NCL launch contract services package
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CONTRACT Services, described as "a total distribution package tailored exclusively to the needs of individual customers" has been launched by National Carriers Ltd.
The new development is part of the company's philosophy of market segmentation; in marked contrast to the type of generalised transport service which is increasingly found to be unmarketable.
Contract Services, said NCL's director of marketing, Paul Rivett, is a lot more than straight foreward contract hire.
The aim would be to provide all the advantages of own account operation with vehicles depots and staff dedicated to one particular customer. Each individual contract would be regarded as a separate product.
The customer would be relieved of the problems of administration, supervision, legislation problems, drivers' hours, vehicle licencing and testing as well as releasing capital for re-deployment in the prime function of the company.
Companies most likely to be interested in this new approach would be those with sufficient distribution requirements to facilitate the creation of a total scheme.
Mr Rivett suggested that many existing large customers of NCL might well be in this market.
The Contract Services operations would use existing depot or warehouse space or purpose built premises to the customer's specification.
The management teams responsible would work either from National Carriers or as part of the customer's own organisation.
A unique advantage of the projected Contract Services stressed by Mr Rivett, would be the ability to link them to other services such as Yellow Diamond, Irish and European Services, thus enabling areas of high drop density to be undertaken by the contract vehicles and low drop density areas to be serviced by the more economical general services.
Brian Hayward, managing director of NCL, said the company's trading loss had been reduced from £9.9million to under £5million in the last 12 months. In November and December 1976 the company was trading profitably.
Last year's £3million investment in new vehicles and trailers and for depot improvements was expected to be doubled in 1977, said Mr Hayward, who announced a new management structure involving seven regions, each with its own director with a say in company policy.
The new regions and respective regional directors, are: Scotland, (Bill Glenroy); North West England, (Alan Morris); North East England, (Roy Ledward); Midlands, (Geoff Wright); Eastern England, (Douglas Moore); Western England, (Joe Flannery); Southern England, (John Parslow).