Shippers using brokers

Discussion in 'Questions From New Drivers' started by MojoSam, Aug 6, 2013.

  1. MojoSam

    MojoSam Bobtail Member

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    This is probably a pretty obvious question, but why do shippers use brokers? I mean, why not just do it themselves. pretty easy to go onto a load board and post loads and use SAFER to see if a M/C is worth your time.
     
    Last edited: Aug 6, 2013
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  3. snowwy

    snowwy Road Train Member

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    YOU MEAN shippers use brokers????

    it would be nice if the middleman were cut out.

    i had a interesting conversation with an agent on a load i'm picking up in the morning.

    BROKERS ARE MAKING WAY MORE THEN THEY LIKE US TO THINK THEY ARE MAKING.
     
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  4. BAYOU

    BAYOU Road Train Member

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    I'll tell you first off someone in the shipping office can't spend all day on the phone and computer checking out trucking companies. Some days ill spend hours just trying to cover one load. I have customers that don't want to call five different trucking companies to see if any have trucks available and may not have any luck.

    one shipper I do loads for only call me when they can't get there (hot shot company) to cover the loads they told me its easier to call them because they can cover any load they have from pick ups to vans double drops and so on I do open deck freight and can't always cover what they need. They want to make that one call and brokers can cover what they have no matter what.
     
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  5. ‘Olhand

    ‘Olhand Cantankerous Crusty

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    Simple economics--for MANY years most shippers--did it themselves--by contracting this out to a brokerage--they eliminated anywhere from 3-50 positions--for a HUGE cost savings--even by paying a small amount more for the shipment--typically less than 15% more than they were paying--even a smaller place w/5 people in a traffic office--could save thousands of dollars a year
     
  6. STexan

    STexan Road Train Member

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    I imagine overall, a shipper can find a cheaper haul rate, faster using brokers. Dealing with carriers directly can be a hassle in the beginning, especially if you're not a large shipper and/or don't require optional outside carriers except rarely.
     
  7. snowwy

    snowwy Road Train Member

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    brokers don't call around looking for trucks. so why would shippers.

    shippers can hire a secretary or two. deal direct with us. we make more. and they save money. there's absolutely no need for a broker. cuz all the broker is. is a secretary for the shipper.

    the secretary can post loads just as easily as the broker. and her payroll would probably be 1/10 of the brokers fee.

    i've had quite a few loads that gave me there card for the next time i'm in the neighborhood. cuz they don't want to pay the outragous broker fees. a couple of them even asked what i was making. and they were PISSED. and i just made up some dumb number.
     
    Last edited: Aug 7, 2013
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