This guide outlines how choosing the right delivery vehicle options can grow your branding and your bottom line.
Online shopping has been increasing steadily in the past five years; what is more, in 2020 alone e-commerce growth leapt nearly fivefold. However, as a company examines the profitability of online selling, it may also want to evaluate the potential of purchasing vehicles to make deliveries instead of relying on third-party shippers. This is especially advantageous for businesses with local target markets.
Choosing the right delivery vehicle
Here are a few important factors to take into consideration when deciding which delivery vehicle to pick to boost business success.
You Will Get Tax Advantages and a Mobile Advertiser
Aside from being able to deliver goods to customers, owning a company vehicle has surprising tax advantages. The business will be able to claim deductions from the mileage utilized and for vehicle expenses. Vehicle costs include gas and oil, maintenance, repairs, registration fees, and licenses. Insurance premiums, leasing fees, depreciation, toll, and parking fees are also deductibles. Another boon for owning delivery vehicles is they become the company’s mobile advertiser. As the vehicle goes around making deliveries, it can reach more potential customers. Make sure that the delivery vehicle reflects the company’s branding as well to make it more effective.
Weight, Distance, and Frequency of Deliveries
There is a whole range of vehicle models for deliveries and an enterprise needs to determine which one is best suited for its needs. The most common examples are trucks, vans, and box trucks. It is vital to take into account load weight, distance, and frequency of deliveries when choosing the right vehicle type. If most deliveries are expected to be local, it is also important to factor in street sizes.
How Big a Truck Do You Really Need?
A walk-in or multi-stop truck is one where there are steps leading to the driver’s seat. The driver can access the cargo area to pick up smaller packages and a rear door for bigger packages. This kind of truck is best for deliveries to multiple destinations and is not limited to retail goods. It may, however, be difficult to navigate on narrow streets because of its size. Unfortunately, it is in such cases that traffic accidents take place. This is why experts such as Insurance Navy suggest acquiring proper insurance to protect you against financial loss, should an accident occur.
When it comes to smaller trucks, a box truck, also called straight truck or cube van could be a good option. This makes navigating around streets easier. It has a spacious cargo area that can fit more packages or some big items. Cargo vans are also smaller than multi-stop trucks. They are most useful for a smaller amount of deliveries and steering around neighborhoods.
Add-Ons
There are a number of add-ons that can be installed to these vehicles to ensure that your deliveries arrive in good condition. Shelves may be built in the cargo area for a catering business. Hydraulic lifts may be installed on a multi-stop truck for ease in loading and unloading heavy parcels like furniture. Additional safety features, such as a rearview camera may also be added to ease backing up a large vehicle.
How many delivery vehicles do you need for starters?
The number of delivery vehicles you need will usually depend on the size of your businesses as well as customer demand. Naturally, the greater the demand, the busier you will get, which means you may need two or more vehicles to carry out your tasks. One mistake you should try to avoid however, is getting a fleet too early. In other words, if business is slow, take your time to focus on other aspects of it, and give yourself time to feel it out if it is worth investing in more than one or two vehicles at a time.
Should you hire professional drivers?
Hiring a professional would be the best option, however, there are a few things to keep in mind before starting the hiring process. If the driver delivers exclusively for your company, it is you (your company) that controls their working hours and how they carry out their tasks. You are also the one who decides whether or not they have to wear a uniform. In case they do, they will not be able to be classified as a contractor. But whichever route you choose to take, ensure that your drivers have a positive attitude, love their job, and represent your company well. You should also look into their driving record and make sure they have good auto insurance.
Having the right delivery vehicle (and drivers) can be a big boost for company growth. But first, make sure that the business can afford it, then pick the right vehicle model, and put policies in place that will protect both the business and the employees who will be using it.
5 key factors to consider
Choosing the right cargo utility for the delivery service can be the key factor for the success of a new business. Or, in the case of changing vehicles of an already established company, this may be the golden chance to reduce costs and improve business profitability in the medium and long term. Whatever the case, you need to be aware of a series of details that, at first glance, may not be so obvious.
The following are five basic steps for you to choose the right utility for your business:
Fuel consumption
Fuel is that item that is present monthly in the cost spreadsheet of entrepreneurs who deliver – there is no escaping it. But it is possible to choose a vehicle, among the options that meet the needs of your business, that offers better consumption numbers to obtain a good reduction in costs in the medium and long term.
Maintenance costs
Fuel spending is the most common place in cost sheets, but it’s not the only one you need to keep an eye on. After a certain time or after a certain mileage, the vehicle needs to be subjected to regular reviews, in which basic checks of the proper functioning of the vehicle and some scheduled services, such as oil change or tyre alignment and balancing are performed.
Comfort
Those who spend hours on end in the chaotic traffic of cities or on long road trips know the importance of a vehicle that offers comfort to its occupants. An uncomfortable utility creates more fatigue and undermines the mood of its occupants, directly affecting your productivity on a day-to-day life.
But in reality, there is another even more serious issue: for those who use the vehicle as a working tool, and stay inside the car for long hours, the lack of structure can lead to muscle pain or even more serious problems in the spine.
Load
In addition to being compatible with the volume and weight of the load that the entrepreneur carries daily (numbers that are easily accessed in a virtual search), it is essential to know if the compartment is suitable for the type of product with which you work. Visit a dealership and get to know the vehicle closely, making sure it really meets all your needs.
The vehicle will be your daily work tool, so it is essential to check how access is made for the loading and unloading work, for example. Some small details can make a difference in daily productivity. Also be sure to check the measurements to see if it fits in your garage and if it can access strategic points, such as its main suppliers and customers, if there are some kind of limitation stifling as to the size of the vehicle.
Design
Utility design may not directly interfere with daily productivity or increase sales of your business. But it’s a fact that a beautiful vehicle can impress on the first visit to a potential customer – and even turn into the tiebreaker between two suppliers.
