Past Present Future Untitled-1 1 7/2/2013 1:43:59 PM

DispatchDispatch NewsNews The official publication of the California Delivery Association Spring 2014

From The President, JR Dicker Gold Rush Express Delivery

California Delivery Association

Hello to everyone out there in delivery land. I would like to give you all an update of where we are and where we are heading. CDA Director Mike McBain of Central Courier has resigned from the Board and is enjoying retirement. Mike was a long standing great member, while serving on the Board multiple times and as a past Secretary/Treasurer for the CDA. He was upbeat, outgoing, and always asking the direct questions while also sharing his favorite jokes. His overall contribution to our Association will be greatly and forever missed.

Your Board of Directors would like a replacement candidate for Mike’s position. If you or someone you know may be interested in serving the association, please let me know so the Board can consider a possible appointment.

There is a lot on the plate for the Board of Directors as our Executive Director is pointing out in this issue. Time goes by so fast, and we as directors are putting in the time, but like Dan is saying, "A lot of energy can get expended but is it producing what is needed?" A good percentage of our members have been on the CDA Board and many have been officers, so I imagine they know what we are going through. This is a critical time in our Association's history and we need to work smart to insure we bring value to our long time and current members, but we must find a way to grow in a changing industry. We have a full agenda for the board, but we ask “what do our members want?” What do you like or not like? How can we attract new members to our Association? We are looking at our association Bylaws for changes that may be useful, and which the membership would then vote on. We also ask, “are membership dues to expensive?” If so, how do we cover our fixed costs? If we were to reduce our revenue, then we may need to make changes to our Executive Director and those responsibilities. If we do, then how will that affect our operations and would others willingly take up some of the slack?

Advocacy – what time, efforts, and bills do we lobby for or against? For instance, I have a passion to make sure that reasonable Workers Compensation rates stay in place that are affordable, and to see that there are more carriers that want to do business in California with our class codes.

Most importantly how do we grow our membership? In This Issue:

Please know that no matter who you are, you are important to Amazon Air - Drone Technology... the association’s well being and your input is valued. We want to hear from members so give me a call at 408-292-7300, or call Logistics Excellence Predictions for 2014 any of the Board listed on page 27. Thank you. Association History

NLRB Reissues “Ambush” Election Rule

Couriers Expand To Challenge Larger Rivals JR Dicker, CDA President “End Classification Confusion in California”

Industry News…

BITS & Pieces

10 Top Ways You Can Demonstrate Love...

and a whole lot more... www.cadelivery.org

California Delivery Association Spring 2014 page 3

Last November, I traveled to Sacramento to meet with some “higher ups” at the EDD for discussion of industry matters and a little relationship building. Rob Hulteng and Damon Ott with Littler Mendelson also were in attendance, and generously provided me with transportation back to the Bay Area. The next day I had a meeting with CDA President, JR Dicker and Bryan Scott, Sec/Treasurer. Both meetings were useful and provided some insight as to what course or courses the CDA may want or need to pursue.

After returning to LAX in the dark, I snagged a cab and joined the bustle on PCH Hwy 1. Then as always, at a close major intersec- tion, it is startling to have Southwest flights coming right over your head, at maybe 100’ up in the air to land on the northern LAX runways. Soon another red light stop in Playa Del Rey provided me more time to reflect on what had transpired during this busy two day trip. Here I was looking at a huge, recently built corporate building formerly occupied by Electronic Arts, but now in this corner glass monster is the biggest LA Fitness that I have ever seen. The second story windows must be at least a full two stories in height from the previous “open space” tenant. The extreme lighting inside contrasted quite well with the darkness surrounding the Prius cab, me, and the I.C. taxi driver.

What I was witnessing were dozens and dozens of machines, most with people on them, and all in synchronized motion expending tremendous amounts of energy. Whether striding or standing on ellipticals, treadmills, stair climbers, bikes, etc, they were all moving, but other than that…they were going nowhere, just running in place. I likened this display as being similar to what we experience at some times in our lives, whether it be ourselves, your business, government, or maybe even an association.

A lot of energy can get expended, but is it producing what is needed? Are our CDA efforts moving the members and association towards the future? Certainly much being done is useful, but is it time for some additional strategic or critical thinking? Perhaps we need more assistance and thought from all members in an effort to recognize our history, consider our mission, and advance to new horizons for the future. During my career I have often used the following:

Where are we, Where are we going, Where should we be going. How do we get there?

Your Board of Directors will be grappling with these challenges, so please stay tuned and offer your input, suggestions, and thoughts along this journey.

Dan Bender, CDA Executive Director

www.cadelivery.org

Companies form an association for their common needs. While these needs may change or vary, they do not go away.

California Delivery Association Spring 2014 page 4 Amazon Air — How Drone Technology Stands to Alter Supply Chain Norms by Joel Johnson of GEP.

For product-oriented companies, the last leg of the supply chain is often the most inefficient. Urban streets are clogged with trucks, vans, and motorcycles operating on behalf of companies ranging from logistical giants to local grocery delivery chains. What if there was a solution that offered increased service levels and efficiency along with reduced labor and environmental costs? What companies are best positioned to capitalize on this emerging technology, and how could it impact future business operations?

Amazon recently made news when it released the latest product of its next generation R&D lab, Amazon Air. In actuality, Amazon’s CEO, Jeff Bezos, is embracing an emerging delivery solution that has been gaining momentum for the past decade. Unmanned Ae- rial Vehicles, or drones, have gained infamy for their role in executing strikes against terrorists in Afghanistan and Pakistan. Now their commercial utility is anticipated to drastically impact a number of industries while altering some fundamental supply chain practices.

While substantial regulatory hurdles may make drone drop-off on your front porch unlikely in the near future, it is worth exploring a few implications of this emerging technology with an emphasis on the role of Amazon.

Urban Warehousing Development – As consumer expectations for product deliveries transition from days to minutes, the importance of centralized distribution hubs take on an increasing level of significance. Through a combination of acquisitions and organic growth Amazon has established a strong presence in most major urban areas. These urban networks create an environment in which drones can thrive and will likely prompt other logistical providers to make similar investments.

Small Parcel Industry Mix-Up – Given the integral role of distribution to Amazon’s business model, it has long been speculated that the company would either acquire a major logistics provider such as FedEx or UPS or develop its own distribution presence through internal investment. With the advent of drone technology, Amazon could significantly reduce its reliance on small parcel firms for the last leg of delivery, perhaps breaking the UPS/FedEx duopoly that has existed since DHL left the market in 2008.

I would argue that Amazon’s leading role in the widespread adoption of drone distribution technology is representative of trend in which a small number of companies progressively encroach into multiple facets of our lives in and out of the office. Such companies include Amazon, Google, and Apple, all of which ini- “prepare themselves for a tially provided consumer-direct produces or services, but have since each established a formi- time when consumers dable presence related to business applications and products. With visionary leaders, heavy expect a 15-minute emphasis on R&D, and vast budgets for acquisitions, they are forcing established players to innovate. For example, Amazon’s investment in drone technology is further complemented by delivery for a spare part” its emerging presence as a MRO supplier via Amazon Supply which could be complemented by the Amazon 3D printing store as 3D manufacturing applications continue to gain momentum.

Established MRO industry players such as Grainger and McMaster Carr must now prepare themselves for a time when consumers expect a 15-minute delivery for a spare part. While it may be several decades until “Drone Transport” becomes another logistics procurement category alongside ocean freight, truckload, and small parcel, the technology is emerging quickly with clear benefits for the early adopters.

