Third party dispatch?

Discussion in 'Ask An Owner Operator' started by MrPlow, Oct 19, 2013.

  1. MrPlow

    MrPlow Bobtail Member

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    Saw few threads on this topic but not very many answers. Bottom line is that flat rate dispatch doesn't make sense, dispatcher doesn't have any skin in the game. So does any one use or knows of any dispatch services that gets paid %? Like say anything over $1.90/mile on hub miles (after tolls) on a reefer would go to dispatcher? (Just pulling numbers from air) If a dispatcher can average 4 trucks at $2/mile that'd be 40cpm to dispatcher, a truckers salary without leaving your house? Seems like too easy and that i'm missing something here?
     
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  3. truckon

    truckon Swamp Thing

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    Usually it's anywhere from 8-15% of gross.
     
  4. MrPlow

    MrPlow Bobtail Member

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    Yeah that's the problem, at $1.50/mile with that set up dispatch will still make 15cpm (10%) while you'll go broke
     
  5. truckon

    truckon Swamp Thing

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    A good dispatcher makes your more money, someone who knows what their doing and is committed to finding high paying freight pays for themselves.

    Who still moves @ 1.50 pm???
     
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  6. Cetane+

    Cetane+ Road Train Member

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    Have you seen the threads in here? Theres a guy that thinks 1.62 per mile is good, and admits to hauling for that. :biggrin_2556:
     
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  7. suzukirfboy

    suzukirfboy Bobtail Member

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    Hey guy's I have a question. Where can new o/o that are getting ready to step out as Independents get a list of good dispatchers. I've read ton's on forums where I hear the negitives of certain services then I here veterans say they have good dispatches. Is it a trial by fire for a new guys or should i start with OOIDA? Thanks for any help you guys can provide. Be safe.
     
  8. Bogi

    Bogi Light Load Member

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    Shout be some mathematics formula to calculate dispatch pay in the way to make dispatch to search for more and more highest rates.
     
  9. Cetane+

    Cetane+ Road Train Member

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    I understand what you are saying, but if your dispatcher is not in it to get you the highest paying loads, the percentage thing wont make much difference. They have to be ALL IN to win. The person you use needs to feel it is of personal importance to do the BEST job they can do for you. The percentage drop or pay cut is not what should drive them, your satisfaction is what they need to be working for. As one sig says here on this forum, Big or small job, do it to the best of your ability.
     
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  10. cpape

    cpape Desk Jockey

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    In my opinion, you should either be leased to a good carrier or completely independent and booking your own loads. The reason being independent works is that you are keeping 100% of the revenue and not giving anyone a cut. I would try to find a decent broker that gets consistent freight out of your area. Treat them like a customer so they are willing to pay you a little more than the next guy. When you talk about paying someone 8-15% to find loads off the load board, I have a hard time seeing this making any sense. Maybe if you found someone that worked with a shipper in your area and did the same thing for 5-6 other owner operators. We have contractors that are leased to us. They are paid 68% of line haul and 100% of FSC pulling our trailer. They will make 1.75/mi to 2.00/mi on all miles run this year without owning a trailer, having authority, insurance, etc. and they never have to find their own loads. I am sure there are other companies where you could do better. For full disclosure...We have 50 trucks, 15 are contractors. All contractors pull open deck equipment.

    Another way to look at it...if you are paying the dispatcher 8%, it is taking your 2.00/mi load to 1.84/mi. Your dispatcher would have to get you around 2.20/mi to net you 2.00/mi. I just don't see that happening off the load boards, unless you find someone very good. I would work harder on improving your negotiation and networking skills.
     
  11. MrPlow

    MrPlow Bobtail Member

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    Yep, i can't justify paying a dispatcher if what he/she got me doesn't make me any money.Should be a baseline thing like i said anything dispatcher can get over $1.9/mile is his/her profit. So they book crappy loads no one makes money, the better loads they book the more they make. Or anything over $1.8 is split 50/50


    Why won't it? I think percentage makes perfect sense, if you want to make money you got to make it work, if you book first crappy load that pops up you don't make any money.

    Yeah didn't realize that they take such a big cut. 8% from $2 is 16cpm not bad for few phone calls off the load board and the only requirements for that would be #1 do you own a phone #2 do you know how to operate it
     
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