Research published by Triangle Management Services shows that customers in the extremely competitive world of parcels distribution are still concerned about poor customer care. Although despite the wide choice of services, suppliers can congratulate themselves on a high degree of brand loyalty amongst users.

The 2005 UK Domestic Parcels Distribution Survey shows that, alongside the surprising lack of consolidation amongst the distributors, there are significant areas of concern and no room for complacency. Customers are generally content with the service they receive from their carriers in terms of parcels collected and delivered on time. However they worry that, when problems do occur, their service providers are less interested in solving those problems. Perhaps one saving grace for the distributors is that this is a common problem across western Europe, as recent Triangle surveys have illustrated.

Almost half of respondents to the UK survey, the industry’s annual competitor benchmarking study, had been with their current carrier for more than five years and a further third for between two and five years. There is of course some variation between individual carriers; for example, Interlink Express can display a high rate of long-term customer loyalty, while others, such as Tuffnells, record more new business sales activity in the short term.

The 2005 report notes some resurgence of price activity in the market over the last 12 months, although those same respondents are also expecting the level of price increases sought by the carriers to lessen over the coming year.

Lack of pro-active notification

Whilst the 300 respondents interviewed by Triangle, each of whom dispatches more than 100 parcels a month, rated most individual carriers quite positively for a range of “harder” operational characteristics such as timely collections and deliveries, they remain much less happy with the industry in terms of the “softer” issues such as customer care and problem-solving. Respondents were also distinctly critical of carriers’ ability to be pro-active in terms of notification of lateness, damage or non-delivery of their consignments.

“This issue of pro-activity is a common problem in each of the express markets where we conduct similar surveys, in Germany, France and Spain as well as the UK”, comments Robin Parr-Davies, Triangle’s Express Director. “Customers are consistent in their view that they want the carrier to tell them when something has gone wrong with their shipment, whether that’s a late delivery or even a lost parcel. All too often, it seems, the carriers wait for the sender to ask them why something hasn’t yet been delivered before they investigate. The technology exists to be pro-active in these areas” concludes Mr Parr-Davies, “and it no longer represents an unacceptable level of investment, all that is required is the will to innovate”.

Other issues identified and commented on in the Triangle report include the merger of the Securicor Omega Express and DHL brands into “new” DHL Express which was completed by the end of 2004, the extent of express pallet distribution in domestic parcels networks and the extent of common suppliers for international and domestic shipments.

Copies of the 2005 UK Domestic Parcels Distribution Survey are available from Triangle Management Services; Robin Parr-Davies can be contacted by email on robin.parr.davies@triangle.eu.com or by phone on 0870 950 7900.


Notes to Editors

• The Triangle report (The UK Domestic Parcels Distribution Survey) has now been established for nearly two decades. It is a major industry customer satisfaction survey of 300 + users of express parcels carriers that allows carriers to benchmark their performance against that of their direct competitors and enables carriers to (for example) measure the effectiveness of their marketing and customer service strategies. This 180 page report has become required reading for the industry and is being replicated again this year in the UK Express Pallet sector and the UK International Express Outbound market. The UK Domestic Parcels Distribution Survey is available for purchase at a cost of £11,500 + VAT each.

• Triangle has also extended these surveys across Europe with a third edition of the French Express Survey as well as a second German Express and Parcels Survey taking place this summer, along with a new, for 2005, Spanish Domestic Express Distribution Survey.

• 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, please contact Robin Parr-Davies at Triangle on +44 (0)870 950 7900.