TNT Logistics UK has been awarded a five-year contract to operate two man home delivery services for the newly-launched Tesco Direct. The nationwide service will utilise dedicated Tesco Direct vehicles as well as TNT Logistics' multi-user TNT Home fleet, which already delivers furniture and larger goods for other retailers.
Neil Ashworth, Supply Chain Director, at tesco.com, says TNT Logistics' long-standing experience in home delivery was a key factor in awarding the company the business. "They are the ideal logistics partner for us as they have the expertise we require to ensure the deliveries are made as promised to our customers. In addition, through the use of the TNT Home fleet, they give us the flexibility to grow the business in a cost-effective way. As with all parts of the Tesco business, the focus upon customer service is paramount, and TNT have demonstrated an enthusiasm to work with us to make the customer experience amongst the best in the market."
Tesco Direct will at the launch offer in excess of 8,000 product lines and about 1,000 of these will require the two-man home delivery service – from sofas and wardrobes, to home gyms and outdoor play equipment.
Customers can order through the tesco.com website, by telephone or by visiting the Tesco Direct desk located within selected Tesco stores.
The logistics operation will be run out of the brand new 38,000 sq metre National Distribution Centre at Crewe which TNT will manage on Tesco's behalf and also utilise six home delivery platforms, from Glasgow to Exeter. Initially over 200 TNT staff will be employed on the operation increasing as sales volumes accelerate.
TNT Logistics has installed software systems, including its HDi home delivery system, Red Prairie's DLx warehouse management system, Paragon route planning and PenPod for the collection of electronic signatures.
Neil Crossthwaite, Managing Director, TNT Logistics UK, says: "We look forward to working closely with Tesco Direct as they build this whole new business offering. Our team has experience in launching major home delivery supply chains from scratch and I am sure our partnership with Tesco Direct will be an outstanding success."
"We look forward to expanding the operation as Tesco Direct wins more and more customers. Through the resources of TNT Logistics, we can offer instant access to the expertise, IT systems, personnel and vehicles at precisely the level that suits Tesco Direct's rate of growth."
TNT Logistics' other customers within the home delivery sector include House of Fraser, The Pier, Habitat and B&Q.
