AE Hancock eliminates empty capacity and increases profitability with Haulage Exchange

“Haulage Exchange has made such a contribution to our recent success, virtually eliminating empty capacity and increasing the profitability of the business. In our first full month we gained over £8,000 representing a 20 per cent boost to our turnover.”

Dawn Hancock, AE Hancock ltd

BACKGROUND

AE Hancock ltd is a family-owned haulage business based in Stockport that was established in 2007 with a single commercial vehicle. Since then, the company has undergone significant growth handling same-and next-day deliveries across the UK and mainland Europe. AE Hancock now operates a fleet of seven vehicles, made up of tractor units and rigid flatbed lorries, from an 8,000 sq ft warehouse facility.

CHALLENGE

AE Hancock realised they were not making best possible use of their fleet because they did not possess the necessary network of trusted partners and customers nationwide to avoid high levels of empty running. As the company expanded beyond its traditional roots in the North West of England, it needed to find an effective means of attracting additional loads to maximise capacity and boost turnover.

SOLUTION

AE Hancock joined Haulage Exchange, the industry-leading freight trading platform from Transport Exchange Group, in January 2014 following a recommendation from an existing partner. By gaining access to a network of more than 3,000 transport businesses located across the UK, Ireland and mainland Europe, the company has been able to fill over 90 per cent of its empty return load capacity. This resulted in an impressive 20 per cent increase in turnover in the first full month on the exchange worth over £8,000.

AE Hancock secures a significant number of loads per month through Haulage Exchange, using it to list available capacity on a daily basis and identifying suitable loads that match with the locations of vehicles from the company’s office in Stockport. It has been able to develop valued relationships with like-minded hauliers, including a core network of 20 operators that are responsible for a growing proportion of the additional loads. Meanwhile, the feedback system has enabled the company to make informed decisions about who they work with and have peace of mind that new partners will provide the expected levels of service.

Furthermore, the AE Hancock has been able to identify additional business prospects via Haulage Exchange, so its investment strategy has been aligned to meet precise need of other members. For example, the company has become FORS (Fleet Operator Recognition Scheme) accredited to take advantage of increased demand for work in London, while the planned acquisition of an 18-tonne curtainside vehicle with tail lift is a direct result of the opportunities that exist on the Exchange.

The simple, responsive and intuitive nature of Haulage Exchange has meant AE Hancock has been able to use Haulage Exchange without creating any administrative burden internally. In fact, using the freight trading platform’s invoice system has helped the company save time and streamline their billing processes. Meanwhile, the added support provided by the dedicated customer management team means that any queries are answered immediately and issues quickly resolved.

“Haulage Exchange has become an integral part of our day-to-day operation, supporting our ambitions to grow the business. We had previously been reliant on our customer base within the north west of England, but now have access to opportunities across the UK and internationally. The impact was almost immediate, helping us to effectively fill available capacity and make best use of our assets.”