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Too use brokers or not too....?

Discussion in 'Ask An Owner Operator' started by ReeferOhio, Jun 4, 2015.

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  1. Jun 4, 2015 #1
    ReeferOhio

    ReeferOhio Medium Load Member

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    I've been very fortunate to never have to drive for a mega carrier or one that has more than 4 trucks for that matter. I am self employed with my own authority and client base. So I don't know what or how the mega's operate and I'm glad I don't from what I here and see daily. My question is do the big carriers lets say over 300 trucks use brokers? I would assume an outfit that large has a solid client base, but maybe not. As I grow I get offered freight hours away from where the closest truck is (direct customer) and I am always going back and forth with whether I should use a broker to get that freight. I feel like you sign away possible business and revenue when you agree to the contract of a broker, you have to haggle over rates all the time and that's why I don't use them. I also feel as though I'm passing on possible growth and revenue by avoiding them to get to my freight. Am I being to stubborn...? I'm simply not to the point were I can be in the office all day on the phone and web looking for more customers, I'm still behind the wheel daily.
     
    ReeferOhio, Jun 4, 2015
    ReeferOhio, Jun 4, 2015
    #1
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  3. Jun 5, 2015 #2
    Allow Me.

    Allow Me. Trucker Forum STAFF Staff Member

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    The megas do indeed use brokers, but only as a last resort. If said mega has 25 trucks getting unloaded in Houston, for instance, they can probably book some of them thru their established accounts, but they either let some trucks sit or use a broker to move them. Remember, the truck co. is constantly moving trucks to move loads.
     
    Allow Me., Jun 5, 2015
    Allow Me., Jun 5, 2015
    #2
    ReeferOhio Thanks this.
  4. Jun 5, 2015 #3
    zinita17601

    zinita17601 Road Train Member

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    U mean u wanna use a broker to cover the freight your trucks cant cover or what?im not following you
     
    zinita17601, Jun 5, 2015
    zinita17601, Jun 5, 2015
    #3
  5. Jun 5, 2015 #4
    rollin coal

    rollin coal Road Train Member

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    I think you are leaving money on the table by not working with them. By all means take care of your direct customers first and foremost. But when, if you have the time, at the very least post up on ITS (or wherever) and play around with the broker thing just to see. I mean, if you are getting solid round trip rates then your best leverage with the brokers is the fact that you really don't need them at all. That can be your golden ticket in times when trucks are tight. You have to realize that sometimes brokers can get a customer to dig very deep, much deeper than you as a small operation , might be able to make them dig simply because they are needing a truck badly and maybe this particular broker is very good at covering large volume for them so once in a while he gets open checkbook on a load. These, or really any desepration type loads, are the ones you want to score. Don't waste your time trying to score any regular runs with brokers. The rates are always lousy on the consistent dedicated stuff and they are always looking for others to undercut you. The idea is to make them pay big bucks on that stuff when they have no choice. If I had good driect customers with solid rates but found myself with time on my hands in certain areas to make extra money this is how I would operate.
     
    rollin coal, Jun 5, 2015
    rollin coal, Jun 5, 2015
    #4
    x11, ReeferOhio and double yellow Thank this.
  7. Jun 5, 2015 #5
    ReeferOhio

    ReeferOhio Medium Load Member

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    Great perspective, I guess what I'm saying is I'm getting to the point were my load offers are out growing my capacity. With that I have great paying loads three and half hours away from me (drop and hook) that I pass up on because I cannot get enough consistent freight out of my directs on that particular lane. I'm really thinking it's time to start thinking of the future of my business, I'm just wrangling with trying to decide find more direct customers with the lanes I'd like to see but not always be able to service them or broker the freight but loose that ability to acquire a good customer I come across.
     
    ReeferOhio, Jun 5, 2015
    ReeferOhio, Jun 5, 2015
    #5
  8. Jun 5, 2015 #6
    ReeferOhio

    ReeferOhio Medium Load Member

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    Nov 29, 2010
    Ohio
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    I do not like to sit, but that's kinda how I think. When I can't find freight on a lane I do just try to avoid it until I can establish a customer. I really do dread using brokers....
     
    ReeferOhio, Jun 5, 2015
    ReeferOhio, Jun 5, 2015
    #6
  9. Jun 9, 2015 #7
    TennMan

    TennMan Road Train Member

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    Why not bring on another truck or 2 to take on new customers and freight then use a broker to move your new trucks until you develop enough of your own freight when needed.
     
    TennMan, Jun 9, 2015
    TennMan, Jun 9, 2015
    #7
  10. Jun 10, 2015 #8
    ReeferOhio

    ReeferOhio Medium Load Member

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    Nov 29, 2010
    Ohio
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    I'm in the process of adding another truck to my mini fleet (2 LOL). I'm so close I can taste it not needing to ever use a broker, I'm just trying to find one more customer with the lane I need and it's game on.
     
    ReeferOhio, Jun 10, 2015
    ReeferOhio, Jun 10, 2015
    #8
  11. Jun 10, 2015 #9
    Cetane+

    Cetane+ Road Train Member

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    Read your signature, go for it. Just use the same contract crap they pull about back solicitation.
     
    Cetane+, Jun 10, 2015
    Cetane+, Jun 10, 2015
    #9
    ReeferOhio Thanks this.
  12. Jun 10, 2015 #10
    Toomanybikes

    Toomanybikes Road Train Member

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    Just saying the big boy's use broker's all the time. A good portion of the OTR freight at the Mega's is open contract or brokered loads. They use load boards too. They will even use each other's load boards. No joke. I have pulled a lot of freight contracted from one Mega that was originally brokered to another Mega and then sub-contracted out.

    I don't know if that helps your decision. I also don't know If you understand why things happen like that a Mega, but they most definitely do.
     
    Toomanybikes, Jun 10, 2015
    Toomanybikes, Jun 10, 2015
    #10
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