Easing the anxieties of high-value shipments has helped Texas Precious Metals succeed.
"We are using UPS Proactive Response™ Secure not only to transform our business, but to transform the precious metals industry," says Tarek Saab, chief operating officer and co-founder of Texas Precious Metals LLC, and a finalist on the fifth season of the NBC reality show The Apprentice.
For Texas Precious Metals, using an effective, quick and secure method of delivery is a priority.
Based in Shiner, Texas, the company began in 2011 as a precious metals wholesaler and quickly expanded into the retail market, doing about $200 million in business in 2013. The company is recognized by the United States Mint as a national bullion dealer and a market maker for U.S. Mint products.
"We believe that UPS Proactive Response Secure has been critical to our phenomenal growth and, even more importantly, UPS supports our business philosophy – we really see it as a partnership vital to our delivery process," Saab says. "The speed of delivery and high level of security, in tandem with the insurance protection from UPS Capital®, go hand in hand to ease both our clients' anxieties and our own."
Securing customers' savings
"We understand that people investing in precious metals may be sending us their life savings, so we designed our supply chain for speed and customer reassurance," Saab says. "Today, the industry's average delivery time, from when the customer wires the funds to delivery of the package, is normally six to 12 weeks, which is incredibly frustrating to the customer. It holds the customer's funds at risk and makes the buyer very vulnerable."
Texas Precious Metals has changed that model of business, Saab says. "From receipt of the customer's funds via bank wire to delivery of these high-value goods, the process takes no more than three days. This is one of the reasons we migrated from using ground shipping with another carrier to using UPS Next Day Air®. Using an effective, quick and secure method of delivery is a priority."
Most recently, Texas Precious Metals collaborated with UPS to create a customized UPS My Choice® alert just for its customers. Clients receive a Texas Precious Metals branded alert on their computer or smartphone that includes a hyperlink to the retailer's website. By using UPS's advanced tracking technology, customers are comforted in knowing that their highly anticipated and valuable shipments are safely on their way.
Providing a rock-solid solution
"We are a service-based business; we do not have salespeople," Saab explains. "We never want our customers to feel they were coerced into their buying decisions. We're here to educate and enlighten. Therefore, our service partners must possess the same service mentality. They are extensions of our business."
The company tested various carriers and insurance providers. "It wasn't until our UPS and UPS Capital representatives brought our attention to UPS Proactive Response Secure that we felt we had a rock-solid solution for our speed and risk-management needs," Saab says. "We are seeing the benefits of this service, as evidenced by how our clients are absolutely thrilled with the speed of delivery. We have a loyal and committed following and tremendous advocacy for our business. UPS Proactive Response Secure is integrally tied to our clients' perceptions of our business.
"The benefits of this service are such clear differentiators for our customers and for our business that we believe we are transforming this industry. We regularly analyze our business risks, calculating our risk profile as to where we are most vulnerable."
Saab and the business's other leaders were concerned that with growth, the higher the company's risk rose for potential liability for loss and theft, Saab says.
"Solving this dilemma with one seamless solution – UPS's proactive, 24-hour, seven-days-a-week monitoring service combined with insurance – was perfect," Saab says.
Transforming an industry
Prior to the service, clients' questions about the status of their shipments required an incredible amount of staff time and effort. "Fortunately, the 24-hour monitoring provided by UPS Proactive Response Secure has freed up capacity and allowed our staff to focus on what they do best," Saab says.
Another benefit: claims management. "It used to be that filing claims and trying to get paid could take up to a year. Now, we have the confidence of knowing that UPS Capital will quickly and efficiently manage the process on our behalf."
The future is bright for the bullion company. "Working in a field you love is something everyone hopes they can do. But being able to transform an industry is the fulfillment of a dream. In the four short years Texas Precious Metals has been in existence, we've changed how customers buy precious metals. In part, this is thanks to UPS Proactive Response Secure," Saab says, "and we're seeing the impact in our clients' newly found confidence and our growth."
Watch this video to learn more about how UPS Proactive Response Secure has given Texas Precious Metals peace of mind.