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Best Practices for Relocation: Multiple Bids for Household Goods Moves

Is your RMC helping keep relocation costs in check by taking multiple bids?

It is no secret that competition leads to various benefits, including significant savings for the end user. We have seen the opposite when a company monopolizes a product. Having one choice has never worked out well for consumers. The same applies to corporate relocation and household goods moves.

Many relocation management companies (RMCs) are either owned by or affiliated with van line companies. Therefore, when a client company wants to move its employees, the employees do not have a choice of van lines. The RMC and the van line know that the transferee is at their mercy concerning price, scheduling, and customer service.

However, some RMCs use a multiple-bid process to ensure that transferees get the best price and service. There are some significant benefits to having van lines compete for the relocation business:

  • It encourages the providers to “sharpen their pencils” to provide the lowest reasonable cost
  • It ensures adherence to a company’s relocation policy guidelines
  • It is a way to eliminate any service day surprises

This is all accomplished by having at least two carriers meet with the transferee to create estimates based on the amount that needs to be moved, what requires special handling, and where it needs to be relocated. Then, the RMC audits the estimates to look for inconsistencies, for example:

  • Do the pickup and delivery dates correspond with the move?
  • Does one company estimate more crates than another?
  • Does one company show specialty items that the other company may have missed?
  • How close are the estimated prices?
  • Auditing the bids ensures an apples-to-apples understanding of the van line options and helps weed out potential overages.

    Every carrier knows that its goal is to secure the business. As a result, it offers honest and precise quotes without extra costs. Several relocation policies involving moving companies also come with a maximum estimate guarantee. This helps ensure the relocation process follows industry standards and offers the most suitable solution.

Companies that utilize a multiple-bid process save an average of $1,547 per move! This breaks down to an average of $1,473 to $1,604 for household goods movement and $175 to $289 for car shipments per move.

Although cost is necessary, the experience of the person being transferred is also crucial. Allowing them to meet with various moving companies will help them feel more involved in the moving process. Sometimes, the person being transferred can select the moving company they prefer. 

Even if an estimate is slightly higher than another, if it falls within a certain percentage (based on the client company’s relocation policy) of the lower bid, a transferee may select the more expensive carrier if he or she feels more comfortable with that specific household goods mover. This promotes an overall positive experience because transferees are happier when they think they are heard throughout the relocation process. We all know that happy employees are more productive.

GMS Can Help Companies Save

Global Mobility Solutions (GMS) was the first to introduce the “Freedom of Choice” approach in relocation services. By implementing industry best practices and offering various options from different providers, GMC has helped client companies and their employees reduce costs for services such as moving household goods and obtaining mortgages. GMS is dedicated to creating innovative workforce mobility programs to simplify and enhance the relocation process for clients and their staff.

This innovative method reduces business costs and provides employees with greater autonomy and flexibility during their relocation. By empowering employees to select the services that best suit them, GMS ensures that each person feels appreciated and supported throughout the relocation process. This personalized strategy results in a seamless employee transition and a more streamlined company relocation process. With GMS at the helm of forward-thinking workforce mobility initiatives, businesses can save costs while ensuring employees enjoy a positive and hassle-free relocation journey.

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Reducing Moving Costs Through Government Relocation Incentives

Check Out These U.S. Cities with Relocation Benefits Programs

Moving to a new place for a new job can be an excellent move for your career and your personal life. Starting somewhere fresh can give new beginnings and new opportunities. But what if the new company does not offer a competitive relocation package? Relocating for a position can be expensive, especially for an employee paying out of pocket; however, if the employee faces a once-in-lifetime job opportunity that cannot be turned down, making the decision even harder. 

A lot goes into the relocation process, from the home sale and purchase costs, movers to travel funds, and even food and temporary housing costs come into play. Even if the new job does not offer the employee relocation benefits, it might not be the end of the opportunity just yet. 

Many U.S. cities and states offer relocation incentive programs to take advantage of. Corporate relocation state subsidy programs are designed to help cover the cost for people moving for a job opportunity. Depending on the program, these incentives may apply to the entire state, region, or city. Here are some cities with the best relocation programs, with many of the programs focused on enticing remote workers in today’s new normal.

Cities & States with Relocation Benefits Programs

When looking for a new job, consider these relocation incentive programs offered by each city or state. Depending on what the relocation assistance covers, it could significantly reduce the cost of moving while also helping to break a tie between two employer offers.

Tulsa, OK

This remote working program is an innovative one. Tulsa offers workers up to $10,000 cash to help with relocation costs and a free workplace within an office space for any remote worker who moves to and works from the city. All employees have to do to qualify for the program is be at least 18 years old, work remotely in a full-time job, be eligible to work within the U.S., and be able to move to Tulsa within 12 months of accepting the relocation incentive.

Northwest Arkansas

To attract professional talent, the Northwest Arkansas Council offers incentives of up to a $10,000 lump sum for those looking to relocate. Recipients will also be given a free street or mountain bike to use on the new 162 miles of paved trails, the 37-acre Razorback Regional Greenway, and the region’s 322 miles of mountain biking trails. If a bike doesn’t suit the fancy of the moving worker, participants can also choose an annual membership to arts and cultural institutions.

Newton, Iowa

In 2014, Newton, Iowa, initiated The Newton Housing Initiative to boost home buying and construction. Investing in Newton’s infrastructure with a $190,000+ home yields a $10,000 cash incentive plus a “Get to Know Newton” package worth ~$2,500, with discounts at local stores and eateries.

To be eligible for this program, you must buy or build a new home worth $190,000. The reward is given at the final loan signing, and a certified appraiser must appraise the home’s value. The Newton home’s construction has to be completed before you receive the incentive, confirmed with proof of occupancy by the City of Newton. Rental properties do not qualify for this relocation program.

Savannah, GA

The Savannah Technology Workforce Incentive is willing to reimburse relocating employees up to $2,000 of relocation expenses. To qualify, applicants must be willing to work with a technology company in the region, be self-employed, or be remote workers looking to relocate to Savannah. Additionally, the employee must relocate within 12 months, have a minimum one-year lease or purchase property, and have resided in the county for 30 days before being able to apply

Tucson, AZ

Thinking of living in the desert? StartupTucson offers incentives totaling up to $7,500 in cash and moving services. Relocation funds, internet setup, and housing support are just some of this program’s benefits

The Shoals, AL

Another program geared toward remote workers, this relocation benefits package, is willing to pay moving employees $10,000 cash, which can go a long way in the low cost of the living area of The Shoals. To be eligible for the money, workers must have a minimum annual income of $52,000, be able to move within six months, be full-time employees, and be at least 18 years old. $2,500 of the incentive is given upfront for moving costs. The rest is given in two payments, the first after six months and the last after a year.

GMS Can Help Relocating Employees Utilize Relocation Incentive Programs

Are you a company that has been exploring innovative new ways to utilize a remote workforce? GMS can help you craft creative relocation policies while maximizing the relocation incentives programs offered by various state and local governments across the U.S. Contact us today to discuss how your company can obtain and retain the best talent from anywhere in the country and how to do so affordably.

Or if you’re an employee looking to take advantage of relocating on remote work policies, then feel free to contact as well. GMS is happy to announce our new Employee Choice Program, where we help remote workers get network pricing on moving services as they relocate to an unknown destination.

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