Am i charging too much per mile?

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ams courier services

231
Original Poster

I run a small van(Renault Kangoo), i am quoting 85p per loaded mile but never seem to get any work when putting in bids, am i quoting too much because i dont think i am!!

Speed Couriers Nationwide Ltd

10314

Sadly you are. It should be that and more, but us vendors have had to keep a check on prices for years.The industry just hasn't got the balls to charge what we should all be charging..why?

Citysprint charge around that so couldn't use you cos there'd be nothing in it for them.
The big guns undercut us all cos they can.
Most small vanners such as yourself charge woteva for their own customers, and have a trade price for subbing.
In my experience those rates are currently 70-75p per mile, sometimes less if someone is going back  that way empty (to ensure they get the job), some more cos they stick by their guns, but that doesn't pay the bills does it?

ams courier services

231
Original Poster

I do charge 85p per mile when doing my own private/company work but when subbing i do quote 75p per mile, if i can get a backload i just want it to cover the fuel if i have had a good journey.

Speed Couriers Nationwide Ltd

10314

Ah..well if you're quoting 75 but gettin nowt try 70 if you can. Any lower and the work isn't worth having anyway. As for backloads...woteva you feel is right for you...no rules on that one at all

fresh logistics

5

so that makes a mileage charge irrelevant, cause someone may be doing a back load - self harming in the industry at its best!!!

Website Admin

6151

@ fresh logistics...


Not for the guy doing the backload.

Speed Couriers Nationwide Ltd

10314

Not irrelevant at all. If a driver is in the area of collection returning home empty then yes, he has the ability to do the job at a lower rate than you..simple economics, BUT how many jobs posted are going to have someone who just happens to be passing at the right time going back that way?

I'd say rarely
I have had many bids from drivers at low prices, but they're over an hour away from the collection so that's no good for me. I want my pick ups done quickly, so that is generally a local driver to that particular pick up.
The rates I suggest are the rates you would expect to have a succesful bid on UNLESS you happen to have a "returning" driver in your area.
I personally don't think its a problem. The chances of a "backloader" being in the right place at the right time for a specific pick up are pretty slim.
And I don't think its self harming either. If you wanted that load to take you back home would you risk losing it by sticking to your guns, or would you shave a tenner off the job?

fresh logistics

5

When will the self centred, self obsessed start working for something else rather than than toffee for today. if everyone and thing worked - just for your own self gratification - where would we be?

I fully understand the rationale for the alleged back load. but it is so flimsy because it is about a selfish act at the cost of artificial reducing the industry costs and affecting adversely incumbent transport businesses.
When product is moved at a back load does this reflect in the price at the shop - No. so who benefits. the supplier (possibly), but mainly the driver - that's it - who looses, basically everyone else. So before you know it and you hear it now.  We 'Only have a back load rate on the job mate', or 'Jesus that's expensive I paid half that last time'.
Why can I not get a back load rate on aircraft and ferries to name a few. Qs on a post card please

Website Admin

6151

You effectively get a 'back load' rate on a ferry or plane every time seeing as they fill them up on each outbound and return trip. Or at least it's half the rate would be if they only filled them up in one direction.

Speed Couriers Nationwide Ltd

10314

Selfish?....well yes...spot on. Drivers think of themselves, cos its their business, and to get the load back home, anyone with any sense will go in at a price that guarantees that they get it.

Assuming the timing works for the vendor, then I can't see the problem.
Everyone out there wants a double up, or a load back, its the icing on the cake...its what its all about. And if I can make more on the job then all well and good.
There are times vendors like me have to pay more than we want so it all balances out in the end.

fresh logistics

5

Website admin - that is called the fare - and it is the same both ways - a backload rate is when you get it cheaper because 'I am going that way anyway'. 

With reference to 'there business'. no it is not - that is a mask - ask a subbie - how did you get to your price point and a pound to a pinch of **** they will have no idea!. Just copy someone else and undercut them by a fiver - that's it - selfish self harming - dress it anyway you want!

Speed Couriers Nationwide Ltd

10314

I don't see how its self harming if it means he gets the job at a price he's happy with.


