FedEx Delivery Driver Incentives Help You Build and Retain a Reliable Team

As a FedEx contractor, you understand the importance of having a team of delivery drivers you can truly rely on. Whether on the road or interacting with customers, they are the face of your business, representing everything it stands for—from safe and courteous driving to on-time delivery and exceptional customer service.

Showing your drivers how much you value them as team members is the key to keeping your FedEx route enterprise thriving, especially considering driver turnover rates are historically high. Below is a list of incentives and strategies you can incorporate into your business plan to help you build and retain a reliable team.

First and foremost, show your delivery drivers they matter.

Think of your drivers not just as assets to your business, but as members of your team. Show them you value their time, their health, and their commitment by treating them with mutual respect and always listening to their concerns and taking into account their opinions. Do your best to create an environment in which they feel comfortable coming to you if they have an issue, and always be forthright about any upcoming changes that may affect their work. Lastly, make sure the vehicles they drive are safe and well maintained, and invest in new technology to help them succeed.

Consider implementing a mentorship program.

According to Transport Topics, more than 70% of drivers leave their jobs within the first year. Implementing a mentorship program and pairing up new hires with veteran drivers is a simple way to avoid this problem by ensuring beginner drivers have someone they can turn to if they have questions or run into any issues. Not only that, but asking your veteran drivers to be mentors shows how much you value their knowledge and experience and will no doubt strengthen those relationships.

Use incentives to help drivers reach their goals.

In every company, no matter what the industry, employees thrive when they feel like they are recognized and valued as an important part of the business—and your delivery drivers are no different. Show your appreciation for your drivers’ hard work and commitment by offering incentives that will motivate them to reach their goals.

A big motivator for drivers to stay for the long haul, so to speak, is employee benefits such as health insurance and retirement plans. Though you are responsible as a FedEx route business owner for the cost of those benefits, the advantages typically far outweigh the expense in terms of building and retaining a strong and dependable delivery team.

Everyday incentives are also a great way to encourage above-the-bar performance, for example when a driver increases the number of stops they make or picks up the slack from a coworker who is sick or out on vacation. You can offer things like cash or gift cards, a surprise breakfast or lunch, or even an extra day off during the year. Even better? Ask your team what types of incentives they’d like to see and show them you’re listening.

Another great idea is to create a “wall of fame” (either in a physical location or virtually) where you can post driver photos and reviews, highlight individual successes, or spotlight a driver of the month (or quarter) who showed outstanding performance. Also consider celebrating driver birthdays and work anniversaries with a gift or a cake, a team outing or event, or even just an appreciative team email.

And finally, though it may seem like a small gesture, simply saying “thank you” or offering words of encouragement—especially on stressful high-volume days and during peak seasons—can make an enormous difference in making your drivers feel appreciated and motivated, which in turn will go a long way toward improving retention.

Remember: it’s often the smallest things that make the biggest difference.

Though it can be easy to get caught up in the everyday logistics of running your FedEx route business, always remember the human element behind the numbers. When your drivers feel respected and valued, it will show in their attitude, their performance, and their willingness to be a team player. At the end of the day, your bottom line will see the benefits.

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KR Capital is a full-service brokerage firm that specializes in working with FedEx contractors who are looking to value, market, and sell their FedEx routes for a premium price. For those interested in buying routes, our network of FedEx lending partners is second to none, and we offer a proprietary library of resources to streamline the FedEx approval process.

Not sure if KR Capital is right for you? Just listen to what our clients have to say about us, then give us a call at (503) 664-0753or contact us onlineto learn more.