|
Low network brand awareness is a major issue for the specialist pallet
networks is one of the findings of the new survey of palletised
distribution customers published this month by Triangle. Where a
customer's local carrier was part of a national pallet network, the survey
found that 70% of respondents could not correctly identify the network! It
was also evident that some of the express parcels carriers, TNT for
example, gained better recognition for their palletised distribution than
most of the specialist pallet networks.
“There are serious implications here for the pallet networks” commented
Robin Parr-Davies, Triangle Head of Research and Consultancy. “Since most
of these specialist networks are licensee based, low customer awareness
for the national network brand leaves individual local hauliers the
freedom to change networks without much risk to their revenue. At this
stage of development of this relatively new sector, when good network
members can be at a premium, customers' loyalty to the national brand can
be a very important factor.”
The in-depth survey of 300 customers, sending out palletised shipments
typically up to 6 pallets per consignment, also discovered that the
founding network, Palletline, which was established back in 1992, no
longer held industry leadership. This leadership may now have passed to
Palletways which apparently handles the most pallets. Palletways also
scores well in the survey for customer awareness, customer usage rating
and customers' perception of service quality. “Indeed, many of the more
recent specialist networks gain very positive ratings for a number of
service and quality issues”, added Parr-Davies. “For example when relating
overall service to price, Pall-Ex, Palletways, The Pallet Network and
Securicor Connect all came out well.”
Despite the better overall awareness ratings of some express parcels
carriers in this palletised distribution market, when rating for overall
level of service, eight out of the top ten were specialist pallet
networks. “This fact should not escape the attention of the parcels
carriers if they are to maintain their interest in this sector” added
Parr-Davies.
“Although this is a relatively new market in the UK, at Triangle we have
calculated its potential value to be already around £2 billion per annum.
The specialists have created this niche sector and it is set to continue
its 30% - 40% volume growth pattern, aided by the impact of the Working
Time Directive, amongst other factors. The express parcels carriers have
already sat up and taken notice, as witnessed by the recent acquisition of
Weaver Pallet Express by Business Post.”
“Triangle believes that there will be further developments in 2-3 day
pallet delivery services as operators seek to maximise productivity at
their currently under-utilised hub facilities; there will be more
acquisitions or consolidations in the market and we should see increased
levels of marketing activity with more emphasis on central account
management. All these factors will ensure that the sector remains high
profile for a while yet.” concluded Robin Parr-Davies.
|
|
Notes to editor:
This new Triangle report (The UK Pallet Distribution Survey) has been
based on the long running (15 years) UK Parcels Distribution Survey which
is today the standard benchmarking study for the express parcels industry.
The Pallet Survey, at more than 100 pages, is a major industry
satisfaction survey of 300 users of palletised distribution networks and
includes both the specialist pallet networks and those express parcels
carriers with an interest in palletised shipments. This is the first time
such a survey has been conducted into this relatively new, but fast
growing, industry sector and is available for purchase at a cost of
£11,000 + VAT.
As well as the UK Domestic Parcels Distribution Survey and this UK Pallet
Distribution Survey, Triangle will also publish later this year a French
Express Distribution Survey. There are also plans to extend this form of
customer satisfaction benchmark study to other European distribution
markets such as the Republic of Ireland, Germany and possibly Italy or
Spain.
Triangle Management Services Ltd., founded in 1984 is today the
pre-eminent independent specialist management services company within the
global mail, express, and logistics sectors. As well as market research
surveys, Triangle also offers the following services to clients:
Recruitment, Consultancy, Mergers & Acquisitions and Conferences - all
focussed on the mail and express industry sectors.
For further information contact: Robin Parr-Davies of Triangle Management
Services Ltd. on +44 (0)870 950 7900 e-mail:
RobinP@triangle.eu.com
|
