In this excerpt, you will learn steps to start home delivery service business here in Nigeria and anywhere in the world.
If you have the mind set of an entrepreneur whose objective is identifying an opportunity and building a business around it in order to make profit and meet social needs, then a home delivery service is an option for you to explore.
Home delivery business is a small business almost everyone can start depending on the strategy at your disposal.
Though a minimal start-up cost is required, you need to draft a comprehensive business plan and do a thorough research on what type of deliveries you want to venture into.
You can give any name you like to logistics business such as; door-step delivery service, bike delivery service, transportation service, dispatch rider business, they all mean one and the same thing.
E-commerce businesses are on the rise because of the rising number of Internet users.
In fact, business minded persons who do not have online presence are missing out and it won’t take long before everyone begins to tour this line since nobody will want to be on the losing side.
We have few online retail stores that are running services to match with the rising e-commerce growing markets examples are; Konga, Jumia and Jiji etc.
The advent of e-commerce and online buying of products and services have created opportunities for other key players in the sectors example is logistics business.
HOW TO START A DELIVERY BUSINESS
Starting a delivery business in Nigeria at this time has the potential to be very profitable.
That sounds interesting right?
This is because there is high demand for such service. In this article I will be giving a step-by-step guide on how you can start a successful delivery business in Nigeria.
1. Business plan and Start-up Capital
Home delivery business is not an expensive business to start-up; you can start with just 100,000 naira. You will also draft a business plan for managing and growing the business.
On top of that, you will determine where your delivery boundaries will be, how much you will charge, cost of transportation and time.
A metropolitan area is best for this business to enable you keep track on your customers and reach them in time.
Determine where your delivery boundaries will be, and the amount you intend to charge.
Consider the costs of your transportation, wages for dispatch riders, and communication strategy with product owners and the amount of time it will take you to get places.
2. Create a business/brand name and logo
These eCommerce retail companies have a brand and logo. In like manner, it is necessary that you have a nice business name and logo.
You can design good logos from websites like Canva- a free online graphic design tool that you can use to create good brand for your business
3. Get a Company or Business Name
The next step is to register your business with the Corporate Affairs Commission (CAC) to avoid government sanction and harassment. Furthermore, registering your business enhances reliability and trust from potential customers.
4. Create an Online Platform to remain competitive
This is an absolute must if you wish to receive a decent flow of business.
This will afford clients with greater flexibility –that you fully utilize your website (your shop window) to its maximum potential by having a proper order engine. You can set up availability rules which ensure that you never lose control over your products availability.
Your customers also receive automatic purchase confirmations and email reminders, saving you the hassle.
5. Hire capable hands
The next step is to hire competent staff to work with you. Your home delivery business involves a building a website, SMS code, a possible mobile application, emails, order confirmation and acceptance sms/emails, payment gateways and delivery fulfilment.
You would need to hire staff in charge of logistics to handle ordering, payment and delivery logistics. Your staff should be given a nice look like branded shirts, jackets, helmets, among others.
6. Setup a Payment Method
Your home delivery business should be open for all scheduled hours, and should be known on your website.
The pricing rate for different products and different means of payment such as QuickTeller, cash payment, POS, depending on the customers’ choice.
You must be able to accept credit and debit card payments, which is the usual method of paying for this business. You can also adopt the pay on delivery method to build trust in the beginning.
7. Build a Nice Customer Care and collaborate with major product dealers
Listen to your customers’ complain or requests in order to serve them better. A good customer care is a live-wire of any business.
Once you have decided what kind of products you intending doing home delivery for, you can meet major dealers and introduce your home delivery services to them.
For instance, if you home delivery service is to delivery clothes, partner with PEP to develop a customer friendly app where customers can request for various clothes and your company would make delivery on their behalf.
8. Display High Degree of Competence and Integrity
One crucial aspect of the business is your ability to convince your customers to visit your website to make order for delivery and this is only possible when you display competence and integrity on your first delivery.
If you give them any reason to doubt your competence or the delivered products are not satisfactory, you are likely not going to get a repeat business from them.
You must ensure that you do a perfect job (timely delivery and good products) that will make them long for service and also earn you referrals.
9. Promote and Advertise your business
This is a competitive business and advertisement will go a long way to help in wading off competition.
You could place your advert online (social media), fliers, through newspapers.
Another way to gain prospective customers is a nice business card, move around offices, organisations, to inform them about your home delivery business.
The business card should be informative clearly stating the nature of services you provide.
This will definitely invite prospective customers to patronize your delivery service.
10. Draft up an expansion plan
There should be a good foresight for your home delivery business.
Your business can exceed the four walls of your present location to others states when you provide good and quality services to your customers.
Retail outlets like Jumia, Konga have extended their deliveries beyond Lagos state.
The onus lies on you to continually think of how to do better than existing home delivery business in order to succeed in this business.
This could be a nice business to start… What do you think?
EQUIPMENT NEEDED FOR DELIVERY BUSINESS
2. Mobile phone
7. Items for keeping records
8. Dispatch box
Advertise your delivery business both online and offline. Look for ways to get to online merchants and individuals that sell products on social media platforms.
Visit Bizmarrow.com for more information on digital marketing.
Reach out to companies, agencies and businesses that will require your services. Some of those outfits include; Kaymu, Dealdey, Konga and online food vendors.
People who are into importation business need the services of a logistics company the most. And also courier companies for dispatching parcels.
That is why logistics business is an evergreen business. It is yet to be crowded and will take a very long time if at all that will happened.