For more interesting thinking on procurement, visit the GEP Knowledge Portal.

California Delivery Association Spring 2014 page 5 Legislative

CDA members, JR Dicker (Gold Rush), John Kabateck, NFIB’s Executive Director, and Donna Springer (Go-Getters) attend the NFIB Legislator Reception in Sacramento.

Please save the dates and make plans to attend:

April 7 - CDA Board Meeting & Sacramento Lunch & Learn, Sheraton Grand Hotel (more info to be announced.)

April 8 - NFIB/California’s 6th Annual Day at the Capitol. (CDA members are invited to attend and visit legislators.)

8:00 am – 11:30 am – Legislative Visits California State Capitol Building 11:30 am – 4:00 pm – Lunch & Program - Sheraton Grand Sacramento Hotel {Tentative Agenda}

• Governors Panel on California Small Business and Economic Issues

Former California Governor Pete Wilson – confirmed • Political Panel on the state of elections, and other issues this year • Apolitical humorist/personality • Other special guest speakers – confirmations expected soon

5:00 pm – 7:00 pm – Concluding Reception Mayahuel

Please contact Lauren Zahedani, NFIB/CA Member Support Manager at [email protected] or 916-990-4763.

Specific Bill Information

Be sure to check the CDA website, cadelivery.org for up to date information on bills we are following. The bills below are the more interesting as of this publishing date 2-14-14. AB 1522 (mandated sick pay) and SB 935 (additional new increase to CA minimum wage) are the most onerous. The last date to enter new bills is 2-22-14, and during that week more than ONE THOUSAND additional bills will be entered in this legislative session so there will be many new ones to follow.

AB 1522 Gonzalez D Employment: paid sick days. Would provide that an employee, as defined, who works in California for 7 or more days in a calendar year is entitled to paid sick days, as defined, to be accrued at a rate of no less than one hour for every 30 hours worked. An employee would be entitled to use accrued sick days beginning on the 90th calendar day of employment. The bill would require employers to provide paid sick days, upon the request of the employee, for diagnosis, care, or treatment of health conditions of the employee or an employee's family member, or for leave related to domestic violence or sexual assault. This bill contains other related provisions.

AB 1555 Frazier D Vehicular manslaughter: great bodily injury: driving while using wireless device. Would make vehicular manslaughter without gross negligence committed during the course of a violation of specified prohibitions on driving a motor vehicle while using a wireless telephone, electronic wireless communications device, or mobile service device, punishable by imprisonment in a county jail for 16 months, or 2 or 3 years, and would make vehicular manslaughter with gross negligence under these circumstances punishable by imprisonment in the state prison for 4, 6, or 10 years. By increasing the punishment for a crime, this bill would impose a state-mandated local program.

SB 935 Leno D Minimum wage: annual adjustment. Would increase the minimum wage, on and after January 1, 2015, to not less than $11 per hour, on and after January 1, 2016, to not less than $12 per hour, and on and after January 1, 2017, to not less than $13 per hour. The bill would further increase the minimum wage annually thereafter, to maintain employee purchasing power. The automatically adjusted minimum wage would be calculated using the California Consumer Price Index, as specified. This bill contains other related provisions

SB 981 Huff R Regulations: review process. Current law, the Administrative Procedure Act, governs the procedure for the adoption, amendment, or repeal of regulations by state agencies. This bill would require each agency to review each regulation adopted prior to January 1, 2014, and to develop a report with prescribed information to be submitted to the Legislature on or before January 1, 2016.

California Delivery Association Spring 2014 page 6 Logistics Excellence Predictions for 2014 by Chris Jones, DC Velocity

Hopefully, you got some down time during the holidays to enjoy your family and let your mind ease from what was most likely a busy 2013. It looks like 2014 will be an even more transformative year. What will this year look like and what will the supply chain “winners” be doing to beat their competition?

Omni-modal versus multi-modal distribution. The term “Omni” is hot in the retail market as retailers look to optimize and create a unified selling front to consumers whether they are in store, on line, or on their smart phone. The notion of multi-modal distribution – the optimization of deliveries across the delivery modes - has been around for a long time, but for most distribution-intensive companies it has been limited to simple mode selection (e.g. size and weight). Instead, omni-modal takes the process a step deeper looking for the counter-intuitive delivery combinations to squeeze out more efficiency and great customer service. For example, a retailer has a customer who orders a large item for delivery next Wednesday, but the same customer buys smaller items this weekend. The traditional multi-modal approach would have two deliveries, one on the “white glove” service and the other through a small package carrier. “Why not merge the 2 together and eliminate the parcel delivery cost?” That’s the approach omni-modal distribution takes.

Execution, execution, execution. The push for next and same day delivery will drive many markets in 2014. This pressure will dictate that supply chains be much more streamlined and responsive. Hence the focus will be on execution-based processes and technologies that reduce supply chain cycle times. The real innovators in 2014 will drag their supply chain partners into this exercise as much of the critical path for increased supply chain speed and responsiveness is related to partner performance and integration. That brings me to the next point.

Supply chain injection. In the quest for greater speed and responsiveness, tiers in the supply chain will be skipped in 2014. The challenge for many distribution-intensive companies is that their supply chains were optimized for lower cost and not necessarily responsiveness. Leading supply chain operators will fully engage their supply chain partners, evaluate more dynamic transportation strategies, information sharing and labeling that makes suppliers REALLY look as if they are a natural part of the supply chain, not a “bolt on”. LSPs offering related services will have to up their integration competency with their shippers in 2014 to meet this challenge.

Fleet is back. After years of eliminating them, shippers will turn to fleets (private or dedicated) in 2014 to improve their customer service performance and as a hedge against the increasing commercial driver shortage. Supply chain innovators will take this a step further, focusing on driver training and delivery service competency. Don’t be surprised to see these innovators pay their drivers MORE and use routing and mobile technology to get the level of service and competency that they need to compete. Similarly, leading specialist carriers will adopt many of the same tactics to improve their service levels and productivity in an effort to differentiate.

Android apps with smart real-time back-end systems. Sorry promoters of iOS and Microsoft, the debate is over. While 2013 was a tipping point for the use of consumer grade devices, 2014 will see many more commercial grade solutions appear. Consumer devices proved that as an operating system, Android could handle logistics problems, but not necessarily provide the reliability and battery life. Android device pricing will continue to decline, spurring greater adoption. While mobile devices will be more prevalent, there will also be an increase in sophisticated “back end” applications that create real-time closed loop control systems for mobile workers. Same-day delivery will be a great example of where there will be an explosion of smart applications to maximize driver productivity and customer service.

Data Security. The increasing adoption of cloud-based solutions, the NSA surveillance and now Target’s highly publicized breach will accelerate the focus on securing the supply chain data in 2104. Data is the life blood of modern supply chains and ensuring that it cannot be compromised is critical business operations. However, data security will be a balancing act for enterprises as they continue the trend to integrate supply chain partners. The knee-jerk reaction will be to severely restrict access, but leading supply chains operators and related cloud solution providers will focus on technologies that drive deeper levels of security (e.g. encryption), but still facilitate collaboration.

The trend in supply chain for reinvention and reassessment of traditional practices accelerates in 2014. Not since the late 1990s has supply chain performance as a competitive weapon been addressed at the board level in so many companies.

