Instead of making customers bend to its schedule, FedEx Ground does the opposite: It delivers on Saturday, in the evening, or by appointment. And because the drivers tend to live near their routes, customers like MyPleasure.com CEO Sandor Gardos can coax even more perks from them. During the holidays last year, Gardos says, “Ramon not only did two Saturday pickups, but he said, ‘I don’t usually pick up on Sunday, but I live nearby and can bring my truck by.’ That blew me away.”
UPS still hogs the ground-delivery roadway with a 71 percent market share. But FedEx Ground--which just a few years ago was a sideshow to its $16 billion global air-delivery business--hit 14 percent market share in 2002. With revenue growing at a 26 percent annual clip and operating profit surging (up 47 percent in the fiscal year that ended in May), it’s on track to swipe another 7 percent of the market by 2007. UPS, by contrast, has lagged behind: Revenue for ground-package shipments grew a measly 0.2 percent in 2002, while overall U.S. operating profit fell 1 percent.
- Why FedEx Is Gaining Ground By converting truck drivers into sales machines and bringing its ground-shipping tech into the 21st century, FedEx is giving UPS a run for its money, CNN.com, October 1, 2003.
2. The design of your office isn’t just about aesthetics. In many industries, it’s now key to your success.
Keeping your workplace in line with current trends helps your current employees work more effectively. It helps you recruit future employees who appreciate a forward-thinking company. It can even help you land clients.
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