Instant O/O and Load boards

Just wanted to point out the endless supply of drivers and trucks is dwindling as carriers continue to go out of business and drivers become among the unemployed in this economy. Carriers can't survive their fixed costs let alone the decline in the rate structures. It's more so the customer who is dictating the cost to move their product. Carriers and brokers are fighting for a piece of the pie. If a broker gives the customer a better rate than the carrier, guess who's going to get it?
Then a carrier takes it at the lower rate and sometimes doesn't make any money just repositions equipment to hopefully a better location to get profitable business.
This is not entirely the brokers fault if you look at the entire picture. There are brokers who could care less about carriers staying in business and there are also shippers who feel the same way.
When I was in sales, some shippers had such low rates that I had to walk away. My company only took profitable business. I would comment to the customer that no carrier could make money at the current rate, sometimes the comment was that they didn't care, there's someone out there to take that carriers place when they go under.
No one forces a carrier to take freight that's not profitable, that's the carrier's decision or the O/O. You made a comment about the more mainstream and running trucks off the road. While there are many out there who do not care about a good carrier base, you'll find that the reputable brokerage firms do try to use the same carriers who give them good service and are reliable. Those are the ones you should try to establish yourself with, not the guy that is operating on a wing and a prayer. You really need to be paid for what you do. Always remember one thing, "Profit is NOT a dirty word" When dealing with brokers, you have to do your homework about them and also what it takes for you to make a profit.
Sorry to all of you to be so "wordy" but since I've been on both sides of the fence I tend to try to be pretty objective.

 

Objectivity is important, especially when it is difficult to see clearly when your business is about to be swallowed up whole. I appreciate the input, and it sounds like you have a good grasp of what it takes to stay in business.

I seem to interpret the larger, mainstream companies like CHR and TQL as taking the "someone will replace that driver" stance. Since they are the largest (and therefore in many ways most successful), it just seems like anyone that really wants to "make it" will actually TRY to employ a price setting policy that results in running trucks off the road. Am I off kilter on this?

One thing I have casually noticed is that many people become unemployed in a different sector, only to take up jobs in transportation. While I don't have any actual statistics to turn to, I think that for every truck "run off the road" there seems to be another nieve buyer for that truck. Slap a lower price on the thing and let it roll until that guy goes under. I know there is alot of equipment sitting out there, but with prices so low it seems there are many more people jumping into trucking. If you have the credit and savings, but the sector of your job is dried up, trucking is very attrative. Keep in mind that truck salesmen are VERY good at getting people into loans that they would normally not qualify for. Assuming things stay the same or get slightly worse for the economy in general: Do you think that there will be less trucks on the road a year from now, or more?

 

Regarding the "naive" buyer. Most of those people are looking for a way to support themselves and a family. They don't think about cost, time away, and all of the things that you all think and know about. It's a shiny truck and it's going to make me a living. Some do think it out and know what it costs but don't know how to make it work. Yes, many do fail but there are many who do figure it out and make it. Congrats to them.
The truck salesperson may do that but it's also up to the buyer to know it he/she can afford it. No guns held to the head. It's just like buying a house, can you make the payment when all else is paid? You either can or you can't. The choice really is up to the buyer.
As far as the number of trucks on the road, I sure can't predict that. If I could I'd either be at the race track betting on the horses or buying my winning lottery ticket. LOL. And yes, I would buy another truck (lots of chrome), after all I'd have to have a tax deduction. I do think a lot of indivials who are struggling right now probably won't make it unless they change their current habits and ways of thinking. The large carrier will probably down size if they already haven't and the midsize carriers will struggle. Now, please remember this in only my opinion and I'm just sitting on the sidelines as an observer right now. I will be out there with the same problems and concerns as the rest of you, if I ever get the dang truck up to par.

 

How are things going for you Rob? I haven't been on here in awhile. Mowing season is in full force, so i've been pretty busy. I hope you're doing alright. I try to catch up on the thread here and there, but I spend alot of time on lawnsite as well, this time of year. Once in awhile when I get caught up on my clients I go out and haul a little rock or sand for a buddy of mine in town. Anyhow, good luck. Hope the trucks running strong. Larry

 

Holidays screw everything up. Not trying to be cynical, but it always seems you get a good roll going for a bit & look forward to a long weekend that turns out to be a upside down two week stretch. Glad they got you several loads & this thread has been a very good read.

Good luck in N.Y. & watch those tolls up there, they hurt!

 

#### fish guy dont have them dreams keep your money in your pocket!!!!whewwwwww 1300 to dot ,,,that hurts even if its a dream

 

pharm hope you get your wiper problem fixed,im gona dig into my wiper and turn signal problem in the morn lol gots to love rainex and bright lights lol be safe rob was great talking to you, roflmao keep your leg on your shoulder and not in the elavator