California Delivery Association Spring 2014 page 7 Association History As recalled by Dan Bender

I wrote this original article quite a few years ago around 2006, and it has remained un-edited since then. It may be useful to the many new members, as well as the longer term membership. Knowing your roots, and where you came from, can help guide you to where you should be going. Since the original article, Mike Barbata passed the President’s baton to Donna Springer, who passed it on to Andrew Brady, and then to Rick Chase, and now to our current President, JR Dicker.

These leaders have provided a lot of hard work and dedication to the association.

There were several early players that probably retain some memories, or details important to the founding of the association, but because I’m a sucker, I was asked to write an article about some of the association early history before it gets lost. I know some of it is already lost from my brain cells having given way to the ravages of…just being in this business! So before it all goes, here it is.

In the early times, a group of Southern California courier and messenger types got together to see if they could work on some common ground without any shots being fired. While I never saw any guns displayed, there were plenty of holsters, but usually containing those giant sized two way radios that you hoped were still functional and that their private radio towers were not down. Also, we can’t forget the big pagers that only meant “call the office”. It certainly was a different world for business equipment and methods during this period. Remember, there were no cell phones, internet, few PC’s (remember Commodore), and fax machines were just starting to show up.

Me, being from an Orange County routed courier, and the first “outsider” with the LA boys, was quite interested in this group of characters. Some of these were Irwin Winston, Steve Hamile, Mike Dinardo, Jeff & Caryl Millen (the only female), Harvey, Bob Ruben, Jeff Rhodes, Jack Nissim, Jack Averill, Chet & Harry Bohrer, John Hussey, Jay Krupp, and others that escape me. The Association of Messenger & Courier Services was born from these people taking the time and effort to do it.

The first meetings were held in a locker room at the Culver City Veterans Park building. It was a fitting location for this type of assemblage to see just who was who, while hoping they would not try to steal your accounts, dispatchers, or drivers, and of course it was handy in case any fights might break out. The food and beverage service consisted of several cases of beer, cold cuts, chips, etc, usually retrieved at the last minute from a local convenience store.

Simple business did get done with an “official” board of directors and officers. Some of the issues for this group were soaring work comp costs (the IC folks didn’t care), companies without PUC permits, and LA mayor Tom Bradley doing away with parking on downtown streets. The group did succeed in meeting with Tom and his staff to formulate some methods for certain “free time” and space at various parking lots and garages.

The first two presidents were Steve Miley and Mike Dinardo; they did a great job in getting this fledgling organization off the ground and focused on group issues. Bob Ruben became the next leader. During Bob’s watch it became apparent that companies in the San Francisco bay area were interested in becoming members. The Southern group wanted to be sure that its interests and funds would still be in the forefront, while the Northern group wanted to start getting involved. Christine Buteyn assisted as the first official Executive Director. Both the South and the North knew that a “California” association would be better able to tackle industry issues. Calls and meetings were held to see how all interests could be accommodated, and ways were worked out for success. Joel Ritch, Lenny Farin, Ernie Holbrook, and Bart Cavallaro were some who were instrumental in starting what became the Northern Chapter.

Joe Kent became the first association president from the north. The next two presidents Lenny Farin and Mike Hubert, also came from northern companies. I served a stint as Executive Director before turning it over to Ron Broberg during Mike’s term.

IRS audits for driver reimbursement methods (Accountable Plan) were the big issue for a couple years, along with the constant tug of wars with Comp and Non Owned & Hired insurance carriers. Some of the bay area airports and cities were trying to create “special” additional taxes, fees, stickers and such to get more revenue from delivery companies. The association was successful in blocking most of these efforts. Your CA permit and tax is still valuable in blocking city business license fees and excise taxes.

Caryl Millen became the first female president of the association. During Caryls’ term many of the earlier issues were still to be dealt with, as well as increased union activity. Also, while AMCS scored a victory with Rule 44, Work Comp rates were becoming the highest ever, and many companies were beginning to adapt to using independent contract drivers.

California Delivery Association Spring 2014 page 8

John Slaughter had the next watch as president. During his term, Third Party Administrators (TPAs) became more active since many businesses were choosing the IC route for their business plan. It was also decided that since more operators had branched into other lines of deliveries, the original Association of Messenger & Courier Services name no longer represented the breadth of our member’s activities. AMCS then became the CDA, California Delivery Association.

Our current president, and retiring president is Mike Barbata. What can I say about Mike and the issues that you don’t already know about. If you are not aware of his efforts, those of the board of directors, and Ron Broberg, then you must be in some other association or business. Mike has done an extraordinary job of dealing with complex issues, while moving your association along, and com- municating with the members. Thank you Mike Barbata for devoting your time and effort!!!

Many of the association members have been through earthquakes, devastating fires, riots and such, all while helping support each other to make it. In closing, I just want to say associations are formed for groups to be able to communicate and advance important issues. There always was, and always will be, outside influences determined to affect the way you do business. Only as a determined group can you confront these onslaughts. Pay attention to issues, meet your fellow members, and contribute to your association. Keep and support the spirit of your association and each other.

This is the back of the folded mailing page showing officers and other board members from the 1995 edition.

California Delivery Association Spring 2014 page 9 NLRB Reissues “Ambush” Elections Rule

The National Labor Relations Board (NLRB) on Feb. 5 issued a Notice of Proposed Rulemaking (NPRM) to revise procedures for the election of unions at work sites. Identified by the business community as the “ambush election rule,” the proposed rules would significantly alter procedures for union election, effectively shortening the time between when a union petitions for a workplace election and when the board actually conducts the election.

AAIA, and others, through their membership in the Coalition for a Democratic Workplace (CDW), pursued legal challenges to a similar rulemaking in 2011 and, while the courts were siding with business, the case also became entangled in the recess appointments lawsuits. In the summer of 2013, the Senate ultimately confirmed five NLRB board members, which cleared the way for the NLRB to officially withdraw the rule and start over. According to the NLRB’s recent press release, the new proposal is identical to the original rules approved by the board in 2011.

The CDW continues the question the need for this rulemaking when the NLRB’s own data shows that:

The median number of days between petition and election is 38 days; 94.3 percent of elections occurring within 56 days; and Unions won 64 percent of elections held (852 of 1330).

Accordingly, the CDW will be submitting comments and investigating other approaches. (Editors note - The CDA supports the CDW efforts)

Up in arms over union ‘persuader’ rule by Kevin Bogardus and Ben Goad, The Hill blog

Business groups are fighting to stop an Obama administration regulation that would force companies to disclose when they employ legal consultants behind the scenes during union organizing campaigns. The groups are up in arms about a forthcoming “persuader” rule from the Labor Department that they say could have a chilling effect on the legal world and scare firms away from representing them.

“You could have a drastically reduced pool of labor attorneys who provide these services. When you have fewer folks offering these services, it’s going to be more difficult to obtain, and small businesses will lose out,” said Sean Thurman, director of legislative affairs at the Associated Builders & Contractors. “I think the unions’ end goal here is to take the employer out of the process.”

Under current rules, employers are only required to disclose the hiring of outside firms on union elections when the consultants make direct contact with employees. But that would change under a new Labor Department regulation due out as early as next month. First proposed in June 2011, the revised regulation would require employers to disclose any work by consultants on union election strategy.

Labor advocates allege that the consultants train supervisors how to push back on union organizers, and say firms in the “union avoidance” industry should be exposed to public scrutiny. “It’s a sensible proposal to close a union-busting loophole that companies have been able to hide behind,” said Josh Goldstein, an AFL-CIO spokesman.

