How to get drivers and shippers to co exist

Discussion in 'Freight Broker Forum' started by indspirit, Dec 26, 2014.

  1. indspirit

    indspirit Light Load Member

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    So most of you know I drove for several years and am now trying the broker thing. My problem is I know what I would have taken a load for on the road and know how to keep up with current rates. Shippers call with a lane I call my carriers and find out what they would run the lane for. Now I'm not talking outrages prices here like 5-6 a mile and I find out the high and lows (like if they were stuck and just wanted to get out). I give them a decent quote right now my pay is set at 15% and I tried some at 10% but the shippers all say it's to high.

    I don't want to screw my carriers and won't, ive been on the road. I also won't use carriers that will take the load at a ridiculously low price. They will just cost me more money. With that being said I have seen carriers that say I won't move for less than this. So I try but shippers will only pay this. I get them to go up some but they have limits too. So where is the middle and how do I find it.
     
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  3. Big Don

    Big Don "Old Fart"

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    Good question. Fact is that we all NEED EACH OTHER. But, the folks that run the shipping departments are under the gun to keep costs down. Their bosses are under the gun to keep costs down, and profits up.

    And trucking companies are under the gun to make a profit. And so are you.

    I would say that if you give the shippers your best rate, and it just isn't low enough, then let them try to find somebody who will do it for less. Just like the trucking companies themselves, you can't afford to cut your rates to the point where you don't make enough to exist, let alone thrive.

    The almighty dollar always has, and always will rule supreme. You have to figure out what your minimum profit margin will be, then stick with it. You can starve to death on "volume of business," if the profit isn't there.
     
    ramblingman Thanks this.
  4. EZX1100

    EZX1100 Road Train Member

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    just like drivers have to give good service, YET not sell themselves cheap, so too with brokers

    if you are worth your services, they come at a price, if your shipper dumps you, he may find a cheaper broker, just like a carrier may lose a load to a cheaper company

    this is the name of the game

    bottom line, value costs, not overpriced, but fairly priced for all
     
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