Courier rates - am I getting a good deal?
Courier rates - am I getting a good deal?
Author
Discussion

shopper150

Original Poster:

1,583 posts

224 months

Saturday 29th October 2016
quotequote all
I am currently in negotiations with DPD to move my courier business to the .
They are offering
£3.95 for first box up to 31kg, &3.85 for subsequent boxes on the same consignment
Plus 3 percent fuel surcharge

Is that a good deal?

We at currently saying around the same and spend £10k a month.
Looking to move for better service, but do you think DPD can be squeezed further?

megaphone

11,695 posts

281 months

Saturday 29th October 2016
quotequote all
Don't know about rates, but as a customer I really like DPD. The email/text updates are very good, and they give a 1 hour delivery slot which they've never missed for me.

Only downside is they appear busy, the drivers are always in a hurry, one did leave a package in my hedge, I discovered it a few days later by chance, no card through the door. When I checked online it stated 'left in garage'.

Nickyboy

6,825 posts

264 months

Saturday 29th October 2016
quotequote all
Sounds pretty good but to compare you would need to speak to a few different companies

Chris200

591 posts

267 months

Saturday 29th October 2016
quotequote all
What's your average daily volume? Dony I ship Single or multiple parcels consignments? Average weight per parcel and are you B2B or B2C?

Who you currently using and what's your reasons for change? Service, cost, IT, account management or something else?

Have you considered what the cost to change will be and given your existing supplier a chance?

Having worked in the industry for 15 years and worked at and with DPD, honestly their service is not as good as it seems. Once yagain u have done the deal with the sales guy, give it 2 weeks and you'll never seem them again. You maybe lucky to get an account manager.

DPD's business turnover/churn of customers is high and they are slow to react. There is not much that they offer these days that others don't.

Also be careful of that rate. On the face of it it is really good and doubt you'll get any better. However the sales team are very good at fudging the numbers to get the rate they need to sign the business and keep it for 3 months so they earn their commission.
After 3 months your account will be handed over t the account management team and they will review your spend and profile against what was submitted. If the numbers don't stack up, which in 7 out of 10 cases they don't, you'll be faced with a sudden increase or they'll give you 2 weeks notice period.

Trust me on that.....i used to do it because we had to do it to hit our targets. One of the reasons I left, not good business practice.

rich888

2,610 posts

229 months

Sunday 30th October 2016
quotequote all
shopper150 said:
I am currently in negotiations with DPD to move my courier business to the .
They are offering
£3.95 for first box up to 31kg, &3.85 for subsequent boxes on the same consignment
Plus 3 percent fuel surcharge

Is that a good deal?

We at currently saying around the same and spend £10k a month.
Looking to move for better service, but do you think DPD can be squeezed further?
The DPD rates sound very reasonable, do they have a charge for collecting parcels over a certain length, if so what is the maximum length before this additional charge is added?

As an end user I've been mighty impressed with the automated email we receive from DPD in the morning containing the timed 1 hour delivery slot which saves sitting around all day, and so far the driver has always delivered literally minutes into the allotted hour which is excellent.

I might actually give DPD a call tomorrow to see what rates they can quote me because we have used several couriers over the years including Fedex until recently after they posted a letter out to us advising of an increase in their tariff prices but didn't include the new prices in the letter, instead advising that we had to log-in to view the new prices (which we were unable to do because the system wasn't set up in time and they admitted to this problem), we subsequently sent out several parcels over the next 4 to 6 weeks and only learned of the new rates when their invoice landed on my desk, and then realised that they had bumped up the rates by quite a substantial amount and had also lowered the inclusive weights. Needless to say I had a major row with the account manager and secured a credit, before moving to APC who were substantially cheaper and I have to say have been pretty good to date in terms of delivering the parcels without breaking them, but they are nowhere near as competitive with their pricing or inclusive weights on the base parcel price as you have been quoted. Only difference I can see is APC charge by total weight to customer, so whether you send out one parcel or five parcels, it is the combined weight that matters.

Nearly all the courier companies quote a cheap initial price to secure the contract, then revise the price upwards if you don't meet the projected delivery quota which I guess is fair enough, as for the account manager, well in my experience he or she always seems to dashing around looking for new clients, so has little time for existing ones!

VEIGHT

2,379 posts

258 months

Monday 31st October 2016
quotequote all
Sounds really cheap!

I can't get anywhere near that with Interlink (although do spend less per month).