Business groups see the rule as another example of the Obama administration tipping the scales toward unions. The National Labor Relations Board (NLRB) has just reissued a rule that would speed up union elections, which industry groups call an “ambush” election order. The enactment of that rule, coupled with more disclosure of consulting contracts, has business lobbyists fearing the worst.

California Delivery Association Spring 2014 page 10 “When the first ambush reg came out, it came out at the same time that the persuader reg came out. The reason is the two work together to stop an employer to make its case during an union organizing campaign,” said Randy Johnson, the Chamber of Com- merce’s senior vice president for labor, immigration and employee benefits.

Union supporters say anti-organizing efforts, including ones at nonprofit groups and government contractors that might use taxpayer funds, have gone unreported. They say the public should know if companies and groups are using funds to stop an organizing drive. “You are an employer, you hire a consultant, you can spend $3 million on a campaign where the consultant is just talking to you and laying out strategies on what need you do to stop union organizing,” said Erin Johansson, research director for Jobs With Justice, a workers rights advocacy group. “They are plotting out a whole campaign and, as long as they are not talking to any of the employees, the employer doesn’t have to disclose any of it.”

Business groups also warn the proposal’s new reporting requirements would be burdensome. The Labor Department estimates that the rule would cost filers more than $825,000 in compliance costs, but the Chamber rejects the assessment, saying the rule’s first-year cost burden on the economy would be at least $910.1 million.

Consequently, many groups are already considering going to the courts to stop the Labor Department. “If it moves forward as it was originally proposed, we are definitely considering legal action,” said Thurman of the Associated Builders & Contractors. Johnson said the Chamber had already retained counsel in preparation for a lawsuit, “but we have to see in what’s in the final rule before making a final decision.”

The Associated Builders & Contractors lobbied lawmakers to include a rider in the omnibus spending bill that would have prevented the Labor Department from implementing the persuader rule but to no avail. Thurman said the group would request a meeting with the Office of Information and Regulatory Affairs to discuss the proposal once it comes under White House review.

The Labor Department said in late November it was on track to complete work on the regulation by next month. When the agency first proposed narrowing the statute’s exemption for consultants giving advice to employers, it argued increased disclosure is needed to protect worker rights. “The current interpretation of ‘advice’ has resulted in significant underreporting of employer and consultant persuader agreements,” the department said at the time. “Better disclosure is critical to helping workers make informed decisions about their right to organize and bargain collectively.”

Under the draft rule, reportable activities would be expanded to I nclude communications between employers and third-party consultants or lawyers that “directly or indirectly” involve worker persuasion, “regardless of whether or not the consultant has direct contact with workers.” As proposed, the regulations would reverse “over 50 years of consistent interpretation” of the Labor-Management Reporting and Disclosure Act, said Michael Lotito, an employment and labor attorney and co-chairman of Littler Mendelson’s Workplace Policy Institute.

Lotito, who represents businesses, said the regulations conflict with lawyer-client privileges.The American Bar Association, in a comment filed in September 2011, also raised “serious concerns” about the proposal. The lawyer group said the rule would have attorneys “report sensitive and confidential client information that has not previously been subject to disclosure.”

Lotito said the rule could present attorneys with a choice between reporting details about their communications with employers, which could draw reprisal from their applicable bar associations, or declining to comply and risking civil or criminal penalties. “The lawyer is between a rock and a hard place,” Lotito said. He said many lawyers might choose to drop that aspect of their business for fear of reprisal and argued unions only want the information to use “as part of a narrative to attack the organization.”

Johansson disagreed, saying the proposal “doesn’t prevent them [employers] from doing anything.” “This is just reporting. … I don’t think employers are going to stop hiring law firms to stop union organizing. They will just have to report those relationships.”

California Delivery Association Spring 2014 page 11 Couriers Expand Services To Challenge Larger Rivals by Mindy Long, Mindy Long Freelance LLC Used with permission of Transport Topics Publishing Group, Copyright ©2013 American Trucking Associations, Inc

Traditional couriers are reinventing themselves by targeting new industries, adding specialized services and providing logistics solutions that take their offerings far beyond traditional parcel and paper deliveries, company executives said. This expansion into niche markets helps keep them viable among increased competition and in an increasingly paperless society.

“The perception of the courier is that we’re all running envelopes around on bikes in New York City, and that isn’t the case,” said Monte O’Hara, CEO of Capital Express Inc., with headquarters in Omaha, Neb.

Capital Express serves the office supply industry but also cleans shipping containers for medical companies and has invested in and runs warehousing operations in Kansas City, Mo., and Omaha.

“We sort [inventory] and then deliver to the end user, and, in some cases, we actually deliver to the retailers’ stores,” O’Hara said. “We take the products that are going to their stores, sort [them], build the skids and deliver the store product.”

This sort of expansion is increasingly common in the industry, said Rob Johnstone, president of the Customized Logistics and Delivery Association and co-founder and partner of Priority Express Courier, which is based in Boothwyn, Pa.

“Today, if you want to stay in business, you’ve shifted gears into logistics and supply chain,” he said. Earlier this year, the Messenger Courier Association of America changed its name to the Customized Logistics and Delivery Association to better reflect what its members are doing, Johnstone said. “When our association was formed, the members were doing a lot of deliveries of paper and legal documents,” he explained.

But customers now expect much more, said John Benko, CEO of Manko Delivery Systems in St. Petersburg, Fla.

“Customers are more savvy, competition is more fierce and everybody’s expectations are higher. You have to be able to be nimble,” Benko said.

Five years ago, he said, delivering passengers’ luggage to airlines equated to $2.2 million in revenue. Now it is only $30,000 to $40,000 of his business.

Benko said he has become a “wannabe 3PL.” Third-party logistics companies, called 3PLs, provide warehousing, transportation and supply chain management for their customers.

Manko provides warehousing solutions and order fulfillment, Benko said. “We may have a customer with product coming in from four different locations. We will take that and aggregate that into one box for the final delivery,” he said.

He added that Manko also does home deliveries called white-glove threshold, where drivers transport items such as cabinets, refrigerators and televisions. The company also makes ground freight and airfreight deliveries.

California Delivery Association Spring 2014 page 12 Jerry Finn, executive vice president of operations for City Express, said warehousing and logistics for the electronics industry are among the fastest- growing areas for the Boston-based business.

“There has been a proliferation of computers, and they don’t last as long as they used to,” he said. “There are more technicians fixing them, and the technicians fixing them need parts.”

LaserShip, in Vienna, Va., has East Coast sorting facilities in Orlando, Fla., Atlanta and Philadelphia. To better accommodate the growth in e-commerce, LaserShip recently moved one of its sorting facilities to Orlando from Tampa, Fla., to better serve a larger population of Florida and southern Georgia in less time. LaserShip utilizes about 2,500 independent couriers for its deliveries.

Jeb Emami, marketing manager for LaserShip, said the company’s e-commerce business is on the rise, and LaserShip is working to educate e-retailers on the advantages of utilizing a regional carrier.

“One of the benefits to using a regional carrier is the flexibility we offer that the national carriers may not be able to match,” Emami said, noting a willingness to provide add-on services.

Johnstone cited medical and pharmaceutical deliveries as another area where members are finding new business. “Health care has exploded in this country. The growth has been in all forms,” he said.

