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<blockquote data-quote="MrFedEx" data-source="post: 950288" data-attributes="member: 12508"><p>I don't really agree. There are a lot of shippers out there who will pay for premium service, but only if they truly receive it. The new low-cost Express model doesn't bend over backwards for customers the way the former version did. That's the way you get market share from the competition when lowest cost isn't the whole story. Exemplary service for high-end customers with equally high-end demands is very profitable. Certain medical companies and tech firms immediately come to mind here.</p><p></p><p>We have some colossal eff-ups these days, and they used to be the exception. More and more, they are becoming the rule. Like CTV's missing the plane, bumped HAZ and International, and lots of bad service problems that use to be largely averted. It's still a big deal when a semi misses the plane, and this is where the way frontline employees are treated comes into play. When you have competent, highly motivated people, they take pride in avoiding costly mistakes. Now, nobody really cares, and that is very costly, both in terms of reputation and market share. The extra 5 minutes gained back through people who actually give a crap could be the margin between a missed aircraft or freight that makes the plane. In general,the planes don't wait, especially on the West Coast where linehaul times are longer.</p><p></p><p>That's called being penny-wise and pound foolish, and Fred is still learning that lesson.</p></blockquote><p></p>
[QUOTE="MrFedEx, post: 950288, member: 12508"] I don't really agree. There are a lot of shippers out there who will pay for premium service, but only if they truly receive it. The new low-cost Express model doesn't bend over backwards for customers the way the former version did. That's the way you get market share from the competition when lowest cost isn't the whole story. Exemplary service for high-end customers with equally high-end demands is very profitable. Certain medical companies and tech firms immediately come to mind here. We have some colossal eff-ups these days, and they used to be the exception. More and more, they are becoming the rule. Like CTV's missing the plane, bumped HAZ and International, and lots of bad service problems that use to be largely averted. It's still a big deal when a semi misses the plane, and this is where the way frontline employees are treated comes into play. When you have competent, highly motivated people, they take pride in avoiding costly mistakes. Now, nobody really cares, and that is very costly, both in terms of reputation and market share. The extra 5 minutes gained back through people who actually give a crap could be the margin between a missed aircraft or freight that makes the plane. In general,the planes don't wait, especially on the West Coast where linehaul times are longer. That's called being penny-wise and pound foolish, and Fred is still learning that lesson. [/QUOTE]
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