berco express - The African Business Journal

BERCO EXPRESS
www.bercoexpress.co.za
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Berco Expre
Aiming to be cou
of choice for SA
ess—
urier
PRODUCTS & SERVICES
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PRODUCTS & SERVICES • Berco Express
MARCH 2011 • The African Business Journal
Boasting the high-reaching goal of being the courier of
choice for South Africa, Berco Express is soaring towards
that objective with a host of technological innovations.
The company already has a multitude of security systems
in place, such as track and trace capabilities, and the very
best global positioning system (GPS) so that it can ensure, on
a real-time basis, exactly where their delivery vehicles are at
any stage of their journey. More recent innovations include a
2.5-million rand software re-write to enhance the company’s
ability to provide customers with more technology-driven convenience and new state-of-the-art hubs from where consignments will travel with unprecedented security and efficiency.
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PRODUCTS & SERVICES • Berco Express
Company development
The company, founded in 1992, began as a
ensures next-day delivery.
“Where Berco has been corporate-focused,
small crane operation based in Cape Town
business-to-business, we are now moving into
and Johannesburg. At the onset it only moved
something totally different: counter-to-counter,”
documents but began to grow organically. Andy
Van der Velde says. “We keep it nice and simple,
van der Velde, who is Chief Executive Officer of
so it is one rate, anywhere in South Africa, and it
Berco Express today, was not part of the com-
is an express service.”
pany yet. He says: “I think the intention back
The company delivers a variety of domestic
then was to do small, same-day parcels. Due to
and international courier services. The interna-
good service, and as the demands from cus-
tional deliveries are made possible by business
tomers increased, Berco expanded by opening
alliances; Berco Express delivers for these alli-
branches around the country.”
ances and they deliver for Berco Express. “It is
From there, the business continued to evolve
as if we have a global network, so we can show
and Van der Velde joined seven years ago. He adds:
track and trace,” adds Van der Velde. “We can do
“We have pushed it forward by going up and down-
all those things for our customers and it works
stream with a warehousing business, so now we
very well. A big portion of our international work
can provide end-to-end service to our customers.”
goes to the Global Distribution Alliance (GDA),
Offices are located in 15 of the country’s medium- to large-sized towns. Vehicles are based in
which is in the top five global networks.”
Though the company is focused primarily
each of these offices so the surrounding towns can
on distribution within South Africa, it boasts a fleet
easily be supported. Van der Velde adds: “We have
of over 300 vehicles and air for urgent parcels.
a very big national footprint and 865 employees.”
The potential for international growth is there, and
One of the latest innovations at Berco Express
is a product launch called Berco Dropbox. Trial
tests of the product were done in Pick n Pay, one of
Berco Express plans to penetrate the rest of Africa
by looking at some cross-border countries.
To accomplish these lofty goals, Berco
South Africa’s largest retailers. Customers can go
Express has invested heavily in information technol-
into the store, spend 99 rand, buy a sleeve, put
ogy (IT), engaging customers through its website.
their goods into it, and then pop it into the Drop-
“Customers are very engaged in this, looking at the
box. Every night, Berco collects the boxes and
web page to see what stock we have, then they can
MARCH 2011 • The African Business Journal
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PRODUCTS & SERVICES • Berco Express
order it, we will pack it and then distribute it, track
it with the order number, and we can invoice the
You cannot use a shotgun approach.”
The company is also quite image and brand
customer as well this way,” says Van der Velde. “So
conscience. The vehicles are well maintained,
it is a full-support system, which is quite unique. It
and drivers are clean and dressed smartly, as
is not just a normal track-and-trace courier system
well as educated. “We will not take any employee
like a lot of international couriers here. It is linked
who has not finished schooling,” says Van der
right through from warehousing to distribution.”
Velde. “When our customers use us we are an ex-
Berco Express also boasts flexibility, competitive pricing and consistent operations. Van
der Velde adds: “There is a combination. We are
tension of their business, so by employing good
staff, they are very happy with what we portray.”
With strict attention to detail, Berco Ex-
flexible where we can be, but from our operations
press prides itself in having close to zero shrink
perspective, we bring on the right customers,
rate and zero damages. “That is what Berco has
keeping it lean and fast and very high quality. In
been driving and pushing,” says Van der Velde.
order to do that, you need to target your market.
“Delivered on time with peace of mind, never
MARCH 2011 • The African Business Journal
damaged and never stolen.”
Yet another innovation at Berco Express is
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new ideas, and they go to our customers with
ways to innovative and add value,” says Van der
212, which is named so because it goes the ex-
Velde. “They talk to the customer about bringing
tra degree. “211-degree Fahrenheit water is hot,”
in small shipments more frequently rather than
explains Van der Velde. “At 212F, it boils, creat-
big huge containers, and now the customer has a
ing steam, a powerful thing. Our internal drive is
bigger cash flow as well for their logistics.”
to go that extra degree. We are doing very well
Van der Velde can sum up Berco Express in
at the moment. We are hot. But that one extra
a few choice words: “Customer experience, ease
degree makes a huge difference.”
of mind, easy to do business with, reliable from
The company’s strategy in 2011 is to drive
212 throughout the business while the contract
a cost perspective it is a better option than going
with a company that does not have that.” TAB
with the Pick n Pay Dropboxes continues to grow
as well. Berco Express also intends to add more
employees. “We put them in, they come up with
www.bercoexpress.co.za
AS SEEN IN THE MARCH 2011 ISSUE
OF THE AFRICAN BUSINESS JOURNAL