Capacity in a tight market
Down below I talk about how to create capacity in a tight market, but first a little backstory. For thirty years I was a freight broker. I also trained at least a hundred more. This trick is in every broker’s book and could raise your freight rates. Here is a link (below) to the full LinkedIn article on it.
Summary of how to not use the spot market
Here is a summary but by far not the complete story. Essentially when you go to get a quote from multiple brokers, they are immediately posting that load to the load boards causing near outrageous load to truck ratios. 10 to 1 or 20 to 1 load ratios are not realistic and in fact are not true except for posting. The truckers see this and jump from broker to broker to see who will pay them the most. The net effect is freight rates go up.
Your intentions are good but your tactics need brushing up
While your intentions, to get the best rate are good in normal circumstances they actually hurt you when taking your freight to the spot market. Doing all your business with contracted carriers is probably also not realistic as they too see these tall rates in the spot market and dedicate ever growing capacity to the spot maret while telling you no trucks available. They are not dummies.
All carriers are short of drivers due to electronic logs and an economy on the upswing. We do have tactics deployed through software, that can help you manage through this capacity shortage but they’re proprietary and you have to talk to me to get them. Remember I was a broker for 30 years, I know all the tricks.
A link to the whole story
Here is a link to Confessions of a (Freight) Broker https://www.linkedin.com/pulse/confessions-broker-tim-taylor/
To get my advice on how to create new capacity in a tight market, write me at firstname.lastname@example.org or call me at 952-777-4421 also visit us on the web at www.shippersedgetms.com