BEDF LLOWS ON TH MOVE
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House buying, conveyancing and removals are invariably associated, so why not combine them under one roof? Richard Scrase looks at moves in that direction
I Because profit marls in the removals busiss are very thin, many erators are turning to w services to maintain air incomes.
One such company is ubbs International Dyers, based in Lytham Annes, which in July a year launched a reavals and conveyancing ckage through a subliary company, Shaws of ackpool.
According to Stubbs' maging director, Bert addington: "It is about le the removals indus f itself stands up and
s a say in the way it velops, instead of sitLig back and letting outle industries dictate the
Shaws of Blackpool ers its removals and conveyancing ckage in the Merseyside, East Lancaire and West Lancashire region. Wadigton says the package can provide vings of up to £300 over separate conyancing and removals services. The company is able to offer the ving after negotiating a series of deals th 16 different solicitors in the North est. In the deals the solicitors offer a duced price for conveyancing in return r the extra conveyancing business that laws can put their way.
Waddington says: "The conveyancing d removals package is highly sans....tory to us, to the client and to the licitor." He adds that early opposition the service from local solicitors, which sulted in a referral to the Office of Fair 'Ming, has died down. Now that the FT has given the service its approval, licitors are queueing to be included in e service, Waddington claims.
Two factors are fundamentally impor t to the success of the new service, ! says. First, sales representatives have to be prepared to sell the service in a consultative manner, giving the customer time to consider its advantages. Secondly, the service can only work successfully with the full co-operation of the solicitor.
So far Waddington is pleased with the progress made by Shaws of Blackpool with its conveyancing removals service. However, he acknowledges that: "It is early days yet. It is a new idea and difficult to quantify, but we expect 30% of our business to include conveyancing work within two years."
He hopes that commercial clients involved in company relocations will be interested by the new service. "We have offered our conveyancing package to commercial customers and they are considering it with a great deal of interest."
There are now plans to offer the service in other parts of the country, possibly through the Pelican Vardines Group to which Stubbs International Movers belongs. Ultimately, the company plans to offer a complete relocation service. "Psychologists tell us there are three highly emotional times in life: birth, bereavement, and moving home. Who is better placed than removals firms to provide a complete package for that difficult period?" says Waddington. "We are working towards a complete relocation package including estate agents services."
AGENT/REMOVER Ironically, such a service has just been launched in West Molesey, Surrey, by Mann and Co, with 325 branches, one of the largest chains of estate agents in Europe.
Mann and Co Removals has operated from a small depot in West Molesey since May 6 this year, under the direction of Ashley Knapp. Knapp has around 18 years' experience in the removals business, first running his own removals firm and more recently operating a van hire business.
"To get into bed with an estate agents is the best thing that could possibly happen to a removals firm," says Knapp. "The two go together so well, they are perfectly made for each other."
Mann and Co Removals consists of Knapp, his secretary, four drivers and their assistants, and four vehicles. Knapp has chosen to buy secondhand vehicles while the company is getting established. "This is a pilot scheme so we are using older vehicles initially," he says. "We have purchased them all and we have had an engineer working for the past three weeks to check them through thoroughly."
The company offers its services to anyone wanting removals work, but Knapp acknowledges that the bulk of his business will come through Mann and Co estate agents' offices.
Mann and Co Removals' services are advertised in the estate agent's offices. Negotiators are encouraged (though not financially) to mention the removals service to customers, whether vendors or purchasers. If the customer shows any interest he is referred to Mann and Co Removals.
Knapp says that his company's prices will reflect market rates. Our quotes are no different from any other removal company's," he says. "We offer market rates and discounts of 10% to those selling their house through Mann and Co." House purchasers do not get a discount.
Despite the discounts, Knapp says his company can make a profit: "Mann and Co Removals is not a loss leader in any sense.
"The company is set up to stand on its own two feet economically. Our calculations suggest that by being associated with an estate agents we can make our removals service economic — for reasons that are obvious," he adds.
After a month's operation, Knapp reports that the company is doing well. "We are going very well indeed," he says, Mann and Co Removals has purchased four older vehicles to operate while the company is finding its feet. "doing a lot of business almost entirely through estate agents.
"Our service does not differ from other removals firms," says Knapp, "except that we offer a professional service like the bigger removals companies; which means that we arrive at a job on time, and do estimates when we say we will, and offer a complete service."
He hopes, with time, to open new depots around the country to give close support to Mann and Co's estate agencies. The next depot is likely to be in the Staines area. "We are looking for a new depot in the Staines area," he says "and we'll carry on from there."
One of the priorities at that depot is likely to be warehousing space, because the current West Molesey depot has only administrative and vehicle storage facilities.
Mann and Co Removals does not belong to the British Association of Removers, though it is listed as a removals company by the association. The company has been told to trade for a year before it applies to join the association.
"We aren't yet members of the BAR," says Knapp, "though we are members of the FTA (Freight Transport Association). BAR classifies us as a removals firm. Whether we decide to try to join BAR in a year's time is unknown — we may not need to join them — I don't know."
It will be an interesting year in the removals market. 12