To secure new business, QCS Logistics, located in New Orleans, started serving the medical industry. Specimen pickups and deliveries now make up about 65% of the business — a drastic change from 1984, when the company was founded and focused on moving paper, said Jason Burns, vice president of business development. Today, the company also offers expedited delivery and warehousing solutions in southeastern Louisiana and the Gulf Coast.

No matter which industries couriers serve, technology is becoming increasingly important, delivery companies said.

“Technology has become a player in the negotiations with different clients,” City Express’ Finn said. Bar code and location scanning, instant proof of delivery and signature capture are important to customers, he explained.

Burns said he saw an opportunity to bring more value to the medical sector by providing visibility into the supply chain. “We brought in technology solutions to give them full visibility to track the custody and the temperature range of blood and urine sam- ples,” he said, adding that they use a bar code and scanning system to track deliveries.

“We also invested in monitors we place in courier totes that look like a lunchbox,” Burns said. “You set a temperature range, and if the tote ever gets out of that range, it alerts the driver and starts beeping.”

That extra technology and the nature of medical deliveries require additional training, which QCS provides to its drivers. “Our process to get a medical driver onboard takes a week, compared to half a day for a nonmedical certified driver,” Burns said. Benko said he expects delivery companies to continue to add to their offerings as the economy changes.

“We’ve determined we don’t want to be everything to everybody, but we want to have a host of menu options,” he said, adding that the company forms strategic partnerships with companies that have offerings he doesn’t. “Guys like us are much more willing and able to tailor our services to our customers’ needs, so we’ll continue to bring new value to market.”

Mindy Long, - Mindy Long Freelance LLC, http://mindylong.com/

California Delivery Association Spring 2014 page 13 California Delivery Association Spring 2014 page 14 California Delivery Association Spring 2014 page 15 California Delivery Association Spring 2014 page 16 This information has been furnished by our good friends - The California Chamber of Commerce, and is used with permission.

California Delivery Association Spring 2014 page 17 FedEx partners with Cardinal Health

FedEx Corp. (NYSE: FDX) announced today a new partnership with Ohio-based Cardinal Health Inc. that gives Cardinal and its customers the opportunity to deliver products more efficiently via FedEx’s global transportation and logistics network. Cardinal Health (NYSE: CAH) is one of the healthcare industry’s largest suppliers of medical products and pharmaceuticals, with more than 40 warehouses and distribution facilities across the U.S.

The deal will give FedEx more opportunities to expand its healthcare business with hospitals, clinics and home health care delivery via Cardinal’s network of warehouses — many located near hospitals, business centers and other strategic locations.

“FedEx and Cardinal Health are collaborating to stay in front of our customers’ needs and exceed their expectations,” Carl Asmus, vice president, Supply Chain Solutions & Market Development, FedEx Services, said in a release. “Through this collaboration, customers will have access to deploy their inventory at over 40 distribution points across the country, access to two proven networks that reach every U.S. ZIP code, and end-to-end inventory and transportation visibility.”

Memphis-based FedEx and Cardinal Health have been working together on third-party logistic solutions for years. The alliance represents a new phase of the relationship that has been more than a decade in the making.

“The healthcare market is undergoing unprecedented changes, demanding more from an organization’s supply chain,” said Rob Doone, vice president of Integrated Logistics Services at Cardinal Health. “The combination of our healthcare expertise and 3PL capabilities with the global transportation, information systems and logistics capabilities of FedEx will bring new possibilities for healthcare manufacturers, care providers and patients.”

FedEx Express to Test Electric Cargo Truck in D.C. The electric van test program that Nissan and FedEx announced today at the Washington Auto Show isn't really all that new. After all, FedEx is already testing the all-electric e-NV200 in Singapore, Japan and Germany. The news today is that FedEx will be one of the first companies to test the EV in the US, and Nissan brought a prototype to the show to gin up interest.

The e-NV200 uses a powertrain similar to what's in the Nissan Leaf and weighs about the same as that passenger car, but Nissan isn't talking about US performance figures quite yet. Nissan isn't even saying if the vehicle will even come to the US, but this test program sure hints that something like that is in the works. For now, all that's official is that Nissan will bring two - yes, just two - e-NV200 units to the US, letting FedEx test one in the Washington, DC area for between six to eight weeks before cycling the EVs to other companies in the US over the next year. The idea, as you may have guessed, it to gather data on how companies might use this van and let Nissan figure out if it wants to sell the e-NE200 here. The van will start being built in Barcelona, Spain this spring and is currently intended for Europe and Japan. FedEx is no stranger to greener vehicles, and has 167 EVs in its US fleet right now. Read more in the press release below.

The e-NV200 can use CHAdeMO fast charging, and Nissan said today that it has helped install 570 of those DC fast chargers in the US since announcing expansion plans last year. At the time, the target was 500 chargers in 18 months, so things are progressing faster than publicly anticipated. In fact, 200 CHAdeMO stations were added in December, a monthly record.

California Delivery Association Spring 2014 page 18 “Founded in 1907 as a messenger company in the United States”

UPS has grown into a multi-billion-dollar corporation by clearly focusing on the goal of enabling commerce around the globe. Today, UPS is a global company with one of the most recognized and admired brands in the world. We have become the world's largest package delivery company and a leading global provider of specialized transportation and logistics services. Every day, we manage the flow of goods, funds, and information in more than 200 countries and territories worldwide.

UPS Releases 4Q Results - January 30, 2014

Global Deliveries in December Climb 20% Higher U.S. Costs Driven by Surge in Shipments and Inclement Weather

E-commerce Pushes Quarterly Volume up 6.0% Worldwide International Export Volume Up 9.5% per Day on Strong Europe Growth

$500 Million of Increased Investments in Capacity Expansion Announces Full-Year 2014 EPS Guidance of $5.05 to $5.30

Average daily package volume increased 6.0%, as total deliveries in December surged 20%. Significantly higher than predicted volume and inclement weather contributed to excess operating costs in the U.S., negatively affecting results.

"As the retail market shifts to a direct-to-consumer model, more and more companies are leveraging UPS solutions," said Scott Davis, UPS chairman and CEO. "As a result, we experienced an unprecedented increase in volume, exceeding even our most optimistic plans.

"The increased volume put a strain on our network, causing delays. In response, UPS deployed additional people and equipment, placing a greater emphasis on service than cost," Davis explained. "UPS will make the necessary investments and operational improvements to ensure we meet the needs of the marketplace."

UPS delivered 20 million packages per day during the fourth quarter. Total shipments in 2013 increased to 4.3 billion, a 3.9% improvement over 2012.

During the holiday period, global daily deliveries exceeded expectations by surpassing 29 million packages on five days, with peak volume exceeding 31 million on December 23. Also during this period, UPS experienced 10 days with delivery volume that exceeded the company's previous high. 2014 Rate Change Information UPS - Effective December 30, 2013, the published rates for our services will increase. Package UPS Ground Services and accessorial rates will increase an average net 4.9%. UPS Air and International Services and accessorial rates will increase an average net 4.9%. Air Freight UPS Next Day Air® Freight, UPS 2nd Day Air® Freight and UPS 3 Day Freight® rates for shipments within and between the United States, Canada and Puerto Rico will increase an average 4.9% as well as the U.S. origin UPS Express® Freight rates. In addition, select accessorial fees will increase. 2014 FedEx Shipping Rate Changes* The rate changes below reflect available information as of Jan. 6, 2014. FedEx Express Standard List Rates Effective Jan. 6, 2014 FedEx Express package and freight rates increased an average of 3.9% for U.S., U.S. export and U.S. import services. Effective Jan. 17, 2014 FedEx SameDay® City rates and fees increased. FedEx Ground Rates Effective Jan. 6, 2014 FedEx Ground and FedEx Home Delivery® rates increased an average of 4.9%.

