TDG makes fluid plans
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• The Transport Development Group (TDG) is laying the foundations for a European bulk fluids distribution network with the merger of its two UK road tanker businesses to form a new company — Linkman.
Reliance Tankers and Cleveland Tankers, brought together to be marketed more effectively as a UK-wide service, will give Linkman a turnover of around 220m in its first year of trading and 300 tractive units and 500 tankers.
"We've actually been capable of national distribution for several years but we've not been perceived as such," says Linkman boss and former Cleveland md Richard Kirby. "And customer perception is all-important." Linkman customers include ICI, Shell, Burmah and Mobil.
The new company is setting its sights on Europe "Once we're established in the UK", says Kirby, and a new SouthWest UK depot will be opened, probably in Avonmouth, in the next six months to consolidate the British operation, giving a total of eight depots.
The merger puts Linkman among the giants in the UK tanker market behind Tank
freight, and United Tankers and MO, which share the number two position. "We'll look at acquisition opportunities to make us the market leader, if they arise," says Kirby. "But we're not aiming necessarily to be the biggest."
TDG has based the move on "the belief that the major buyers will be looking for a smaller number of suppliers to offer a complete range of quality, cost-effective solutions", according to Kirby. Quality will be pursued aggressively by the new company in a drive to improve customer service "and listen more to what the cus tomer wants", adds Kirby. This policy is expected to yield savings of around 15% in administration and 5% in operational costs. Staff training will play a key role in sharpening Linkman's quality edge: "In total our drivers have 7,000 years of experience and they are at the sharp end of day-to-day customer contact. We want to tap all that experience."
Most of the fleet will be liveried with the Linkman logo (adopted by other TOG companies including Albany and Harris Distribution) over the next two years. Around 30% will carry customers' liveries.