What is Cheap Freight, Really?

ATeam

Senior Member
Retired Expediter
With talk of the trucker strike, fuel prices, owner-operator failures and increased media attention on the trucking industry, the words "cheap freight" have been bantered about quite a lot.

In the interests of clear thinking and intelligent discussion, can someone share with readers here just what cheap freight is? Cheap freight is often said to be something we are not supposed to haul because it hurts ourselves and other drivers if we do. Fair enough, but what EXACTLY is it that we are not supposed to haul?

What is cheap freight, really?
 

x06col

Veteran Expediter
Charter Member
Retired Expediter
US Army
Is simply below the floor that whomever has established as minimum. some "floors" however, are pretty wild, for a wide range of reasons.
 

dabluzman1

Veteran Expediter
Retired Expediter
cheap frt....it goes BAAAAA BAAAAA BAAAAA

Its all relative. What do you need to make money.
Cheap for you may be really great for me.
Do I need a run, any run to get out of a bad area? Then cheap frt may be great frt.

Oh yeah..........baaaaaaa baaaaaaa baaaaa
 

Moot

Veteran Expediter
Owner/Operator
Cheap freight is often said to be something we are not supposed to haul because it hurts ourselves and other drivers if we do. Fair enough, but what EXACTLY is it that we are not supposed to haul?


Scissors are often said to be something we are not supposed to run with because we could hurt ourselves and others if we do. Fair enough, but what EXACTLY is it that we are not supposed to run with?
 
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greg334

Veteran Expediter
Is simply below the floor that whomever has established as minimum. some "floors" however, are pretty wild, for a wide range of reasons.

This really said it all..

Moot said it the best....

But I wonder how much Phil see as cheap fright? does he get the $1.05 a mile offers or they don't bother him with it?
 

arkjarhead

Veteran Expediter
I'm going to weigh in and try to answer your question Phil. Let's just say it costs you a dollar a mile to run your truck. 1 dollar is a good even figure that's why I picked it. Well I know I could run for a company and make 36 cents a mile as a company driver without some of the headaches I would have as an o/o. SO I would want more than 1.36. I'm guessing if my cpm to operate was 1 dollar per mile I would want 1.60 per mile at least. Let me emphasize at least. That way I'm putting 60 cents in my pocket before taxes and making more than I would as just a driver. Others may say that is cheap or off base. That's just what I think.
 

nightcreacher

Veteran Expediter
Question? 10 truck drivers are sitting in Orlando,not many loads out of Fl,and usually if on a load board, probably will be cheap. These 10 drivers get together and say,lets not haul anything cheap.They are there couple three days,and now what loads are coming in are not paying what the 10 guys think they should.Couple days later,broker is getting anxious,so he puts the loads to $2.50 per mile,now these guys get their rate,buthang on,there aren't enough loads for the 10 of them,guess what? Each of them is cutting the rate til its back to the beginning.Supply and demand.
 

Moot

Veteran Expediter
Owner/Operator
Alex: Scissors are often said to be something we are not supposed to run with because we could hurt ourselves and others if we do. Fair enough, but what EXACTLY is it that we are not supposed to run with?

Alex: Moot

Moot: Um like scissors man, ya know!
 

cheri1122

Veteran Expediter
Driver
Cheap freight is whatever you say it is, and ATeam is certainly smart enough to know that, so why ask?
 

jaminjim

Veteran Expediter
And the above answers are the reason that the dreaded brokers get the money they get and pay you what they pay.
 

Doggie Daddy

Veteran Expediter
A good comparison could be made with what someone mentioned in another thread. $1.43 all miles would not be something that would be "fun" to read on the Clink,not in these times of spiraling fuel costs.DD.
 

LDB

Veteran Expediter
Retired Expediter
At least full rate plus $gal*.1 fsc is an acceptable offer. Anything less than that is inferior and requires additional consideration. Once all factors are looked at it may still be a good offer or a bad one.

Since we can face up to 100 miles deadhead without any d/h pay I'd consider $1.43 all miles an excellent offer or a good offer or a fair offer depending on all the details. If the person posting says it's a good offer then it is since they know what they are talking about and nobody else can speak for them.
 

OntarioVanMan

Retired Expediter
Owner/Operator
Lets stay with straight truck talk and prices since most of ya are of that persuasion...So I haveta DH normal 500-1,000 miles to get home you mean I should turn down a 1.15/ mile run?? and why??? On principle???? Not highly likely...it's your principle not mine...don't push what price you need to run unto me...It's my business, if I can live with it and think it's fair thats all that matters....You make your decisions, I make mine.

And that makes me an "Independent Contractor"
 
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