Freight Rates

Control of wants will sustain your needs. When running the 10 - 12 units 60% of our local outbound costumers where paying rates .05 to .10% higher than my competitors. Based on our loyalty to each other, and a understanding that things go wrong, and you deal with it and move on. This concetration was heavy specialized up to 106500#, flat/step and dump trailer. Nucor steel called on a Saturday evening and needed a roller pick up in Nitro WV cause their plant was down, yea I charged a premium, but not so much I could still leverge flat bed rates for direct shipments of I beam loads, without feeling, well like an ###. No insult intended to anyone. But I used it as has an opurtunity to enter in a direct market that I was otherwised overlooked just because of capacity limits.
I was running a business that my 3 Drivers, and my 6 very loyal and 2 or 3 revolving door Leased owners expected from me to secure decent sustainable rates so they to could prosper. As a single O/O now, and after the great recession I supposed the landscape as changed, more meanfull for the 30 somethings than this older guy. Not saying if its right or wrong, its not the cloth that my training from the late 70's early 80's was cut from.

 

My grandfather did business on a handshake. Times change. Good, bad who can say. I'm good on my word but don't run across many from the other side of the table that are trustworthy enough to roll out with on their word alone. Times change. The internet, smart phones. Things are moving fast. Thinking back to another thread on the topic of useful apps. I think some guys who wish for brokers to be a relic of a bygone era should be careful what they wish for. You have to be flexible and adapt. When brokers are gone and it'a all a matter of a smartphone app booking freight i'm on it. You can't resist that you have to embrace it or you will be left behind.

 

Let me tell you, I do not let anyone dictate what I'm going to charge for my services that I am willing to provide to someone, tell me what industry that the consumer tails others what they are willing to pay for what they're offering.....

Way too many drivers these days do not understand they are the ones providing the service stop letting others tell you what you're going to make I can't go to my mechanic and tell him that I'm only going to pay him $40/hour same with gas or The clothes on your back stop letting brokers or shippers tell you what they're going to pay you!!!

 

I did think of one. Used cars. And think about it, used car salesmen are expert negotiators and salesmen. I suppose anything that involves buying and selling used items may involve haggling price. But as far as a service that involves providing use of 10's of thousands worth of equipment, and substantial time, forget about it. You'd probably get punched in the face if you went into a heavy equipment outfit and told them "what it pays".

I thought of something new to use next time I go for a broker load. Introduce myself as usual, then...

"I'm calling regarding the load you have advertised on ITS from A to B."

It seems to me throwing the word advertised in there suggests that they are selling to me, I'm not sure if I want it, I'm shopping. They're selling, give me a deal.

Also, it's just kind of a bit off. It's a legitimate use of the word, but I really doubt if they have many people using that term. It throws a bit of confusion their way. Which I think you want.

You guys probably think I'm nuts, but wording is important, I've known a few people that were just brilliant at it, once they got all their statements and rebuttals down they were totally bulletproof. let me know what you think.

 

You could say that but you're just as well to say whatever you normally would. In a hot market when I call on loads the mere suggestion after they give me a few meaningless load details, that OK i'm not interested, when that market is hot and they can't find trucks they will beg you to stay on the phone. Doesn't always mean they are willing to meet your price but is a good indicator when you are calling and inquiring if a market is any good. Because most times when you call you lose but if they are desperate and show you their hand then it's time to start slapping them around a little. I'm excited I got a good load tonight that delivers to a hot market in the morning. Option of last resort deadhead home 330 miles and still be set really well. Other option book marginal rate early in the morning on a load back to TN and be done with it have a solid round. Option I'm taking click on loads and take calls, maybe even make a few, around 2pm tomorrow and see what kind of good rate I can score back to TN $3+ per loaded mile. Worst case scenario I lose a day but I don't see it happening. Having options and not living on a razor's edge is good. There's really nothing worse than a wing and a prayer hoping you can score a reload that makes a decent round, that always sucks. Game on looking forward to it.

 

Tomorrow is one of those days when I have to earn a rate the hard way Double Yellow and you would want to be a fly on the wall.

 

"Your call may be monitored for quality assurance" + https://play.google.com/store/apps/...der&pcampaignid=APPU_1_S4gGVeWMJ4qcgwTv9oOwAg

 

Do you guys see any year over year trends in these hot markets? Say for example, every time August rolls around you know the demand for a load of widgets leaving Chicago is going to be high. Or the NE is getting pounded with snow and rates are moving higher just to get stuff moving? I would think someone would have a spreadsheet laid out on which markets are the best to hit depending on the time of year.

I am a long way off from being a O/O but I'm fascinated by how this stuff works. I use to work as a bike messenger in NYC back in the early 90's and after a few years I learned to work certain months to make the most money like delivering fashion samples and photo portfolios in the spring or delivering lawyer docs on bad winter days when nobody else wanted to ride I could charge double/ triple compared to the rest of the year. Just wondering if there is some method to the madness.

 

That's exactly why I keep a detailed ledger on every load. Nothing fancy just hand written but has everything i've done for the past 3.5 yrs. The thing is you can never pinpoint exactly the trends. It is useful info but no 2 years have been exactly the same. I remember the year before last July stayed busy almost the entire month which bucked the trend of the year before and the one following. And went against what I thought would happen.

 

I carry 2 previous years and the current year weekly planners. Its used as almost a defacto dispatch reacord, trip numbers are born and load info, customer, rate ect. It seems that I get on jobs, last year Zachary LA, Brighton CO. You kinda work these in the lanes you run, Va la, tx. Nw. Some last 4wks, some 6 mos. I also carry 12 - 24 mos detailed fuel ledger, mpg, cpg, gals, cost per mile, monthly totals and YTD totals. I know fuel cost for are down approx .14 per mile from this time last year. Last year I finished at 7.01, this YTD 6.95. I can cross reference fuel data to load lane data. Fuel cost per mile Year ending '14 was .51, for '15 to date .38 per mile.
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