The best way of getting a job off any exchange site is to be already on the road rather than sitting at home waiting for that call. 
It amazes me how many bods on exchange sites don't actually put in quotes cos "it's bound to be for silly money"....lol...If you don't quote you'll never know, and if you don't quote what IS the point of joining the sites in the 1st place? 

Being cheaper doesn't guarantee you're going to get the job anyway, its all about where you are in relation to the timing of the pick up, AND whether i can understand a word you're saying

Springer Express Couriers

2148

Sorry did I miss the point?
if you have an end user job and it makes more sense to ask a driver going there anyway to drop it off?
A. your are free to do the next job,
B. the driver gets extra work so that he will still be in business for the next time you need him,
C. if  you can reduce the cost to the customer then they will more likely use a same day courier again rather than over night services,

the tech is there just need to use it!!!


Matthew Flint

7

Get a bigger van and you can charge more lol.

Gilmartin Light Haulage

41

In February you couldn't get 85pplm for a LWB

Baxter Baird (Shipping& Transport) Limited

1441

I have lost jobs in a lwb to top of Scotland maybe 350 miles someone has done it for £180.00, how they get back I don't know so potentially its 700 miles round trip for £180.00, how many hours? What would it work out to in minimum wage terms? Running new Van circa £30.000 annual insurance £2500.00, my quote would be £375.00 but time of year drop to £295.00 below that I couldn't do and keep a nice fully insured van on the road... And eat.. But hey thats the nature of this business, It's starting to pick up a bit again now.

Marcom Direct Ltd

174

Baxter Baird (Shipping& Transport) Limited said:


I have lost jobs in a lwb to top of Scotland maybe 350 miles someone has done it for £180.00, how they get back I don't know so potentially its 700 miles round trip for £180.00, how many hours? What would it work out to in minimum wage terms? Running new Van circa £30.000 annual insurance £2500.00, my quote would be £375.00 but time of year drop to £295.00 below that I couldn't do and keep a nice fully insured van on the road... And eat.. But hey thats the nature of this business, It's starting to pick up a bit again now.

It isn't a 700 mile round trip if it's taking a driver home. Many of the Scottish drivers head south early in the week and then spend the week tramping. Come Friday (or even Thursday afternoon) they are looking for a load that pays the fuel home.

ATM Logistics

293

ams courier services said:


I do charge 85p per mile when doing my own private/company work but when subbing i do quote 75p per mile, if i can get a backload i just want it to cover the fuel if i have had a good journey.

That's far too cheap surely

Fastback Parcel Solutions

1681

There are some that will come on and say that it isnt too cheap if he is happy with it. But backload rate is obviously what he has lost out to. Aside from the fact that the only people who really gain from backload rates are courier companies, because the retuning driver doesnt make a great deal out of it, unfortunately they are here to stay, but i do agree with Speed that you have to be in the right place at the right time to pick one up.

ATM Logistics

293

I was referring to the end user rate, I am sure companies are willing to pay more for a premium service. I know I am lucky that I have a few customers who are willing to pay the rate on a daily basis, based on our response time and reliability etc, but random calls out of the blue I charge more than I do for regulars and don't tend to have people go elsewhere.

Phax Sameday

2344

Horses for courses innit. People have to survive by whatever means. If joe bloggs sticks to his guns and goes out of business does anyone REALLY care. Life goes on so the choice is yours Andrew hold out for your 85p or drop it to 70p-75p for a period see how it goes. There are many struggling to get their rate at the moment, those who are a pat on the back for them.

AJM sameday Couriers

3522

This bloke posted 3 years ago. Is it any wonder some of you guys don't get on in this world wake up.

RAPID LIGHT TRANSPORT LTD.

2894

Gary

I couldn't be arsed answering before, but that is my thoughts exactly!

ATM Logistics

293

AJM sameday Couriers said:


This bloke posted 3 years ago. Is it any wonder some of you guys don't get on in this world wake up.

Very true, I didn't notice. I blame the one who dragged it back upto top in the first place :D

ASAP Delivery

162

Same day, over night, 3 years later... As long as it gets there who cares right?

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