Moving is stressful for everyone. But it’s especially hard on college students, who move in and out of dorms every year.
In turn, moving companies face tough logistical hurdles. For one thing, most colleges have strict rules for getting students in and out of dorms. That’s why Collegeboxes Inc turned to a CRM tool to facilitate the process. The Watertown, MA firm serves more than 6,000 students from 35 schools nationwide, managing their moves from order through fulfillment. The actual moving services are subcontracted to local vendors.
The trouble was that with 15 contractors nationwide, it was difficult to keep track of the status. Students often waited around for a pickup or delivery without any idea of when it was coming. That, in turn, led to excessive call volume. Then there was the four-hour time window that students were given to expect the movers to arrive. “We realized that a fundamental problem was the flow of information from the moving companies to the customers,” says CEO Scott Neuberger. Collegeboxes met that challenge October by deploying a location-based service from Xora Inc. to track and manage its mover staff. The contractors were provided with GPS-enabled mobile phones running the Xora program.
That enabled Collegeboxes personnel to access Web-based maps and reports showing the status of the movers throughout the day. “Before Xora, we relied on phone conversations with the director of operations at the moving companies, who then placed a call to the driver for this information,” says Neuberger. Student customers often had to wait up to 30 minutes for a return call.
But things are different now. For one thing, real-time mover arrival times are available to customers via cell phone text messages—they need not be home to receive an update. And the four-hour wait window has been reduced to between 30 and 45 minutes. “From the college student perspective, a text message tells you that the company you’re dealing with is on the ball and things are happening in real time,” says Justin Keane, director of operations for Collegeboxes. “The reality is that we need the student to be there to receive their belongings in almost every case.” The results?
The firm has realized a 20% increase in on-time pick-ups and deliveries, and phone calls have also been reduced 20%, saving roughly $10,000 in call-center costs. “A customer’s first instinct is to pick up the phone and so one thing we noticed this year is that the call volume decreased even though customer numbers went up,” said Neuberger. “That’s how we know the service is working well—people don’t feel the need to call.” Another benefit is that Collegeboxes realized a 10% savings—roughly $60,000—in moving expenses. These costs are based on the hours spent by the moving companies’ they are partially paid on the length of time they are in the field. “What used to be a problem—knowing the location of drivers—is now a strategic advantage,” says Neuberger, who started the business with his college buddy, Josh Kowitt, six years ago.
“The reality of college students is that they’re constantly moving on and not in the same place very long,” he adds. “The customer uses us for two, sometimes three years during their college time.”
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