Signal

Last week I wrote about the commission rates we charge our drivers. The percentage rate was the same for years but we have been tweaking it over the last few months.

 

Initially we increased the rate by a fixed amount and everyone paid the same percentage. A month later we increased it again so it was 5% higher than the original rate.

 

In theory a driver with a turnover above £4,000 a month will have achieved numerous link-ups. For them a higher commission is largely irrelevant because they are more profitable.

 

On the other hand, drivers helping on a few occasional jobs find a higher commission a disincentive. In response we’ve ditched a fixed amount and announced an adaptive system instead!