Excess International Movers is one of the successful companies that made its name as Excess Baggage Company in the emigrant market in the 1980s. Others fell by the wayside, but Excess prospered.
Steve Jordan took the trek down to NW10, to chat with David Elliott, the company’s Chairman and Ian MacLeod, its Managing Director, to find out how they did it.
David Elliott started Excess Baggage in 1983 having migrated from his native Scotland. He had worked in the baggage industry in London but was unimpressed with the level of customer service. He figured he could do better. He and Ian MacLeod had been at university together and, when he was looking for work, David took him on as a driver.
“In the early days it was just me and David sitting in our office near Wandsworth Bridge willing the telephone to ring,” said Ian. But after about six months of struggle, and aided by some prominent advertising in TNT and LAM magazines, the company began to take shape.
At that time it was all baggage shipments to and from Australia, New Zealand and South Africa. But even then David and Ian had some revolutionary ideas. “We bought an Ansafone,” explained David. “Nobody else answered the phone out of hours.”
Inevitably baggage turned into removals and the company moved out of central London into NW London. “It was easy to get sucked along,” said Ian. “If people have shipments that were borderline between baggage and removals we didn’t say no.”
By the end of the decade the company was a mover. It joined the BAR Overseas Group and became FIDI members. “People always regarded us with suspicion because we did things differently,” said David. “I remember we attended a convention and someone said incredulously, “I hear you take credit cards!” And indeed they were. That forced the rest of the industry to do likewise. “A lot of our customers were from overseas so it was easier to use credit cards.” The commission was well worth paying.
The airport business
Excess Baggage is still the company name for its retail service provided at airports and railway stations. It was in 1991 that David recognised the opportunity of providing an unaccompanied baggage service for people who were not prepared to pay the excess baggage rate to the airline. “We started the service at Heathrow three days after the start of the first Gulf war,” David Explained. “Not the best time.” But it was a new, different business and it brought the company into the retail market selling bags to airport customers. “BAA were surprised that it went so well. They also asked us to handle their left luggage. Gradually we expanded to other terminals and to railway stations.” Today Excess Baggage is at 35 locations across the UK, turns over £2 million a year in retail luggage sales and fights for prime locations with Tie Rack.
The corporate market
Corporate relocation is not something that in the past sat well with the Excess business model. However, as procurement has increased its hold on purchasing so the corporate market has played into its hands. “Many companies have decided to by-pass the HR and procurement functions completely preferring to give employees a lump sum allowance,” said Ian. “This suits us better because we are dealing directly with the customer. We are even developing web pages so these customers can book direct using a portal customised for their companies. It’s becoming a much bigger part of what we do.”
Internet
As a confirmed early adopter it’s no great surprise that in 1997 Excess International Movers was one of the first moving companies outside the USA to have an online presence. Most of us hadn’t even heard of the Internet at that time. “It was obviously going to be important so we wanted to make sure we could hold our own on the web,” said David. He admits, however, that he did make some mistakes. He bought the URL www.removals.com about 10 years ago and never did much with it. It does, however, now link to the Excess International site.
Trade groupage
A large part of the company’s shipping today is trade groupage. It has been hit hard by the recession in the industry partly from reduced volumes and also because many other companies have entered the market in an effort to supplement their own incomes. Nevertheless, frequencies to the traditional markets are holding up well as are services to Hong Kong and Thailand. The company’s relationships with its overseas agents are both strong and long standing. Reciprocal work maintains a regular flow of inbound work.
Continued innovation
Nothing stands still for long at Excess. Its retail luggage brand Luggage Express is doing well and is top of the Google listings. Try just Googling the word ‘luggage’. Excess has also recently opened a new service called Cloakroom Co. at the Westfield shopping centres in West London and Stratford in East London. Rather than struggle with heavy shopping bags the service allows visitors to buy items and have the store deliver them to Cloakroom Co. on the site, either for collection at the end of the day or for delivery to their home. If shoppers are visiting from overseas, the items can be shipped (or flown) back for them. No more aching arms at Christmas time!
The secret of success
As always success comes from the top and it is the drive and ingenuity of the key players that gave the company the opportunity to succeed. “We have always had a ‘can do’ attitude,” said David, pointing, as an example, to a van in the yard signwritten: ‘Rapid Van and Man’. It’s there just to take people’s goods from their home into the self store as he recognises that this is a break in the logistics chain. “It won’t make us rich but it does work.” David went on to say that he is always looking for new opportunities. “We always try to do what the customers expect. What you see is what you get with us. We don’t cut corners.”
David and Ian are modest about their achievements and reserve their greatest praise for their staff. They acknowledge that much of their success is down to their young, enthusiastic team of very talented people. “They are the future of the company,” said Ian, “and an inspiration to us all.”
Photo: Left to Right: Ian MacLeod, Managing Director; Alex Gatt, Global Moves Sales Superviser; Gourav Jalan, Manager of the sales office in Waterloo, Judyta Szyszka, Global Moves Administration Supervisor; Suhair Obaro, Suhair Obara, Operations Assistant Manager.