AnimalMother

1,548 posts

256 months

Wednesday 2nd November 2016
quotequote all
shopper150 said:
I am currently in negotiations with DPD to move my courier business to the .
They are offering
£3.95 for first box up to 31kg, &3.85 for subsequent boxes on the same consignment
Plus 3 percent fuel surcharge

Is that a good deal?

We at currently saying around the same and spend £10k a month.
Looking to move for better service, but do you think DPD can be squeezed further?
Sounds really good.

Do you send outside of UK?

Couriers love giving you one headline great rate, only to bump everything else up.

Sebo

2,180 posts

256 months

Wednesday 2nd November 2016
quotequote all
As another receiver of parcels delivered by DPD, I love their service. I can select a 1hr slot or have it delivered to the newsagents down the road to collect at my convenience. Really good and streets ahead of Yodel.

shopper150

Original Poster:

1,583 posts

224 months

Thursday 3rd November 2016
quotequote all
Chris200 said:
What's your average daily volume? Dony I ship Single or multiple parcels consignments? Average weight per parcel and are you B2B or B2C?

Who you currently using and what's your reasons for change? Service, cost, IT, account management or something else?

Have you considered what the cost to change will be and given your existing supplier a chance?

Having worked in the industry for 15 years and worked at and with DPD, honestly their service is not as good as it seems. Once yagain u have done the deal with the sales guy, give it 2 weeks and you'll never seem them again. You maybe lucky to get an account manager.

DPD's business turnover/churn of customers is high and they are slow to react. There is not much that they offer these days that others don't.

Also be careful of that rate. On the face of it it is really good and doubt you'll get any better. However the sales team are very good at fudging the numbers to get the rate they need to sign the business and keep it for 3 months so they earn their commission.
After 3 months your account will be handed over t the account management team and they will review your spend and profile against what was submitted. If the numbers don't stack up, which in 7 out of 10 cases they don't, you'll be faced with a sudden increase or they'll give you 2 weeks notice period.

Trust me on that.....i used to do it because we had to do it to hit our targets. One of the reasons I left, not good business practice.
Who do you work for now? I have experienced the above previously with UPS.

shopper150

Original Poster:

1,583 posts

224 months

Thursday 3rd November 2016
quotequote all
AnimalMother said:
Sounds really good.

Do you send outside of UK?

Couriers love giving you one headline great rate, only to bump everything else up.
We send a few packages abroad.

Chris200

591 posts

267 months

Thursday 3rd November 2016
quotequote all
shopper150 said:
Chris200 said:
What's your average daily volume? Dony I ship Single or multiple parcels consignments? Average weight per parcel and are you B2B or B2C?

Who you currently using and what's your reasons for change? Service, cost, IT, account management or something else?

Have you considered what the cost to change will be and given your existing supplier a chance?

Having worked in the industry for 15 years and worked at and with DPD, honestly their service is not as good as it seems. Once yagain u have done the deal with the sales guy, give it 2 weeks and you'll never seem them again. You maybe lucky to get an account manager.

DPD's business turnover/churn of customers is high and they are slow to react. There is not much that they offer these days that others don't.

Also be careful of that rate. On the face of it it is really good and doubt you'll get any better. However the sales team are very good at fudging the numbers to get the rate they need to sign the business and keep it for 3 months so they earn their commission.
After 3 months your account will be handed over t the account management team and they will review your spend and profile against what was submitted. If the numbers don't stack up, which in 7 out of 10 cases they don't, you'll be faced with a sudden increase or they'll give you 2 weeks notice period.

Trust me on that.....i used to do it because we had to do it to hit our targets. One of the reasons I left, not good business practice.
Who do you work for now? I have experienced the above previously with UPS.
After 15 years in the parcel industry in sales I left it 18 months ago and moved into global freight forwarding, so moving tonnes of air freight and containers globally.

I spent nearly 6 years at UPS as a National Accout Manager with a £1.2m new business target and an account base of circa £32m annual spend.

Similar story with DPD/Interlink (same company) but DPD were much less forgiving and much more aggressive about growth and gave very little consideration to their SME customer base. DPD are all about the major shipper who ships hundreds of parcels a day, not your 50 a night type customer. They'll give them the rate but not the customer service. Again, if for some reason it doesn't work for DPD, they'll pull the rug out from under you with no consideration for your business.

RickRolled

339 posts

207 months

Friday 4th November 2016
quotequote all
These are really good rates, doubt you will be able to get any cheaper!

StarmistBlue400

3,088 posts

248 months

Friday 4th November 2016
quotequote all
I pay £6 with Interlink (same as DPD) and thats upto 10kg

Pre 10.30 is just under £15 so I think you are getting very good rates