.

“I would say there has never been a better time to join the World Options franchise, we have the best tools in place to help franchisees succeed and build a fantastic business for themselves.”

Source: Start-Ups