Will this help or push rates into the crapper?

Discussion in 'Ask An Owner Operator' started by FlaSwampRat, Jul 11, 2019.

  1. FlaSwampRat

    FlaSwampRat Road Train Member

    Jun 1, 2019
    Valrico FL
    I'm curious to see what you guys that are out there running your own business think about this and I apologise if I missed it being posted already. When I see articles like this I think of Uber and Lyft getting people to work for no money. I worry that if you take the personal connection with a shipper out of it you will have a bunch of idiots just clicking on a load and taking it for no money. I personally don't have a horse in this race but it scares me thinking what it could do to the industry as a whole. I could be 200% wrong tho and that's why I was looking for thoughts, opinions, or experience from some of you owners out there.
    Oracle is joining Amazon and Uber in the race to digitize the 'antiquated' $800 billion trucking industry
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  2. Cat sdp

    Cat sdp . .

    Apr 8, 2012
    Orion's Belt
    Oracle sucks ...... all they do is send jobs overseas.....

    this will not help us.
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  3. RedForeman

    RedForeman Momentum Conservationist

    Jan 30, 2011
    Johns Creek, GA.
    There's a market segment for everyone. Neiman-Marcus never lost a customer because another dollar store opened nearby.
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  4. FlaSwampRat

    FlaSwampRat Road Train Member

    Jun 1, 2019
    Valrico FL
    Very, very well put. I never looked at it that way. Thanks for that, I'm betting that not a lot of people see it that way.
  5. Midwest Trucker

    Midwest Trucker Road Train Member

    Aug 31, 2018
    It worries me a hell of a lot more then self driving trucks that’s for sure. Big massive companies like Amazon and Oracle truly can take massive losses for years and it not hurt them. Certainly enough to put tons of brokers or who knows even megas out of business.

    It’s not something I’m thinking about or losing sleep over but I am paying attention.
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  6. Old Man

    Old Man Road Train Member

    Apr 3, 2009
    Oklahoma City, OK
    These companies see a truck as a truck. They are all alike. Saw a article where Amazon was missing more delivery times since they cut out FedEx and ups, got the cheapest carriers and their crap trucks to move their loads, what could go wrong.
    I think their new logistics model will be destroyed by the Christmas rush and their big savings will not happen.
  7. Ridgeline

    Ridgeline Road Train Member

    Dec 18, 2011
    Well this is just another cash cow for them, so I point to nlm and how that got screwed up.
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  8. Fairweather

    Fairweather Light Load Member

    May 8, 2018
    Owner/operator trucking is one of the last standing "mom-and-pop" industries. Most of the others have been pushed out by mega corporations. It's only natural that these super-corps are trying to figure out a way to push us out too.

    At the end of the day, though, they still need someone to drive the truck and, even though it doesn't seem like such a big deal to those of us who can handle (or actually enjoy) this job, there aren't many people who are willing and/or able to do it, even for current driver salaries.

    IMO, if these corps are planning to figure out a way to "do more for less" as far as trucking goes, it can only be achieved by robot trucks.

    Thankfully, that will still be awhile.
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  9. FlaSwampRat

    FlaSwampRat Road Train Member

    Jun 1, 2019
    Valrico FL
    That's what they used to tell at at Union meetings. They can cut cut cut but until the boxes walk themselves up to the door we were good.
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  10. SteveScott

    SteveScott Road Train Member

    Nov 10, 2015
    I've known about this deal for a couple years. Before I was a driver I did some consulting work for an Oracle subsidiary and knew they were going to be investing heavily in freight logistics. Working for them is why I chose to get into trucking after retiring from a 30 year career in insurance marketing.

    At this point, apps like Convoy, Uber and now this one are good for O/O's. As their market share increases and more shippers start using their services, it will decrease the broker's share of the market, and make finding loads much easier for us. No more leftovers after the brokers hand out the good loads to their preferred customers. The loads get posted on the open market and the first person who sees it gets the load. No dickering on price and no factoring to get your money in a reasonable time frame after it's delivered. Everything is automated including detention and layover pay.

    There will always be bottom feeders that will take a load at $1 per mile or less, but the longer I use these apps the more I see shippers begin to see the advantages. I've talked to a number of shippers that use the apps and they love them. I'm not very worried about Amazon getting into general freight too much because they're more concerned with moving their own freight for as cheap as possible, and they aren't interested in what everybody else is doing. Hopefully it stays that way.

    If anybody should be worried about these new systems it's brokers. I think the freight brokering industry is going to slowly disappear over the next decade.
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