How Are the BR-units Working Out?

[ATeam]

After seven years in the business this month, and with changes made at our carrier (not all for the better), Diane and I have taken a couple days off to take a deep and careful look at what we are doing, why and how. We have considered everything from staying put to changing carriers to selling the truck, and a lot in between.

One thing that came to mind but that we have been unable to find meaningful information about is the BR-unit opportunity. Not so long ago, Jeff Jones of Stoops Freightliner in Fort Wayne told me he had three brand new BR-units sitting on his lot that were for sale. These are the unsold units from the first group of 20 that were custom made by Stoops following specifications provided by FedEx Custom Critical. Since the three units have been sitting there that long, I'm thinking they might be available for an attractive price.

So, the question is, how might Diane and I fare, assuming we could get a BR-slot with FedEx? Is our present truck the best course or might a BR-unit be a better opportunity?

Another option would be to buy all three vans and put drivers in them while continuing to run our truck ourselves.

As I said, we are considering all options. That includes some that might seem unlikely at first but that we want to look into just the same.

Surprisingly little has been posted on EO about the BR-units. They have been on the road long enough to produce a history. What's the story?

 

[layoutshooter]

I don't know if those units sitting unsold for a while is a sign that they are not making money or just that people are afraid in today's economy to lay out large chunks of cash.

It is always a good thing to examine where your are at in life and determine if changes are needed. We do that all the time. Everyone should.

 

[ONESTACK]

I know of (2) teams that run a BR unit,one is doing good they say and the other is not. Also the Owner we drive for has a BR unit with a single and he's doing fair,he's also looking at buying another BR unit,at least he's talking about it.

 

[ATeam]

I know of (2) teams that run a BR unit,one is doing good they say and the other is not. Also the Owner we drive for has a BR unit with a single and he's doing fair,he's also looking at buying another BR unit,at least he's talking about it.

I know it would be second-hand info, but when you say "one is doing good they say," do you know what they mean by "doing good?"

 

[BigRed32771]

I ran into a BR o/o last year in Dallas, I think it was. He was relocating his truck to the northeast, based on his conclusion that the only place he could really make money with the truck was to work in the Northeast Corridor or mid-Atlantic.

Second hand, based on my memory, but that has been the perception of running a BR unit every since.

I certainly understand the need to do a serious re-evaluation of what we're doing. It seems to me that we're in a rigged game where we are expected to provide exclusive use custom service at LTL rates. Since LTL rates work because they can multiple up the loads, it's not a fair competition.

Good luck.

 

[jjoerger]

I talked with a BR owner (more second hand info) who told me they were doing good in the Northeast.
There complaint was that there is no room inside to sleep so they are always in a hotel. And the reefer runs off the van engine and has to be idled while waiting to pick up or deliver.
Phil, with your trucks sleeper I think you would be very cramped inside a BR. Heck, a Sprinter would just about fit inside that sleeper of yours.

 

[ATeam]

I talked with a BR owner (more second hand info) who told me they were doing good in the Northeast.
There complaint was that there is no room inside to sleep so they are always in a hotel. And the reefer runs off the van engine and has to be idled while waiting to pick up or deliver.
Phil, with your trucks sleeper I think you would be very cramped inside a BR. Heck, a Sprinter would just about fit inside that sleeper of yours.

Without question, moving into a BR-unit would be a lifestyle change and we would not want to sacrifice the creature comforts we now enjoy now in our 132" sleeper. To make it not a sacrifice, the increased mobility of the van would have to be combined with frequent hotel and restaurant use.

The question then would be, would the lower operating costs of a van combined with the BR-revenue be enough to offset the operating costs of our present truck plus the additional hotel and food expense?

My sense is, probably not. But I don't know enough about BR-units yet to definitively say.

 

[ATeam]

I ran into a BR o/o last year in Dallas, I think it was. He was relocating his truck to the northeast, based on his conclusion that the only place he could really make money with the truck was to work in the Northeast Corridor or mid-Atlantic.

I had a truck-stop chat in Upstate New York with a BR-unit solo driver who told me the same thing. He was from a different part of the country (not Dallas) but was running in the Northeast because that was where the money was.

That speaks well for the Northeast, but at what point, if any, would a saturation point be reached?

National reach is important to Diane and me. We like the long drives. We like the travel. We like the nationwide tourist opportunities. Are there any BR-units doing cross-country runs on a regular basis?

 

[1CHINGON]

So, the question is, how might Diane and I fare, assuming we could get a BR-slot with FedEx? Is our present truck the best course or might a BR-unit be a better opportunity?

Another option would be to buy all three vans and put drivers in them while continuing to run our truck ourselves.

