Cheques and BACS
Many of you will remember me writing in the Chairman’s Report of last May that
our Bank was beginning to phase out the process of cashing cheques for members
at their own branches for any Dial-a-Cab credit work they have undertaken. The
Banks are very keen to end this service due to the cost involved, however, it
also entails a significant cost to Dial-a-Cab because not only do we have to
pay for every cheque issued, we also have to pay an amount for every £100 of
cash that is handed over. For companies to issue cheques to people that they
might then go and cash is somewhat unusual and is only a service that they have
provided for us under ‘Spanish Custom’ and they now wish to terminate this
agreement.
In that article, I requested that members consider having their
credit money paid directly into their Building Society and Bank Accounts rather
than having cheques issued to them and my request proved to be very rewarding,
the result being that we now have less than 100 members who have their credit
money paid to them by cheque. The amazing thing is that the majority of the
100, when they receive their cheque, then pay it into their account instead of
cashing it anyway!
So that’s the background and returning to the point, the Bank has
said they will be phasing out the cashing of cheques by 1 April 2005.
Consequently, if you are one of the members who are still paid by cheque, then
you must inform either Nuala or Val in Drivers Services of your Bank or
Building Society details so that we will have an account to deposit your Credit
money into. I’d also like to remind you that should you clear a credit ride by
midnight on Thursday and you are a weekly paid driver, then the money will be
in your account on the following Friday.
The Dial-a-Cab Credit Union, as you know, is a separate unit to the
Dial-a-Cab radio circuit; however, I have been reliably informed that their
cheque cashing facility will also cease on 31 March 2005. Please do not put it
off; get in touch with Nuala or Val immediately and give them your
Bank/Building Society details.
Concierge, Car Companies and Service.
I know much has been said and written in recent times regarding Concierge, Car
Companies and the service we provide. Elsewhere in this issue of Call Sign, you
will see that the Editor has asked me some questions regarding Concierge and
hopefully the answers will help to quell some of the rumours and false
information
that is being bandied
about.
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 Before I talk about Concierge, I would like to talk about the
service we provide for Car Companies; I know
it’s a bitter pill to swallow that we back up
their service, but if we did not do it then
the other two major radio taxi circuits would,
so that leaves us in a bit of a predicament -
damned if we do and damned if we don’t. The
amazing thing is that the car companies still
use us even at this time of the year and as
you are aware, everything is at full meter
fare and full gratuity. But following the
excellent service that we provided over the
holiday period, some of the car companies’
clients have approached us regarding opening
an account directly with us instead of with
the car company! It would appear that the car
companies service at that time left something
to be desired and most of the time the vehicle
that was being supplied was from us anyway!
Consequently, we have been approached about
opening an account directly with those
clients, something I do not have a problem
with. I am hopeful that within the next few
weeks or so, things will come to fruition.
Regarding Concierge, I’ve heard so much rubbish and read literature
that is totally untrue. However, there is a
saying that I believe to be very apt - it
doesn’t matter what the truth is, it’s what
people believe that’s important! So I will
endeavour to set the record straight and give
you the facts.
As most of you know, JPMC is one of the largest taxi users in
London and was totally a ComCab account for
more than twenty years. They did not use any
other taxi suppliers, just car companies. Then
a few years back, we managed to get into the
account and built our share of the taxi usage
up to 10% of the taxi account - after all, 10%
is better than 100% of nothing. We have
regular meetings with the Client and it became
apparent that they wanted one Vendor to manage
their whole account, including taking
bookings, telephone/on-line, supplying them
with one invoice, one set of Management Stats
and to distribute the work equally among all
the Vendors. We were not worried about
distributing the car work to the car companies
equally, after all, this was work they were
doing anyway and the customer would still
choose them regardless. What
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appealed to us particularly was
that our members share of the
taxi work would increase from 10% to a minimum of 50% and when you are talking
in £millions, then it is well worth going for.
So we built a system and the customer is currently
making 35% of their bookings on-line - a huge amount. I estimate that at the
time of writing, we have completed over 5000 extra taxi trips for the client
than we would have done prior to Concierge.
Another rumour appears to be that we offer the customer a choice of
taxi or car; that is also totally untrue. The customer knows the type of
vehicle he requires before he makes the booking and prior to Concierge, would
just have telephoned either the car company or taxi company direct. The
difference now is that over and above our normal service charge, we also earn a
fee for every booking that is made even for Dial-a-Cab trips and even the 35%
of trips that are booked on-line. To date, we have done extremely well from
Concierge both in the way of extra revenue and trips for our members - and of
course the extra revenue that Dial-a-Cab has earned. We have almost recouped
our outlay already and now we have the system, we can use it anywhere -
preferably in new accounts in order to obtain more business. It also makes us
crucial to the customers Ground Transportation needs.
I’d like you all to think about something; I think that most of you
will agree that Dial-a-Cab is the best Radio Taxi circuit in London – that is
why you are here. I believe that many of you will also agree that we have done
exceptionally well in recent times, after all it was not too long ago that
Dial-a-Cab was almost bankrupt – well in fact it was and trading on a ‘day to
day’ basis. Yet we are now the leaders in our field and that is something that
I am particularly proud of. We have invested £6m in new technology and
everything is paid for while in addition, we also have £2.5m in cash at the
bank! So why oh why would your BoM get up one morning and think: "We are going
to give everything away, including all our work!" It just doesn’t make sense.
2004 AGM
Finally, I would like to remind you that the AGM is on Sunday 6 February. If
you do not vote by post then you should attend. Your votes must be returned to
the ERS by Friday 4 February, failure to do either will result in a
£50 fine. I look forward to seeing you…
Brian Rice
Chairman, Dial-a-Cab |