California Delivery Association Spring 2014 page 19 Halifax Partners with Management to Recapitalize Golden State Overnight

Leading private equity firm The Halifax Group ("Halifax") announced today that it partnered with senior management to recapitalize Golden State Overnight (“GSO”). GSO is a leading regional provider of overnight delivery services to every address in California and metropolitan regions of Nevada and Arizona. Halifax and management provided the equity financing for the transaction. BellMark Partners advised GSO through the process. Additional terms were not disclosed.

Founded in 1995, GSO delivers approximately 50,000 packages daily in California, Arizona and Nevada via its 31 operating facilities. GSO customers enjoy a superior level of customer service, including later pickup times, earlier deliveries, dedicated service representatives, and proactive package tracking, all at market leading prices.

“We have enjoyed significant expansion throughout our nearly 20 years in business, which is the result of the hard work and dedication of our 1,600 employees,” commented GSO’s co-founder and President, Dana Hyatt. “We are excited about our new partnership with Halifax. Their team shares our passion for customer service and operational excellence as well as our vision for the future.”

Co-founder Morley Chandler added, “We are proud to have built such a successful enterprise in partnership with our many employees and with the support of our loyal customer base. Halifax’s track record of working with entrepreneurial businesses to invest in growth and expansion made them the perfect partner for our next phase.”

“GSO has built a leading overnight delivery enterprise in California and throughout the Western U.S.,” noted Brent Williams, Managing Director at Halifax. “We look forward to assisting GSO’s stellar management team and employees as they develop new growth opportunities in the fast- growing regional logistics industry.”

Incoming chairman of the board and Halifax executive advisory board member, Doug Witt, added, “I am thrilled to be able to work with such an experienced management team. The founders of this business have an impeccable track record of success, and we are fortunate to call them partners.” TransForce Announces Acquisition of Total Delivery Systems

TransForce Inc, a North American leader in the transportation and logistics industry, today announced that, through its subsidiary Dynamex Canada Limited, it has acquired all the shares of Total Delivery Systems ("TDS").

Headquartered in Victoria, British Columbia, TDS operates a network of 18 locations across British Columbia. TDS provides a wide range of courier and distribution services, such as local messenger, time sensitive delivery, overnight service, storage, logistics, LTL and just-in-time package delivery. The acquisition is expected to generate annual revenue of approximately $20 million.

"This acquisition significantly expands Dynamex Canada's geographic footprint, service offering and density across British Columbia. We are pleased to work with TDS's senior management to further develop the business opportunities that will arise from this transaction," said Alain Bédard, Chairman, President and Chief Executive Officer of TransForce.

Priority Express Courier, Acquired

Bolder Capital LLC announced that it has completed the acquisition of Priority Express Courier, Inc. Priority is a provider of customer-centric express delivery and logistics solutions to the healthcare and pharmaceutical markets in the Northeastern U.S. Priority was founded in 1994 by Rob Johnstone and Gerry Frey to provide businesses in Philadelphia, the Delaware Valley and beyond with a complete range of same-day delivery solutions. Rob serves as the CLDA (formerly MCAA) President.

“We are thrilled to partner with Bolder and its team,” said Rob Johnstone, CEO of Priority. “Over the last 20 years, we have worked very hard to establish our leadership position and know that with Bolder, we will have the expertise and resources to take our business to the next level. Of all the investors we looked at, it was clear that Bolder was unique in its commitment to working with partners to create value and build enduring companies.”

Priority is the first acquisition made into a new strategic investment platform which is targeting a regional build-out in the express delivery and logistics market. The strategy is led by Operating Partner and Chairman, Bruce Parker, who has spent his career in senior management roles at leading transportation and logistics companies. Mr. Parker has previously served as an officer of Ryder System, Inc. and United Airlines, Vice President of American Airlines and Sabre Computer Systems, and Chairman and CEO of AirNet Systems, Inc.

Mr. Parker commented “We are very pleased to be acquiring and investing in a high quality company like Priority Express. The Priority team is an excellent group of professionals that I look forward to working alongside to increase the Company’s capabilities and geographic reach as we continue to deliver outstanding customer service. We are committed to bringing together best of breed companies, people and technologies to deliver customized express delivery and logistics solutions to our growing customer base."

California Delivery Association Spring 2014 page 20 Do You Have a Family Business Succession Plan? by Aditi Mukherji, JD

A solid succession plan is essential to the longevity of a family business.

Though family businesses account for a staggering 50 percent of the gross domestic product of the United States, only 52 percent of family business owners have faith in younger relatives' ability to sustain the business for generations to come, according to a PwC survey reported by Forbes.

To assuage such concerns, here are five tips on how to form a family business succession plan:

Discuss the succession with the family. It's not uncommon for business owners to make bold business decisions without consulting anyone. But to get your family members on the same page, develop a collective vision and establish shared goals and objectives for the business.

Recognize blood isn't always thicker than water. Continued family involvement in the leadership and ownership of the company doesn't mean you need to shy away from professional management. As Forbes suggests, identify and retain a team of professional advisors.

Establish the succession plan's involved parties. Identify successors -- both managers and owners -- and decide who will run the day-to-day operations. Have a clear idea of the active and non-active roles of family members.

Plan for an ownership transfer. There are many different options for transferring your ownership interest to the next generation. Talk to your attorney and your accountant about the best way to transfer your business to limit gift and estate taxes. Be sure to address these issues in the event of death or divorce, too.

Balance the needs of the aging and the youthful. Address the retirement needs of family owners, but don't brush off the goals of next-generation management. To avoid future decision-making disputes, put meeting minutes in writing and share these documents with everyone.

To explore family business succession strategies that meet your specific needs, consulting a small business attorney may be a good place to start.

www.cadelivery.org

California Delivery Association Spring 2014 page 21 BITS & Pieces

Postal Service Ends Same Day Delivery Experiment The CPUC determined that companies such as Lyft, SideCar, and UberX are charter party passenger carriers subject to The U.S. Postal Service will end a same-day delivery experi- CPUC jurisdiction. ment in San Francisco on March 1 after it could not find enough retailers to participate, Bloomberg News reported. The CPUC created the category of Transportation Network Company (TNC) to apply to companies that provide The program only generated $760 in revenue and delivered 95 prearranged transportation services for compensation using an packages. The goal was 200 packages a day, the Postal Service online-enabled application (app) or platform to connect said in a report. passengers with drivers using their personal vehicles.

