How Important Is Route Distribution To A Courier Company
Route distribution is the key service of a long term growing
courier company. Route distribution offers a regular scheduled
run and billing cycle which in turn brings regular business to
the company. Opposed to rush delivery which you never know when
the account will order or how many times they will need the
service in a month, the business using your service may go
months without calling. The on demand or rush delivery is also a
last minute service with a tight deadline, so when the customer
calls you may be unable to offer your services do to the
location of your drivers, the account then has no choice but to
call another courier service company, if that company is able to
complete the service they then may receive future calls from the
company you once had as a customer.
A healthy striving courier company is usually at about
seventy-five percent route distribution and twenty-five percent
on demand or rush delivery accounts. There is more money charged
for a rush job, which benefits the driver and the company,
however, the hassles and time restrictions make route
distribution much easier and profitable in the long term. Once a
route is set in place it runs smooth and error free, the route
is on a schedule and after a one day training period any driver
is able to take the route and do it on a daily basis. The
courier company also always has the ability to add new accounts
and "fit" new stops into existing routes or rearrange routes to
be more profitable for the company and the drivers.
Route distribution accounts may consist of many different areas,
we will start with the two most abundant and common for a
courier service company. They are bank transit work and bank
deposit work. Bank transit work consists of setting up a route
distribution for a banking corporation, each bank requires its
work at the end of the day to either be sent to a processing
plant or directly to the Federal Reserve if the bank process the
work themselves or "in house." The courier company who lands the
account with the banking corporation will have to set up a route
with one or multiple drivers to go to the banks, pick up the
work, possibly meet other drivers to drop of the work and then
run the work to the processing plant or to the "Fed." This work
is always on a time critical schedule, and the original
distribution planning maybe a bit tedious, but once in place
will run smoothly and efficiently.
Bank deposits are another common service for route
distribution, this usually requires the courier company to land
accounts with local business in an area. The company then offers
to pick up the daily bank deposits from the business and deposit
them into their bank accounts for them. This is a daily pick up
and delivery from many different small business to their local
banks. The banks of a small town or city are all usually located
in a small area, and with enough accounts from the local
business it is possible to charge a small fee which makes it
worth it to them, while getting enough accounts that the driver
is depositing possible ten bank deposits from different
companies to one bank which each uses, then only traveling
across the street to drop off ten more for some of the other
business.
A strong, healthy and efficient route distribution service is
extremely important to a courier service company. The routes
offer daily services which offerees monthly billing and payments
from business. This allows the courier company to have a steady,
relied upon income and also creates an infrastructure of drivers
who will then also be able to handle rush and on demand jobs,
while at the same time running the route. The possibilities are
endless and always challenging, however you can see how
beneficial a strong route distribution can be to a growing
courier company.