I have a partial answer, and very reliable, given whom I work for. But realistically, do you think anyone will give you the info you need, and possibly cut themselves out of a few loads. Your post is good and on target, no problems there, but there is simply no way anyone will tell you their numbers because you may put them out of work. It can't be done. But good luck on your quest. Maybe someone won't know any better and spill the beans. Or better yet, FEDEX can answer all your questions, I hope, to your satisfaction and specifications.

One more thing. After reading this website for 3 years, I have yet to find one single post that specifically spells out what anyone has done. Generalities yes, but specifics? Haven't seen it. And only someone with a hole in their head will tell you what they are really doing.

Hope you don't get off on a wild ride and criticize this. This is business, and while I have helped a few people get into expediting, and even get on with FEDEX, I have not once showed my numbers to anyone. It can't be done.

 

[ATeam]

I have a partial answer, and very reliable, given whom I work for. But realistically, do you think anyone will give you the info you need, and possibly cut themselves out of a few loads. Your post is good and on target, no problems there, but there is simply no way anyone will tell you their numbers because you may put them out of work. It can't be done. But good luck on your quest. Maybe someone won't know any better and spill the beans.

I appreciate your point of view but experience shows otherwise.

I just today learned the name of a BR-unit owner and I happen to know him personally. That was a surprise because I knew him to be a straight truck fleet owner before. I have sat with him in the past and we together looked, live in real time, at our production numbers on the Extranet. I am certain he would share his numbers with me if I asked.

Numerous contractors create trusted friends as they meet people on the road. Sometimes they talk by phone every day about what they are doing, not doing, and what they have heard and not heard; including details of their respective businesses. I know fleet owners who say they do the same with other fleet owners. It happens naturally among people who come to know and trust each other. Some call it business networking.

As far as BR-unit owners discouraging people from bringing other BR-units on board because it will cost them loads, I have two things to say:

1. It did not bother them to enter the BR-realm and take loads from CR, DR and ER units. Someone adding one to three BR-units should not feel guilty about cutting into their slice of the pie.

2. The above reasoning presumes that the pie is only so big. What is missing from that presumption is the fact that the carrier controls the fleet size. It did not add 50 BR-units the first time. It encouraged a build of just 20. If the carrier decides the maket can support more, then more would be authorized, but not until it makes sense.

Diane and I did not protest but I'm sure numerous CR, DR and ER people howled when they saw BR-units taking freight they used to haul. There is always an onging balancing act done by the carrier to keep fleet size and customer needs in balance. If that act is not done well, contractors will leave because the money will be better elsewhere.

Exactly how well the act is being done at this moment with different kinds of trucks, is open to discussion. A move into a BR-unit would require a leap of faith that the carrier would balance things well. Just as it requires a leap of faith to remain in your present truck, trusting that your own carrier will not sell against you by bringing competing trucks onto the scene.

With BR owner business histories now available and a year or more of BR freight history behind us, the leap of faith can be supplanted with information now available. The information is out there to be gained. It's just a matter of talking to enough people online, by phone and in person to get it.

 

[LDB]

It will be interesting to see how it shakes out. I've tried various times to get enough information to make a decision. I've never been able to get enough for an $80,000 decision. I gave up and went to a $20k decision that I knew was defendable. I look forward to learning whatever new information comes to light from this.

 

[D Team Brothers]

Phil: Some truth about the BR program - Stoops has 1 of the original 20 08 vans still available. You might rightly ask why - can't sell them! There are at least 3 2010 also available with added options - and a much higher price. Why would anyone buy one of these expensive vehicle based on no reliable information about support, customer base, or income possiblities from the carrier? The original program was based on a limited number of solo-driver units placed in regions around the country. Didn't work! No area of the country had enough refrig. loads to support one, let alone a group of units. Except. the N.E. On any day a check of express ctrs. in the N.E. will show 7 to 10 BR's - and those are the one's not on loads, but waiting for their turn (yes, dispatch only sends refrig. loads out to units based on the number of loads they have had already per week trying to make sure everyone gets at least a small piece of the pie). Units from Tx., AZ., WI., OH., TN. - everywhere, are sitting weekly in the N.E. There are not enough loads in the N.E. for even 20 units, and more unit will make a bad situation enen worse. Figures: My unit is averaging 10 loads (both refrig. and surface) per month since 01/01/10. My average gross load pay is $725. Teams" I know of 3 experienced O/O who have tried teams - there just has not been enough money to keep a team in a cramped van. Having said that, there are at least 2 O/O teams driving their own units. Expenses: These vans are very expensiveto maintain. Oil, filter, and fuel filter over $300.

What can I say about the BR's: I have had my units on the road for over a year, and for the past year I have refused to put on any more. I am thinking about putting on a DR Unit!

 

[ATeam]

Phil: Some truth about the BR program....

You are the man!