According to the report, the agency did not implement the The CPUC established 28 rules and regulations for TNCs. The program properly and failed to induce large retailers to take rules include the requirements that TNCs must: part. Obtain a license from the CPUC to operate in California; “The Postal Service was left with small local retailers that Require each driver to undergo a criminal background check; could not produce the target daily package volume,” the report Establish a driver training program; said. Implement a zero-tolerance policy on drugs and alcohol; Hold a commercial liability insurance policy that is more The plan was for customers to order products online by 2 p.m. stringent than the CPUC’s current requirement for limou and then have it delivered before 8 p.m. sines, requiring a minimum of $1 million per-incident cover age for incidents involving TNC vehicles and drivers in tran LA Payroll Company Goes Bust sit to or during a TNC trip, regardless of whether personal insurance allows for coverage; and, LA Payroll has closed its Wilshire Boulevard office, leaving Conduct a 19-point car inspection. stunned and angry clients in the lurch and highlighting the question of who, if anyone, investigates when such businesses “Where Is My Package?” announces merger with are accused of wrongdoing. Cheetah Software Systems -Los Angeles, Ca, January 2, 2014

All had entrusted LA Payroll, a privately held company with a "Where Is My Package?" (WIMP) a real-time logistics single office, to deal with financial necessities that can be a solutions provider today announced a merger agreement with perennial headache: Issuing paychecks and W2 forms. Han- Cheetah Software Systems, Inc (CSS). The combined technol- dling employment-tax payments. ogy platform will provide the courier industry with a state of the art, predictive, complete logistics solution. "Where Is My Lyuba Kovzhun, a former payroll manager who previously had Package?" offers Order Entry to General Ledger capabilities in dealt with the impound accounts, estimated total losses at $4 tandem with years of industry experience for delivery, less-than million. -truckload (LTL), courier and private fleet operations. Cheetah Software Systems; Logistics Operations Optimization Platform Payroll services companies are not subject to rigorous (LOOP) provides dynamic real-time optimization and dispatch. "The combination of Cheetah Software Systems with our front- regulation by state or federal bodies that oversee banks and end office system will provide our clients with an increase in other financial institutions. Nor do most states, including efficiency with route planners, dispatchers, drivers, and California, require them to be bonded. If the tax money they customer service reps. Automating your business driving a collect disappears, it is the business owners who are on the significant Return on Investment" said B. Keith Schewanick, hook for the amounts owed, plus interest and penalties. President of "Where Is My Package?" "This partnership is also expected to result in greater operational efficiencies and Editor’s note- Be careful when outsourcing all payroll significantly increase our courier customer base", added Jill functions. As noted above you and/or your company will still Laugenour. be on the hook for missed tax payments. A merger was formed with "Where Is My Package?" to expand “Transportation Network Company” Cheetah Software Systems reach in the courier vertical by giving Cheetah Software Systems greater accessibility to com- The California Public Utilities Commission (CPUC) today panies seeking a complete solution. took action to ensure that public safety is not compromised by the operation of transportation services that use an online- The merger of “Where Is My Package?" and Cheetah Software enabled platform to connect passengers with drivers who use Systems will operate under the name of 'CheetahNOW'. We their personal, non-commercial vehicles. feel strongly that joining forces with CSS will deliver a cutting edge technology solution to the courier market.

California Delivery Association Spring 2014 page 22 10 Top Ways You Can Demonstrate Love For Your Customers by Claudia Post, Claudia Post Advisors

Listen to them better with the right tools

Today you have tools that let you know more about customers than ever. Know what they have shared with the world on Twitter, Facebook, LinkedIn and other networks. I like tools such as Hootsuite, Rapportive and particularly Klout to monitor what others are doing.

Use Nimble to stay in touch and be organized

Nimble is a tool to manage relationships across a variety of channels, including social media, email and more. You can't establish, build and maintain relationships with thousands from memory alone! Nimble is an example of a tool that helps you stay on top of commitments and make a difference.

Remember important dates and events

Program those important dates into your relationship management package so you can send something to celebrate.

Send a handwritten note

In an age of so much email, social media, texting and other electronics, sometimes a personalized handwritten note makes all the difference in the world.

Give them social media juice!

Find out what important people are doing on platforms like Twitter, Facebook, LinkedIn and others. Then be sure to tell the world about the good they are doing. Remember this is social media, not spam media or selling media. Connect with people on a warm, genuine, human basis and you will reap rich benefits.

Make important introductions

One of the best, and most useful, contributions you can make to someone is to introduce them to one of your contacts so that both parties can benefit. This requires thinking about making a powerful introduction that could potentially benefit both parties.

Send an Eyejot video

This is a fabulous free tool that I consider one of the best marketing and productivity enhancers I've ever seen. Send a video email to people and they will know it is you, not a form letter. It is a very personal way to stay in touch and enhance the relationship.

Make 'em say “WOW!”

I am known for encouraging people to make their customers say “WOW!” Let your competition do the minimum that is expected. Find ways that you can extend benefits to important people and make them say “WOW!”

Stand out from your competitors

http://claudiapostadvisors.com/ 215-298-1555 Engage your market, connect with your customers and grow your business with Claudia Post Advisors

California Delivery Association Spring 2014 page 23 5 Types of Employees You May Want to Fire by Brett Snider, Esq The Findlaw Small Business Blog

Troublesome employees can be a pain in an employer's side and a real impediment to business prospects, so firing them can be a real boon. While you may hope to weed out potential troublemakers during the interview process, it may take some time for a worker to reveal his true colors. By then, giving him the pink slip may be the best solution.

Here are five kinds of employees that you may want to consider firing:

1. Troublemakers.

Loose cannons and renegades are great for cop movies, but not so much for employers. A management consultant writing for Inc. recommends that when employees "create more problems than they're worth," it may be time to give them the ol' heave-ho. Insubordinate behavior can take many forms, however, so you may want to think twice before firing someone for being a Good Samaritan.

2. Incompetent or Unwilling.

You can diligently try to spot trouble cases by looking for red flags in an applicant's resume, but every now and then you'll have an employee that just can't or won't do the job for which he or she has been hired. If you've given that employee the proper tools and training, don't keep giving him or her a pass. Eventually, something has to give.

3. Liars and Frauds.

Especially if the job position that an employee fills is one that required certain education levels or certifications, lying or padding qualifications is a great reason to fire an employee. For example, if the employee told you that he or she was proficient in Microsoft Excel, yet is unable to cobble together a decent spreadsheet, it may be time to re-evaluate.

4. Absentees and Flakes.

Although employees may be entitled to vacation and sick time depending on your time-off policies, frequent absenteeism is certainly grounds for canning an employee who's never there. Assuming the lack of focus or presence isn't because of FMLA leave or similar state medical leave, consider cutting those invisible employees loose.

5. Entitled or Litigious.

You should by all means give your employees the benefits and protections of federal and state laws, and you should not retaliate against an employee for exercising his or her legal rights. However, if you suspect that an employee is more interested in gathering grounds for a lawsuit than doing his or her work, it may be time to pay a visit to HR.

If any of these firing scenarios give you heartburn, consider consulting an experienced employment attorney before you make any decisions.

www.cadelivery.org

California Delivery Association Spring 2014 page 24 Taming the Print Zombie: How to Use a Once “Dead” Medium to Market Your Business by Pamela Wilson

Twenty years ago it was one of the most important means we had to market our businesses. Its death has been announced more than once in the past ten years. And today, using it can be a radical move that helps your business stand out from the crowd. I am speaking, of course, about printed marketing materials.

The postcards, brochures, flyers, and newsletters that papered our world just a couple of decades ago have all but disappeared now. And that’s ex- actly why it might be time to reconsider them. Because while all your competitors are reaching out and touching their prospects’ inboxes, what would happen if you arrived in their mailboxes? If this sounds intriguing, read on for money-saving ideas and tips so you can explore the possibilities of print collateral to market your business. Ideas for Print Materials

Stationery

Well-designed letterhead, envelopes, and business cards make your company look polished and professional. You’ll be motivated to send out estimates, proposals and follow up letters when you know they’ll reflect favorably on your business.

