Delivering success at your door steps

Published: 12th December 2011
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Business Services franchises offer a wide range rewarding opportunities to anyone looking to enter the business world. This leading franchise segment have various business options in courier and mailing franchise, shipping and logistics, financial services, cartridge refilling, consultancy, direct mail franchise, advertising, printing press franchise, publishing, recruitment services and many more. The best way to start business services franchise is by investing in a popular concept and a brand.
Courier and mailing franchise business is a leading business services franchise offering lucrative opportunity to aspiring entrepreneurs. Courier service companies basically work around transportation of goods from one place to another, delivery of documents, packages, and larger shipments of products. These provide services to companies and individuals who need rapid service, accountability, and tracking that regular mail does not accommodate. Courier services are more reliable and dependable as compared to ordinary postal services due to less time consumed and delivery guarantee. However, with the introduction of modern gadgets and faster modes of transportation this system has also progressed a lot. Moreover, franchising is also one of the main stimulants of its popularity and profitability.

Courier franchising
Franchising in this business service has grown with more and more players taking the franchise model for reaching out to far flung areas in the vast nation. Courier service companies are required to deliver important mails and parcels to any part, whether city, town or village in the country. Therefore, franchising can be the best mode for guaranteed delivery of the items. According to DS Patel, Channel Head, DTDC, “Franchising is an essential and most effective way of expanding the network. Opening our own company owned courier offices is very expensive and time consuming. However a franchise outlet is economically beneficial to the company.” As informed by Praveen Govindraj, Assistant General Manager, First Flight Courier, “Franchising definitely helps in directly reaching to far-fling areas for delivering items due to our local partners in those areas.” He further added, “Franchising can be a win-win situation for both the franchisor and franchisees as both benefit from it. The local partner (franchisee) has a much better idea of a particular locality than the main company which is based out of Delhi or Mumbai. Delivering parcels to small towns and cities becomes difficult and also take a lot of time if it is done by the company in metropolitan areas. At such times the local franchisee can be of great help.” This can be the major reason for courier companies to opt for the franchise route. Moreover, having local partners all over the nation, who deliver all items on time, also increases the credibility and profit making of the parent company.

Why courier service franchising?
Courier service franchising offers tremendous scope for aspiring entrepreneurs who are looking for a viable way to establish their name in the entrepreneurial arena. Taking a franchise of a courier service company is an assured way of earning a regular income because:

• Courier services preferred over regular postal services
• Organised players in the market
• Small business services requiring low investment and start up
• Offers huge potential for expansion
• No background in similar field essential

Brands in franchising
A lot of courier service players have entered the franchise arena considering the benefits it is offering. Few of the major players in the segment are discussed here.

First Flight Courier, which started in 1986 provides courier services to all parts of the world. It presently owns 751 own offices across India, 522 associate offices, serving over 5000 destinations across India. The workforce of transportation services franchise is over 8000, which are located all around the globe.

DTDC courier franchise business incorporated in 1990 is supported by more than 300 own offices and over 4000 franchise partner offices spread across the country.

Blue Dart Express, a part of DHL Express, has access to over 22,200 locations in India in addition to the global network of over 220 countries around the world.

Blazeflash Courier, founded in 1986 has a network, comprising of 290 own offices and more than 4200 franchises and 3535 destination all over India.

Overnite Express Limited, established in 1987 has more than 1800 franchise offices and serving over 800 destinations spread across the country.

Investment required
As informed by Patel, “Investment by franchisees depends upon the type of city or town they want to set up their office. In DTDC we have four segments depending upon the city, as A B C and D category city. For metro city initial security deposit is of Rs One lakh, excluding the rental of the outlet, interiors, infrastructure needed. Therefore, an aspirant needs at least an investment of Rs 5 lakh.”

Word of Caution

The courier service franchising has many benefits for the aspirants but there is a word of caution also. Entrepreneurs looking for quick and short way of making money can have a hard time as courier franchising is small business service with low investment but gives steady but low incomes. Therefore those aspirants who are keen on making a lot of money in less time should rethink about their decision to enter this field.

To conclude it can be said that there is no dearth of renowned players in this sector who can give a good platform to aspirants to climb the entrepreneurial ladder. Aspiring entrepreneurs will always be an added benefit to this wide field.


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