NINE56 Ltd has taken the decision to withdraw from the Same Day courier market with immediate effect.
31/01/2019 – Sheffield
Sheffield based Haulage Contractor NINE56 Ltd today announce that, with immediate effect, they are withdrawing from the same day courier market. The move comes after a difficult festive season with margins being continually squeezed by competition and rising fuel prices.
MD Nicholas Smith explained the decision saying; “Our experiment in same day light haulage has come to an end as a result of highly squeezed margins by new entrants to the industry and increased costs in the way of fuel. The imminent introduction of the Ultra Low Emissions Zone in London is another factor in the decision to bow out of the market as continued trading would have required the replacement of our vans with expensive new Euro 6 machines.”
Trading conditions have altered drastically in the 7 months we have operated in the market and demands for drastic price cutting by clients in the difficult January trading period made the service unsustainable.
In terms of staffing, one of our van drivers has been trained to drive articulated lorries and has been redeployed to our LGV side. The other driver has unfortunately left the business but has also departed with C+E training funded so that they can further develop their driving career.
Nicholas added, “Ending our relationship with one of our drivers, despite the amicable nature of the split, was a very hard decision to take. We only had four driving slots available and with five drivers to fill them, a decision had to be taken.”
C Llewelyn, one of our vans, will be repurposed as a fleet support vehicle which will allow us to bring more of our maintenance requirements in house and improve our quality control. Peter C will be stripped of its livery and sold as surplus to requirements but the name will live on. The next addition to our fleet will carry the name in honor of Nicholas’s maternal Grandfather.