How Savvy Entrepreneurs are Making Big Money in Shipping and Delivery this Holiday Season.

The holiday shopping season always serves as the peak period for the delivery industry, but the COVID-19 pandemic has driven ecommerce through the stratosphere, creating a huge opportunity for entrepreneurs. With millions of people shopping from home in record numbers due to isolation from the pandemic, traditional carriers like FedEx and UPS are being stretched beyond their capacity to deliver goods purchased online. To address this problem, internet marketplaces like Amazon, as well as brick and mortar stores like Best Buy and Target, are turning to independent delivery proprietors to ensure online orders reach their destination. If you are searching for a lucrative business opportunity this holiday season, the answer may be in the delivery industry.

Savvy Entrepreneurs

How Can I Become a Delivery Proprietor?

While starting any business seems challenging at first, the process for establishing a proprietorship is really not that complicated. There are five main steps an entrepreneur needs to perform to establish a delivery business:

  1. Set-up Your Business Plan
  2. Establish Your Official Charter
  3. Create a Customer Base
  4. Acquire All Necessary Equipment
  5. Get A Good Delivery Route Planner

If you can manage these key steps, you will find success this holiday season!

1. Set-up Your Business Plan

The most important step to any business plan is developing your value proposition. How do you intend to create value? What features can you offer clients that other delivery companies cannot or will not? What geographic areas are you intending to serve? What costs and competition do you anticipate having? What vehicles and software do you need to handle your operation logistics? These are just some of the questions your business plan should be able to answer as you prepare to launch your service.

2. Establish You Official Charter

To establish your business, you need to legally register the company. You must decide if an LLC (Limited Liability Company) or sole proprietorship is the best course of action for you. If you decide to remain a sole proprietor, you still must register your business name with your local county clerk’s office (some states have exemptions, so consult with an attorney if you need further guidance).

3. Create a Customer Base

Once you have a business plan and an official charter, the next crucial step is acquiring customers. In 2024, there are a myriad of ways in which you can build a customer base- physical flyers, social media ads through Facebook and Instagram, paying for online ads in search engines to steer traffic to your company webpage, and more. Advertise for service in densely populated areas in which you can serve multiple stops quickly so as to minimize operational costs like time and fuel and maximize efficiency and profits.

As your delivery service begins to pick up a steady stream of business, think about creating a basic customer loyalty program. Keep it simple- start with a dollar purchase threshold that qualifies a customer for a discount or a free delivery in the future. The goal of this is to retain as much repeat business as possible, so figure out a deal that works for you and educate your customers on the benefits of using your services for more than just the holiday season.

 4. Acquire All Necessary Equipment

When developing a delivery service, proprietors obviously need trucks and/or vans, but it is also important to consider the tools necessary to get the job done. Delivery drivers need hand trucks and dollies, ratchet straps to hold down cargo, bungee cords, moving blankets, and bubble wrap for delicate items. While these items seem small, they must be accounted for in your costs and play a major role in the efficiency of the driver’s daily operations.

5. Get a Good Delivery Route Planner

Starting your business, finding customers, and purchasing equipment will set you up for success, but operational efficiency will dictate your revenue stream. For this all important final piece, your delivery service needs a reliable route optimization software to map the best plans for your drivers. Many drivers in the industry rely on the app Straightaway for their delivery route planning needs. Straightaway is popular because it automatically plans your delivery route with the snap of a photo. Drivers simply take a picture of their dropoff locations, and Straightaway maps the fastest route possible, accounting for traffic and weather in real-time. A delivery route planner can make or break your service, so be sure to find the best one for your needs.

Now is the Time- Seize Your Opportunity!

With ecommerce growing at an unprecedented rate, there is no better time to enter the delivery industry than right now. Savvy entrepreneurs who act before the holiday season will reap the rewards of this amazing opportunity.

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