Freight rate still trending lower

MANIAC

Seasoned Expediter
Sitting in racine, wi, got several calls on loads, none came through! Shippers don't want to pay premium rate for expedite service! I say screw them, let their freight rot on their dock!
But, there will always be joe blow bottom feeder that will truck a straight truck load for .78 cpm and think he is making good money! Just hurry up and go bankrupt so we can get the rates back up to where they belong!
 

moose

Veteran Expediter
You can expect more of the above. the new HOS kick-in July first. after that you can expect more expediters running cheap as they try to keep some income into the few hours left to drive.
soon after you can expect more truckers getting into expedite seeking a compliance shelter.
this will mainly effect vans.
or you can blame Sylectus, what ever float your boat.
better be prepared & willing for cheap freight, it's gonna be here for a while.
one thing you CAN do is demand your carrier to opted out of the Sylectus networking. as long as you are there, your carrier have very little insensitive to keep you moving with good paying freight.
 

skyraider

Veteran Expediter
US Navy
Sitting in racine, wi, got several calls on loads, none came through! Shippers don't want to pay premium rate for expedite service! I say screw them, let their freight rot on their dock!
But, there will always be joe blow bottom feeder that will truck a straight truck load for .78 cpm and think he is making good money! Just hurry up and go bankrupt so we can get the rates back up to where they belong!
Blair will run it for 65cpm, they did in the past..............
 

Dynamite 1

Moderator
Staff member
Fleet Owner
He's always been cheap. We never will be and I'm sure we will find a solution to keep us moving at what we are use to.
 

OntarioVanMan

Retired Expediter
Owner/Operator
You can expect more of the above. the new HOS kick-in July first. after that you can expect more expediters running cheap as they try to keep some income into the few hours left to drive.
soon after you can expect more truckers getting into expedite seeking a compliance shelter.
this will mainly effect vans.
or you can blame Sylectus, what ever float your boat.
better be prepared & willing for cheap freight, it's gonna be here for a while.
one thing you CAN do is demand your carrier to opted out of the Sylectus networking. as long as you are there, your carrier have very little insensitive to keep you moving with good paying freight.

Yes It will effect the vans....in a GOOD way....less straights out there,:) vans hopefully be busier and get a better price.....as always.....IMO
 

cheri1122

Veteran Expediter
Driver
Yes It will effect the vans....in a GOOD way....less straights out there,:) vans hopefully be busier and get a better price.....as always.....IMO

I don't mean to bust your chops [the other guys do it anyhow, lol], but my last load and my next are over 11k - how many tuna cans does it take to equal one straight truck?
Granted, they're not all that heavy, but most are more than double the Sprinter's wt capacity. Unless your rate drops significantly, it's just not cost effective to use several vans instead.
[And if shippers decide to consolidate & use LTL instead, I'll be in the same boat!]
:eek:
 

guido4475

Not a Member
Yes It will effect the vans....in a GOOD way....less straights out there,:) vans hopefully be busier and get a better price.....as always.....IMO

With all the new rules and regulations coming out now and in the future, I am really going to be surprised to see a solo straight truck driver/ owner-operator make it financially running legally.
 

OntarioVanMan

Retired Expediter
Owner/Operator
I don't mean to bust your chops [the other guys do it anyhow, lol], but my last load and my next are over 11k - how many tuna cans does it take to equal one straight truck?
Granted, they're not all that heavy, but most are more than double the Sprinter's wt capacity. Unless your rate drops significantly, it's just not cost effective to use several vans instead.
[And if shippers decide to consolidate & use LTL instead, I'll be in the same boat!]
:eek:

You are going the way of the 33 rpm record , 8 track and Windows 3.1.....obsolete....a solo straight who runs legal and makes a wage that supports a properly maintained truck, feeds the owners need and the drivers need...
now time for a short joke here?...:p...LOL
 

zorry

Veteran Expediter
Not long ago I did pretty well in a solo straight .
Had liftgate,tandem,hazmat,IAC.
Lived near Chicago. There's enough freight within 500 miles of Chgo to do OK.
Most places,no.
 

ATeam

Senior Member
Retired Expediter
Sitting in racine, wi, got several calls on loads, none came through! Shippers don't want to pay premium rate for expedite service! I say screw them, let their freight rot on their dock!
But, there will always be joe blow bottom feeder that will truck a straight truck load for .78 cpm and think he is making good money! Just hurry up and go bankrupt so we can get the rates back up to where they belong!

Waiting for the bottom-feeder to go broke and wash out of the business is not a solution because as soon as one does, another will appear. Shippers know this and many of them count on it. They know that if they put freight out on their dock and are willing to wait, someone will come along to haul it cheap.

Before getting too judgemental about that, note that all of us do the very same thing. When we order something from Amazon or another online source, shipping options are made available at different prices. If we don't need the item immediately, we do not choose the overnight option at a high price because we feel an obligation to support the pilots and planes at FedEx or UPS. We choose a slower, surface transportation option because it is in our financial interests to do so.

So too with shippers. They do not care, any more than we do, about the drivers and companies who transport their goods. They care only about getting the goods delivered safely and on time. The day you start tipping every delivery person who brings something your way $20 and you select the expensive shipping options because you want to support drivers is the day you can legitimately complain that shippers and consignees don't care enough about your well being.

You are not entitled to shipper consideration for the purchase and operating costs of your truck and desire for a living wage any more than a college graduate is entitled to employer consideration for the graduate's student loan burden.

Expediters do not succeed by getting carriers, shippers and consignees to care about them. They succeed by meeting the needs carriers, shippers and consignees have; and while meeting those needs, running businesses in which their revenues exceed their costs, and in which the profits, once earned, are managed well.

If carriers, shippers and consignees are not willing to pay enough for you to earn a profit, the logical thing to do is get out, or to modify your approcach such that a profit can be earned.
 
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xiggi

Veteran Expediter
Owner/Operator
Yes It will effect the vans....in a GOOD way....less straights out there,:) vans hopefully be busier and get a better price.....as always.....IMO

They will makes adjustments and survive just like vans did starting in 08.
 

OntarioVanMan

Retired Expediter
Owner/Operator
They will makes adjustments and survive just like vans did starting in 08.

Exactly....the demise of the CV never came about....but adjustment and fine tuning did.....
the solo straights will adjust their business plan accordingly....:)
 

guido4475

Not a Member
Exactly....the demise of the CV never came about....but adjustment and fine tuning did.....
the solo straights will adjust their business plan accordingly....:)

In other words, adjust their way of business to that of what the government regulates them to do.
 

ATeam

Senior Member
Retired Expediter
Exactly....the demise of the CV never came about....but adjustment and fine tuning did.....
the solo straights will adjust their business plan accordingly....:)

OK, OVM, you got me curious.

What adjustments and fine tuning exactly did cargo van operators make? How are their operations different today than they were a decade ago? Are they making more money today than they did before?
 

zorry

Veteran Expediter
I think the adjustment and fine tuning was to teach the better half to love on less.
Lower the thermostat. Eat cheaper,etc.
The take home is smaller.
 
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