In the highly competitive
courier and express parcel
market where there is often
little to choose between
competitors from a price
point of view, value-add
to the client takes on new
meaning.
According to Eugene
Swanepoel, general manager
of SkyNet Worldwide
Express, a division of
Crossroads Distribution,
reliability and ease of
business are two critical
aspects of the express
business.
“Courier companies by
their very nature can be very
complex to deal with and
therefore we have put a lot
of effort into simplifying
processes and improving
the ease of the business
environment within our
company. At the same time
reliability remains a top
priority – people need to
know that the service they
are contracting is reliable,”
he said.
With the express
market not always having
critical mass and volumes
remaining relatively
low in comparison with
powerhouses like the US, it
is not necessarily always the
cheapest mode of transport
in South Africa.
“We don’t have the
volume to really drive costs
down to make it easier for
customers to use an express
service,” said Swanepoel.
“But it is a market that has
remained extremely stable
because of the reliability
of the service. At the same
time it does speak directly to
the current trend of holding
less stock but retaining the
ability to react quickly to
supply chain demands.”
Swanepoel remains
extremely positive about the
future of the sector saying
that while industry trends
point to a segment that is not
growing as fast as it should,
the stability and ongoing
need to move goods quickly
and reliably provides for a
positive outlook.
“Domestically we are also
quite limited in terms of
airlines, with only a handful
of players in the market,
while road tends to be a
challenge when operating
in Africa due to a lack of
infrastructure. These are
real challenges that do
impact on our business, but
at the same time the express
and courier industry is one
that adds value.”
He says that, thanks to the
courier and express industry,
along with the advent of the
Internet, small to medium
enterprises can now reach
markets they traditionally
could never access without
having to invest in big
inventories, big facilities to
hold their stock and national
distribution networks.
INSERT
Domestically we are
quite limited in terms
of airlines, with only a
handful of players in
the market.’
CAPTION
‘Ongoing need to move goods quickly and reliably provides for a
positive outlook.’
