I see why trucking is going the way it is...

Discussion in 'Ask An Owner Operator' started by BAYOU, May 23, 2014.

  1. rollin coal

    rollin coal Road Train Member

    13,134
    26,147
    Mar 29, 2008
    TN
    0
    I never look at flatbed freight. Only dry van. I quote $4 and $5 a mile rates to places like OK, KS, and Florida with reckless abandon and sometimes get the job. About as good as you will ever see loads like those post is around $2.80 a mile, maybe $3 on a good day, otherwise it'll typically be around $2 a mile. So much easier getting right back off a $4+ rate than it is to gnash your teeth over accepting $3 then discovering reload options nearby or far out are really on the edge mostly not justifying that $3 a mile as a good decision. With $4+ there's hardly any negotiation necessary on the reload, or if you will a 200-300 mile bounce is painless. There's no such thing as "one way" or "deadend" in my operation. Every outbound pays good or we sit at the house and toss steaks on the grill until one does.
     
    281ric and SL3406 Thank this.
  2. Truckers Report Jobs

    Trucking Jobs in 30 seconds

    Every month 400 people find a job with the help of TruckersReport.

  3. rollin coal

    rollin coal Road Train Member

    13,134
    26,147
    Mar 29, 2008
    TN
    0
    And the same guys who bragg they can undercut others are the ones who whine and complain that no-one will give them any tips on good lanes etc. I'm guilty of passing out way too much info on the topic I think but others would either call me a liar cause they can't play the game very well or disagree because I didn't give them contact names and phone numbers also (you know pretty much spoon feed them the good stuff). And these guys wonder why no-one will ever share really good info with them. My hopes have always been that with a little nugget of info here and there that it might help others get the kinds of rates I have gotten, or at least try. That raises the bar for everyone. I have actually found some good lanes from nuggets others have dropped in here and made good off of the info. But someone coming in happy to do lanes for dollars less a mile does no-one any good but I don't worry about that much anymore. Those carriers will come and go always be around regardless how much complaining we do about them. If dummies want to work for free they can be my guest, good service will always be in demand.
     
    BigKid2, SL3406, Oscar the KW and 3 others Thank this.
  4. Foxcover

    Foxcover Medium Load Member

    413
    217
    Nov 22, 2011
    Dallas, TX
    0
    We have a very similar operation. Like I said, if I'm leaving home I'm already on a winner. I do not have to take anything back to justify my outbound trip which leaves me in a very strong position to negotiate a good rate for a return load. If they don't pay it I simply make my way back home empty or till I get something paying well along the way.
    Some say this is not a good strategy, if I'm going home I should put even $1pm freight on my truck cause I'm going that way anyway but I couldn't bring myself to haul anybody's freight for that. I have a hard enough time hauling it for $3 as I'm delaying getting home for the next high dollar opportunity.
    I based my business model on risk and opportunity, per mile sometimes plays a factor but I think a business based on per mile alone doesn't factor in the realistic cost, risk and level of opportunity or lack of. My freight isn't typical of the norm either, it's not uncommon for us to have $12 or $18 million dollars worth of cargo on the trailer which is compleatly based on risk.
     
  5. Gordon A

    Gordon A Medium Load Member

    384
    345
    Jul 22, 2013
    0
    Aside from hating the term Back Haul, The So called back haul is someones prime move. so why the rate cutting. Cut the rate on the "prime /back haul " move and he in turn cuts your move and so on until it is from $4 down to $1.20 mile. Also the large carriers will call one of their prime shippers if they have too many drivers in an area and offer to ship loads at a discounted rate.
    I have seen this done in CA. Large carrier had 12 trucks in Ontario TA. Needed to move them . Called the same shipper I was going to. I showed another driver how to get there. His load was not there. gone. He was very upset. so I asked shipping clerk why? I was told it was due to another large carrier that had many drivers in the area and would move all the loads they had going anywhere in the US for .50 cts a mile.
     
  6. SheepDog

    SheepDog Road Train Member

    3,481
    2,084
    Nov 30, 2008
    Sand Lake, MI
    0

    Holly cheap freight batman!
     
    milskired Thanks this.
  7. BAYOU

    BAYOU Road Train Member

    2,847
    1,592
    Sep 23, 2010
    Beaumont,Tx
    0
    That's how I run people tell me I'm crazy but as of may 1st I had 8,800miles of empty driving. I'm getting $4.40/mi on loads going over 300 miles right now and I'm already a week booked now. Just this week I had a shipper call me there sick of using the broker they stopped using me for said we would like to get you back in here we just lost a big customer because a carrier didn't show up until two days later to deliver a load (I'm talking about 178 miles) I said well I can try and squeeze you in on a few loads they said we have three loads I need out this week (this was Tuesday) I said there's no way I could get to them this week I told him I was booked until next Wednesday he said wow really.....than he wanted to here a price I said $1,000 a load he said the broker was only charging us $850, can you match that......sorry I'm busy with customers now that don't even ask about prices and super busy so if it doesn't pay my rates i'll just have to stay with my more profitable customers.

    The load I'm doing now I told a customer new one at that a price they said wow that's cheap you sure that's enough money....he said last shipper was $3,200 more than me for the same run....WOW!! I'm talking about a run I'm charging $5,800 on and these are round trip loads.
     
    Foxcover, 281ric, milskired and 3 others Thank this.
  8. walstib

    walstib Darkstar

    I wasn't presenting a business model.

    You don't have to lower it a penny and I'm not advocating you do, all I was saying is you can if you're COL is lower, that's all., nothing more...
     
  9. mc8541ss

    mc8541ss Road Train Member

    1,467
    2,015
    Sep 22, 2007
    Lower Alabama
    0
    I'll get right on that!:biggrin_25512:
     
  10. mc8541ss

    mc8541ss Road Train Member

    1,467
    2,015
    Sep 22, 2007
    Lower Alabama
    0

    Once again, I own this truck or business, (if you will). Broker or shipper has a load, I haul the load for what I think is a fair price. If I can't get what I think is a fair price then I don't haul the load. That simple. I really could care less what he makes on the load as long as I get what I want. Nothing unfair about it.
    The Realtor can charge whatever % he wants. He may not get much business if he is charging to high of a percentage. And if he is somehow getting more than his agreed upon percentage then he is acting unethically. Now if you were hauling loads for a percentage it would be different and you would have the right to know what the shipper is paying but since you are hauling for a flat rate then it is really none of your business what the shipper pays. Same as if you went to a realtor and said sell my house and get me $200000. If he sold it for $300000 it shouldn't concern you because you got what you ask for. Learn to negotiate with shippers and brokers and if your not happy with the price don't haul the load. Don't spend to much time worrying about how much someone else made on it. It will drive you crazy.
     
    281ric Thanks this.
  11. just_the

    just_the Light Load Member

    290
    167
    Mar 18, 2014
    Saltillo, MS
    0
    http://www.bankrate.com/calculators/savings/moving-cost-of-living-calculator.aspx

    Thanks for the thread guys; I'm new, learned a lot!
     
    Big_D409 and Foxcover Thank this.
  • Truckers Report Jobs

    Trucking Jobs in 30 seconds

    Every month 400 people find a job with the help of TruckersReport.