Fastway Courier Franchise Group Grows Turnover to $458 Million

Date AddedApril 20, 2010 03:22:08 AM

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he Fastway group of companies has achieved a positive sales growth result despite trying economic times, with the announcement of their 2008/2009 annual turnover figure today of $458 million.

Group Managing Director Brem Ellingham said that the global financial crisis has presented both challenges and opportunities.

"A positive spin off has been the preparedness of businesses to change to another supplier if a better service and price mix can be achieved. We've gained some large customers because of this, whereas a year ago they probably wouldn't have considered comparing suppliers or changing," he said.

On a less positive note, Mr. Ellingham said that some of the existing customers are sending lower volumes of freight.

"It really depends on the type of business," he said. "Some industries are experiencing an upturn in sales because their products or services are suited to the current climate, but many industries have been adversely affected. The flow on effect to our business is immediate; the transport industry is a good gauge for the economy generally."

The Fastway strategy has been to bring a strong focus back to their basic business model and drive this through every level of their franchise network.

"We've been retraining staff and franchisees in our core sales and marketing procedures, and we've kept our marketing simple and clearly targeted on key areas that we know we are best at," said Ellingham. "Not only is it working for us now, but we will be that much better poised for ongoing growth when the economy becomes more buoyant."

The franchise arm of Fastway Couriers, has experienced an ever stronger upwards shift since the financial crisis, which Ellingham puts down to redundancies and cut backs creating interest in franchise opportunities.

"We've not only had an increase in franchise enquiries throughout our global network, we've also seen a higher number of prospective franchisees proceed."

Mr. Ellingham said, "In fact in New Zealand we are almost fully franchised, with far less opportunities available than we had a year ago."

Further afield, Fastway Global commenced operating in Pretoria, South Africa this year and the opening of their Johannesburg Regional Franchise is planned for September.

"Another new development for the Fastway group this year has been the establishment of a printing division to enhance the services offered by Fastway Post," Brem said. "Based in Napier, but with an emphasis on online transactions, the print business is unique in that customers can design and order customised print products online which include the postage mark."

Plans for Fastway in the coming year include a continuation of their current back to basics strategy, and ongoing development of technological tools to enhance and aid the customer experience as well as streamline franchisee procedures.

"Our board is fully committed to ongoing technological development and this year is no exception," he said.

Originating in Napier New Zealand, Fastway is the world's largest courier franchise, with over 1600 franchisees. Fastway's overseas franchises take in the countries of Ireland, Northern Ireland, England, Scotland, Wales, Germany, and South Africa.