Take out factor companies also and it would go a long long way towards thinning out marginal carriers and also carriers who grow irresponsibly. I see plenty 5 to 100 truck fleets factoring and it blows my mind. I’d always feel like I had one foot in the grave being like that.
I think many trucking companies focus on the challenges and pain points of dealing with brokers because it's right in front of them and easy to focus on. But they fail to realize all the value adds (and why shippers have and continue to send so much of their business to 3PLs). The cool thing about an capitalistic economy like ours is that if there isn't a demand for something (or the cost on the supply side is mismanaged) then that product or service eventually goes extinct. The value add that a 3PL provides (primarily carrier&customer sourcing and acting as flexible cash flow between shippers and drivers) is the reason there are still so many successful brokers out there.
Sure it would. Load sitting there, tic to, gee, maybe better put some more coin on it. It would work, and it would work awesomely. Just as you said, loads would sit. So that the lesson of posting a cheap, or below fair rate would be learned quickly. Or is the argument now "Oh the poor shippers?"
Seems like the carriers with 1 to 1 or more employee to driver ratios are the ones biting the dust. Everyone wanted the herd cut back. Everyone didn't realize those guys sitting in their Volvo's for 8 hours uncompensated waiting to be loaded, would be the survivers.
How do you know the broker is price gouging? Couple the shipper have lowered the rate since there's more trucks competing for the load? It's supply and demand, the same thing that's always driven the free market. As others have said, truckers raise the rates when the supply and demand swings the other way. Play or get out is the way it should be. Most of the ones crying for regulation and such aren't good enough to do the job so they want the playing field leveled. Nope, doesn't work like that.
A rate con with the rate you agreed to move the load for under your free will. Doesn’t matter what the shipper pays the broker.