Postcards

Postcards are inexpensive to print, and less expensive to mail than an envelope. Think about them as an opportunity to send content marketing to your prospects and customers: checklists, buying guides, how-tos, etc. They’re also the perfect place to make a special offer, which you can send them to your website to pick up (more on that later). Consider using oversized postcards to stand out in people’s mailboxes, and be sure to explore variable printing, which allows you to personalize and customize elements of the piece depending on who you’re sending it to.

Presentation folders

A beautifully-designed pocket folder has a multitude of uses. You can rely on it to help your business stand out when you’re making a sales proposal or presenting a report. If you keep it simple and remove your address and phone number (these can be on the paperwork inside) you can use your presentation folders for many years. This is a “print once, use for years” investment you won’t regret.

Note cards

Simple pre-printed note cards and envelopes that feature your logo will motivate you to send thank you notes, words of encouragement, and follow up notes to people you meet at networking events.

Saving Money with Print

Standard offset printing works best when you’re printing large quantities. To print smaller runs, consider digital printing. Digital printing happens on machines that are large, sophisticated versions of the color laser printer you may have on your desktop. The quality is similar to traditional offset printing, but the cost is reduced. Consider using online printers for some of your print materials. Online printers “gang up” their print jobs: your artwork is placed next to other customers’ art on a large sheet, which saves everyone money.

Integrating Print with Your Web Marketing

Finally, if you’re going to use print, make sure you integrate it with all your other marketing efforts. Start with the obvious: add your website address to all print materials. For promotional items like postcards, consider creating a custom landing page that’s visually similar to the piece you’re sending, and include the URL on your postcard so you can track visitors.

Coupon codes which are exclusive to your postcard offer are another way to track who received your mailing and see who takes you up on your offer. With variable printing you can even use a different code on each card so you can track clicks to users.

Dip Your Toes in Print Marketing

Print marketing materials are different than web marketing because they’re permanent — once it’s in print, you can’t modify it like you can a web page. This means taking extra care to proof your information carefully, and working with a graphic designer and printer who can help you bring your vision to reality.

Precisely because print takes extra effort — and not as many marketers make this effort today — tangible print materials can help you stand out. Start small. If you don’t have a business card, work on that first. Once you’ve created those, consider a simple note card. Dip your toes in print marketing — because sometimes the most radical way to stand out is to create a tangible object people can see, touch, and hold onto.

Pamela Wilson helps small business owners combine strategic marketing and great design to grow their businesses at Big Brand System. Big Brand System, 4117 Hillsboro Pike, Suite 103-153, Nashville, TN 37215 USA.

California Delivery Association Spring 2014 page 25 .“Doc’s Squawk”

In the spirit of Doc, the lilac crested Amazon parrot who had been hanging around the Marina for several years, but has now passed on. Doc liked to spend some daytime hours at the fuel dock and bait tank areas, while nights elsewhere.

He was joined by friend and foe alike, including herons, osprey, egrets, pelicans, and assorted other sea creatures. He did not talk much, but he squawked a lot. A very personal and sometimes annoy- ing squawk. However, when he did talk, he often came up with some interesting things to ponder, such as this one from the spirit.

“Good judgment comes from experience, and a lot of that comes from bad judgment” Welcome New Members Advanced Courier Concepts Inc - Gregory Bosse 701 S Parker Street #6000 Orange, CA 92868 714-550-9555 [email protected]

Apollo Couriers Inc - Frank Ghamari 1039 W Hillcrest Blvd Inglewood, CA 90301 310-337-0377 [email protected]

Courier Depot LTD - Jimmie Garcia PO Box 93097 Austin, TX 78709 512-892-1876 [email protected]

Delivery Today - Duane McPheeters 2540 Richie Place Santa Rosa, CA 95403 707-576-7263 d-liverytoday.com A Salute To Long Term Members These companies have maintained membership for over 10 years, and in some cases over 20 years. There may have been some ownership or name changes.

All Counties Courier One Hour Delivery Service Brightstone Insurance Services

Central Courier Professional Messenger CXT Software

Davis Courier Security Couriers Littler Mendelson

Dynamex Southern California Messenger Subcontracting Concepts (SCI)

Gold Rush Express Sunny Express

Inner City Express Ultra Ex

Jet Delivery Universal Courier

Messenger Express Urgent Express

Minute Man Delivery Valley Couriers, Inc

Modern Express Courier Western Messenger www.cadelivery.org Now Messenger– HB

Now Messenger-SFV

California Delivery Association Summer - Convention 2013 page 26

CDA 2013-14 Board of Directors Code of Conduct

President In recognition of acceptance of our membership JR Dicker, Gold Rush Express Delivery application by the California Delivery Association, we (408) 292-7300 agree to work towards common goals in the conduct of E-mail: [email protected] our business, and we support the following business and

ethical guidelines:

Secretary/Treasurer Recognize that my actions and those of my Bryan Scott, Rapid Express Courier System company and its work force will reflect on the (707) 526-7633 Association and our industry. E-mail: [email protected] Maintain within our company a high value on integrity and honesty in all relations with Vice Presidents customers and the public. Rick Pople, Dynamex (714) 888-1453 E-mail: [email protected] Treat other member companies with the same professional respect and courtesy with which we Jonathan Hesse, CMF Delivery would have them treat us. (619-282-7395) E-mail: [email protected] Promote and assist with the development of the Association. Directors Help raise the professionalism and image of Caryl Millen, Universal Courier, Ltd. messengers and couriers, and the companies (310-410-4500) E-mail: [email protected] with which they are associated.

Jessica Foyer, Triton Logistics Maintain the confidentiality of any proprietary (619-846-3261) information about a fellow member that we may E-mail: [email protected] receive or learn about.

John Neiman, Southern California Messenger Promote learning and business opportunities for (323-933-9797) member companies. E-mail: [email protected]

Ian Finn, One Hour Delivery Service (925-947-1100) Dispatch News

E-mail: [email protected] Editor/Publisher Andrew Brady, King Courier Dan Bender

(415-865-5464) Dispatch News is a publication of California Delivery Association, E-mail: [email protected] published four times annually.

Editorial, administrative and advertising offices: CDA, P.O. Box 10835, Marina Del Rey, CA 90292. Telephone/Fax: 310-306-0603. Associates Liaison Website: www.cadelivery.org. Copyright © 2010 by California Deliv- ery Association. All rights reserved. No part of this publication may Jim Luciani, CXT Software be reproduced or transmitted in any form or by any means, electronic (602-265-0195 ext 116) or mechanical, including photocopying, recording, or any information E-mail: [email protected] storage or retrieval system, without permission in writing from the publisher. The material presented herein is for information purposes only. A qualified professional should be consulted with regard to any factual situation. Opinions expressed herein are not necessarily CDA OFFICE those of the publisher, California Delivery Association, or its officers or directors. California Delivery Association PO BOX 10835 The publisher welcomes letters, news, stories, photos and other Marina Del Rey, CA 90292 items of interest to members of California Delivery Association, but

retains the right to reject, publish and/or edit all such materials. The Dan Bender, Executive Director publisher, California Delivery Association and Dispatch News do not Phone & Fax 310-306-0603 email: [email protected] assume any responsibility for the return of artwork, photos or manu- scripts. www.cadelivery.org

California Delivery Association Spring 2014 page 27