Yodel is experiencing significant capacity issues this holiday season, urging clients to seek alternative delivery services.
- The company anticipated hiring thousands of seasonal workers, but operational challenges have disrupted this plan.
- Communications to clients like Gousto and eBay highlight delays and driver no-shows affecting parcel processing.
- Financial incentives offered by competitors have contributed to driver shortages impacting Yodel’s capacity.
- Yodel is unable to guarantee its 24-hour service, asking clients to reduce parcel volume where possible.
Yodel is encountering substantial capacity issues during the critical Christmas trading period, leading the company to recommend that clients consider using rival delivery services. This development comes despite plans to bolster their workforce with thousands of temporary staff to manage the expected surge from Black Friday to Christmas.
Operational difficulties have been brought to the attention of major clients like Gousto and eBay. These arise from significant delays in processing parcels, a shortage of empty trailers, and disruptions to driver schedules. The courier, recently rescued by a Shift-led deal, points to these operational setbacks as the reason for urging a reduction in planned parcel volumes.
The company has revealed in a memo to its clients that a large number of their peak Heavy Goods Vehicle (HGV) drivers have failed to show up for scheduled work. Upon inquiry, Yodel attributes this absence to the financial incentives being offered by competitors, resulting in driver shortages that hinder their ability to fulfil previously agreed collection numbers.
In response to record-breaking parcel volumes and a spike in large, manually sorted items over the Black Friday and Cyber Monday periods, Yodel has collaborated with a select number of clients to revise collection schedules. This strategy aims to maintain the flow of operations, although Yodel acknowledges it cannot guarantee the 24-hour service it usually provides.
Yodel’s representative has expressed appreciation for client cooperation during this hectic season, emphasising the diligent efforts of their teams to resolve issues and clear backlogs by the weekend. They continue to encourage clients to divert parcels through other delivery couriers while the firm navigates these complex challenges.
Yodel’s capacity constraints underscore the industry’s broader challenges in managing heightened demands during peak periods.
