is there any hope for cargo vans

layoutshooter

Veteran Expediter
Retired Expediter
Vans, just like the rest of us, have to be nibble and quick to change with the times. There will always be a place for vans, but only the ones that can keep up with the changing business.
 

greg334

Veteran Expediter
The funny thing is I am amazed at the amount of people who still buy the shortys now and some who want to buy new without thinking ahead.

Many of them think that they will be on with FedEx forever but thats not the case with many. Maybe I am wrong but the amount of FedEx trucks for sale seem to be higher than other carriers - meaning the trucks were in the fleet when the owner gave up.

Is there an ROI in their future? :D
 

guido4475

Not a Member
The funny thing is I am amazed at the amount of people who still buy the shortys now and some who want to buy new without thinking ahead.

Many of them think that they will be on with FedEx forever but thats not the case with many. Maybe I am wrong but the amount of FedEx trucks for sale seem to be higher than other carriers - meaning the trucks were in the fleet when the owner gave up.

Is there an ROI in their future? :D

As far as Fed-Ex s/t's for sale goes, I think it is a case of contractual requirements on the age of the vehicle.
 

greg334

Veteran Expediter
Guido,
The problem with the idea that they need newer trucks has to do with their image and nothing else. A lot of older trucks that are taken care of are as dependable as newer ones.

Like my former employer, the image of the company trumps anything else.
 

jaminjim

Veteran Expediter
Guido,
The problem with the idea that they need newer trucks has to do with their image and nothing else. A lot of older trucks that are taken care of are as dependable as newer ones.

Like my former employer, the image of the company trumps anything else.

The image of the (any) company is the difference between drivers being busy and not being busy.
 

greg334

Veteran Expediter
The image of the (any) company is the difference between drivers being busy and not being busy.

I would agree with you on the point that the carrier is the factor involved but not the customer. Shippers don't come running out and looking at the truck, "oh look that truck has fancy flashy lights, we got to use them" but rather care about performance and cost.

If your carrier (not your's jim but rhetroically speaking) is one that favors appreance over performance, then then favoritsm and kissa** performance is also taken in acocunt on who get what work - in other words if you are a company man, then you get rewarded accordingly.

Branding of a product or service, like FedEx (I am using them as an example) is not about performance or service but how to convince the person to think about FedEx when they need their stuff shipped. They, FedEx takes in account what the name on the side of the truck represents first and foremost and then the vehicle (no pun intended) that is communicating that name into the minds of the possible customers. \

Unlike Landstar and a few other Carrier, FedEx is not a carrier per se but a package transport company that has a wide range of services offered to the customer to keep the customer. Their concern is not capturing that custom critical shipment but rather capture the more competitive package shipments.
 

Doggie Daddy

Veteran Expediter
Maybe I am wrong but the amount of FedEx trucks for sale seem to be higher than other carriers - meaning the trucks were in the fleet when the owner gave up.

:D


But Greg, how do you know that the owner gave up ?

Maybe,just maybe those trucks were deemed unfit to wear the Fedex logo by the company's new hotshot inspector.;)
 

OntarioVanMan

Retired Expediter
Owner/Operator
Right now if you sign a new CV on with Panther new contract rates are .70 mile.

And THAT is unfortunate...it eliminates them at least for me right out of the market.

That is a rate for newbees whom are desperate for a paycheck or for someone like me that has a low CPM, van paid for and no mortgage. It is nothing short of slave wages.

Any carrier that offers .70 should be ashamed of themselves for even offering that low...
They are the ones that have market control, THEY alone bid on this low freight They alone set-up the circumstances to allow shippers to get away with low prices...Yeah, yeah....supply and demand...I know just whip out the old excuse!! If carriers had a set and really cared about us Operators they'd leave the freight on the dock where it belongs! Carriers only lip sync that they care....
Here's one...next time ask your carrier what is the approx cost per mile for a C/V to make a living and see how many know...
 

greg334

Veteran Expediter
OVM,
I may not be remembering my days with that first carrier right but our contract said 77 cents a mile for all approved loaded miles unless it was a "sprinter" load (God I hate that term) then it was 80 cents a mile. Now there were times where I would get an offer for a load that was 65 cents a mile, or 69 cents a mile or what ever because it was a customer with a "contract". Of course this excludes FSC.

So at 70 cents a mile, it seems if they always gave you that without any discounts and give you the miles, then it doesn't sound that bad with the reduced overhead you vanners have.
 

OntarioVanMan

Retired Expediter
Owner/Operator
OVM,
I may not be remembering my days with that first carrier right but our contract said 77 cents a mile for all approved loaded miles unless it was a "sprinter" load (God I hate that term) then it was 80 cents a mile. Now there were times where I would get an offer for a load that was 65 cents a mile, or 69 cents a mile or what ever because it was a customer with a "contract". Of course this excludes FSC.

So at 70 cents a mile, it seems if they always gave you that without any discounts and give you the miles, then it doesn't sound that bad with the reduced overhead you vanners have.

I understand that Greg.and all that supply and demand stuff...
BUT how low can carriers and shippers demand we go...?
The rates are really squeezing the family man out of the business to be able to support a family.
Can anyone with a truck payment, car payment ,mortgage, HC care and any kind of life maintain a standard of living condusive to any where prosperous?
 

transporter

Expert Expediter
i seen the new fedx reefer sprinter at the expo nice looking. BUT at $70,000 a copy I personnally would never be able to justify that cost. It appeared to only handle 2 skids 48 by 48.
Yes I am sure fedx has a few customers that pay well for that service but enough loads to recoup $70,000.
 
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