 

[D Team Brothers]

Phil:

I have had the experience of driving both ST's and BR's. If I had the option of living in either your truck or my BR - I would jump into YOURS! The only advantage I see in the BR is the comfort of driving and not needing to team. It is a Mercedes and rides and drives like one. Other than that it's cramped, temp. loads are few (and you can not afford to take surface loads), maintenance is expensive, getting repairs done is difficult because only Sprinter dealers will work on them, and the profit of a BR compared to your truck is very little. Again, I would not buy another BR. That should tell you everything.

Jack

 

[ATeam]

That should tell you everything.

It does tell me everything, and more. Thank you.

 

[ATeam]

For the historical perspective, EO talk about the BR units as they were first coming out can be read here, here and here.

 

[gadfly65]

I run a BR unit out of the Alexandria, VA home express center as a solo operator, having moved from a team DR unit due to an injury to my partner. As we all know, each independent operation is different, with different revenue goals combined with other reasons. While a high ROI is important, it is not the only reason for what I do. In any event, the move to the BR has been on balance a good decision. I'm netting close to what I netted in the DR, but with some caveats:

- The BR unit is seldom a good "home" for long layovers...certainly no where near the style of your unit, Phil & Diane. Storage space is very limited, but more than the submarine I served on. As with the sub, judicial use of battery power is required. There is no fridge, micro or other tool to facilitate cooking. Clothing storage is almost nil, which will add to the winter challenge. I like the fact that there is no room for a TV, but have my Android and PC for entertainment...I have Kindle for my reading, as book space compromises other items.

-There is no generator so all environmentals must operate from the engine. Because it has new emission system, the engine cannot idle, so a separate advanced idle in required . The is also required for the TermoKing, as it is an "always on" reefer operation. The reefer and advanced idle uses about 1/2 gal of fuel/hr. Fuel consumption is very important because it only has a 25 gal tank, so you need to stop more often. It seems to take a while to use up fuel in the middle part of the gauge, but drops like stone as you get closer to E. When you get to about 1.5-2 gals remaining the gauge starts flashing, which is unnerving and tends to come on at about 5 miles after you have just past the last truck stop for 60 miles...the good news is you can fill at most gas stations, albeit without frequent fueler points. Speaking of points, you never can fill up for a shower. TA has a van program, but you need to eat $10 worth of food or buy merchandise to supplement the fuel requirements. The fuel nozzles are to big to insert into the tank so care must always be taken and the risk of back flow is high.

-Loading is more labor intensive due to close quarter securement...I'm 6' 2" and have to work hunched over. It can be problematic loading odd shaped pieces or two skids with out damaging the floor. Ours is stainless steel w/diamond plating and one nail can really ruin it. I have a plastic skid that can easily be pushed with a 500" load to the front and tailgate the second skid on the decking. I also have heavy duty furniture slides to odd pieces. Care really needs to be taken with loaders to make sure they don't get rough or run into the back of the truck which could threaten the temp integrity. Removing and replacing the bulkhead gets annoying, especially when it's raining...everything is done outside, exposed to the elements...oh well. I don't take any load over 1,000" to protect the suspension...its heavy spring, no air bag support. I'm anticipating some real adventures this winter!!

-Being solo, I'm always sensitive to positioning as I'm mile gated at 750/day and cannot go into a dock. It is easy to get stuck with the BR someplace for a long time, not unlike any other unit, just limited by load size and loading capabilities. I get alot of very good reefer loads from Dulles (IAC) going to pharma houses on the near east coast (MD, PA, VA, DE). I spent one whole week, grossing $3+K doing nothing but going between Dulles and Baltimore...unusual but it does happen. I run a triangle from Raleigh-to-Boston-to-Chicago. Anything outside of that triangle e.g., Quebec, Atlanta or Louisville requires FedEx to back the load up, or pay more or get me back...my luck at this is about as good as anyone else's, but I really try to discipline my self to this model.

-Beyond the above, the Sprinter BR is a nice unit to drive, easy to get around in and I'm back to eating at better restaurants and hanging out at libraries or book cafes. Staying out front at truck stops and closer in at Wal-Marts is easier...Targets are nice. I have complete curtains and window tints, so privacy is not a major problem. Rest areas, always a problem, but like your unit, caution is important.

Sound's like you may have already made up your mind, but hope any insights from this may help.

Bob

 

[gadfly65]

my apologies for the poor grammar...I'm not used to the small space and did not check before sending!

 

[ATeam]

Sound's like you may have already made up your mind, but hope any insights from this may help.

Helpful indeed! Maybe not so much for Diane and me, who have made up our minds to stay the course, at least for now, but for many other readers who will no doubt find your report and Jack's to be informative and helpful.

 

[ATeam]

One remaining question is, is FDCC adding BR-units at this time? Jeff Jones still has some for sale so they are available for purchase. Is there anything in the wind about building more?