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| Hello to all our Active Licensees! I hope this message finds you all doing well and business is booming! |
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| Chances are good you've heard about Uber Freight and their desire to penetrate and simplify the interstate and intrastate freight and shipping processes. Carlos sent me a great article yesterday regarding Uber Freight mentioning how "the digital broker will eat the more than 16,000 freight brokers in the market." This article also discusses how Uber Freight would like to target small and midsize companies as well because forecasts project a 75% growth in retail shipping by the year 2026. |
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Why is all of this important and how will it affect your business? I have several thoughts and evidence that should excite you! |
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| First and foremost, how many times have I stressed in my videos, we are NOT freight brokers! Over the years I have been solicited several times to become a freight broker and use/endorse their software and each and every time I have declined. Again, as I've stressed, I have no desire to become a freight broker because I have no desire to carry the licensing, insurance, etc. And when you see how Uber Freight and similar digital brokers are going to devour the 16,000 small and independent brokers you should rest easy knowing that everything we are doing is targeting the "sweet spots" of each source of revenue. |
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| Second, in regards to Uber Freight targeting small and midsize companies in addition to large corporations, that's great! Why? Because demand is going to continue to grow! By the year 2026, only 8 years from now, delivery logistics is expected to increase by 75%. What more could you possibly ask for? This is incredible opportunity for us. |
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| So even if Uber Freight is the major player in the delivery market there will always be businesses that need other providers to help increase their capacity. Case in point, yesterday I spoke with an excited Licensee who met with a national retail warehouse that has been using DSL exclusively for years. Yet, they welcomed the opportunity to start using our Licensee's services almost immediately - so much so that the Manager already initiated making arrangements for our Licensee to meet with upper management. My point is, with such phenomenal growth there will always be opportunity and businesses that need/want multiple vendors to ensure adequate capacity. |
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| Sure, when we launch Quick Courier in a few months you could argue it could be competitive with Uber Freight targeting small to midsize business. But consider what Brian Cornell, the CEO of Target, said yesterday - "This is the best consumer environment I've seen in my career." When you consider this is the CEO of one of our most prominent national retail chains, someone who has been in the retail industry for decades witnessing huge market fluctuations, his statement underscores the strength and growth of the economy and opportunity for everyone - all our Licensees. |
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| Third, focus, focus, focus on the type of deliveries I have taught you. Again, it's the "sweet spot" where, realistically, there is little to no way automation can replace our work. Obviously, this helps insulate our businesses. And this insulation from mass automation clearly applies to Express Moves and our other sources of revenue. Remember, Deliveries and Express Moves only comprised 64% of my total revenue in 2017 and is, currently, comprising only 63% of my revenue in 2018. That means we have a lot of "meat on the bone" with our other sources of revenue. |
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| Forth, Uber Freight and all these disruptive technologies are literally raising awareness and creating competitive opportunities for everyone. Consider the NEMT industry. The vast majority of people have no idea what NEMT is until they need it and/or their loved one uses it regularly. These disruptive technologies are helping to create new standards and establish service expectations to be used by the masses. The market size and awareness is immeasurably larger as compared to a niche market like NEMT. |
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| So continue to be excited about our growing opportunities. Once Quick Courier is launched, you will literally have 6 sources of revenue - meaning you can literally build a very large, dynamic, and profitable enterprise. It's exciting! I will keep you posted on QC updates and progress. |
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See you at the Top!
Joel E. Davis |
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