Which run would you take?

OntarioVanMan

Retired Expediter
Owner/Operator
Without knowing the same information that he was given, it's a little hard (and unfair to ask) to make an informed decision. But, with the conditions presented, I'd have taken the higher-per-mile paying run. More revenue on less miles is more money in your pocket in the long run. CPM is CPM, and whenever you can maximize the revenue per mile, do it.

However, load A is 10x the weight of load B is meaningless, so why tell us that? If load B is an envelope, then the weight of A is irrelevant. If B is 350 pounds, then the weight of A becomes the deciding factor.

Also, where each load delivers would likely be the deciding factor, in any case.

yeah you got a point about the CPM....hmmm making me think now....:eek:
 

piper1

Veteran Expediter
Owner/Operator
Dunno if you mean me Doug but fuel is just part of my CPM all my other overheads get blended into it as well including *gasp* some money for good ole Dave to drive the truck.
 

OntarioVanMan

Retired Expediter
Owner/Operator
Dunno if you mean me Doug but fuel is just part of my CPM all my other overheads get blended into it as well including *gasp* some money for good ole Dave to drive the truck.

Piper..do they bump you up when in the US to the first position on loads coming back to Canada? I heard they do because you have no other choices....as I mean you can't do interstate...
 

DougTravels

Not a Member
yeah I did, but now I understand. Smart way to look at it.


And OVM, sure I tell you a couple of times I think A is better cause of the rate, but it is Turtle who makes you think twice. No Respect, just be glad I'm used to it. :cool:

I still stand by my 1st response I woulda prob lost em both counting on my toes figuring.:)
 

piper1

Veteran Expediter
Owner/Operator
Piper..do they bump you up when in the US to the first position on loads coming back to Canada? I heard they do because you have no other choices....as I mean you can't do interstate...

They do their best to get us home. We do get some extra points so to speak but I still have to be in the right place and have the right equipment etc. I don't know how much it bumps us up the line but it must. It would be almost impossible for an American carrier to keep a Canadian guy happy ($$) if this wasn't the case. I'm pretty sure it works the same up home, US guys get first dibs on US stuff cause they gotta cross the fence.
 

OntarioVanMan

Retired Expediter
Owner/Operator
yeah I did, but now I understand. Smart way to look at it.


And OVM, sure I tell you a couple of times I think A is better cause of the rate, but it is Turtle who makes you think twice. No Respect, just be glad I'm used to it. :cool:

I still stand by my 1st response I woulda prob lost em both counting on my toes figuring.:)

Hey..I didn't say I changed my mind...I said I am thinking now!*LOL*

and still thinking....:rolleyes:
 

OntarioVanMan

Retired Expediter
Owner/Operator
They do their best to get us home. We do get some extra points so to speak but I still have to be in the right place and have the right equipment etc. I don't know how much it bumps us up the line but it must. It would be almost impossible for an American carrier to keep a Canadian guy happy ($$) if this wasn't the case. I'm pretty sure it works the same up home, US guys get first dibs on US stuff cause they gotta cross the fence.

I think you get the better deal...you can always go to the border and pick up cross-docks because some of them won't cross....where Canadians will cross both ways.....we know how to work better!! *chucklin*

you have the transponder for getting into the US???
 

Turtle

Administrator
Staff member
Retired Expediter
Like I said, it's impossible to make an informed decision based on the information given, but, all things being equal, the shorter run that pays more will maximize the revenue per mile, and since it delivers Saturday morning, there's at least a chance of getting another load on top of that one before Monday even gets here.

But looking at CPM, you need to look at that in terms of whether or not your time and labor are included in your CPM figure. I pay myself 32 cents per mile, which goes into my CPM figure. It's a good yardstick to measure overall actual net profits with. One load grosses about $150 more than the other one ($199.20 less difference in fuel). Is that $150 worth your time and labor to be on the clock until Monday, or are you actually better off taking the more profitable load and maybe getting a secong load on top of that one? Only your hairdresser knows for sure.

But regardless, let's say you have a CPM of 40 cents per mile (a number picked at relative random, but should be in the ballpark for most vans). One load pays you 70 cents, leaving you a profit margin of 30 cents per mile $220.80 for essentially 8 more hours of driving and 2 days of sitting on the load). The other one pays $1 a mile, leaving you with a profit margin of 60 cents per mile ($189.60 for about 8 hours work). Now you're looking at about a $30 difference in gross profits. Is sitting on the load for two days worth $15 a day to do it, or would you risk that $30 for a chance at another load, and less wear and tear on the van?

More revenue per mile, even on fewer miles (within reason, of course), is usually going to be more in your pocket in the long run. Less wear and tear means fewer opportunities to break down while under load, less time at the repair shop over the life of the van, lots of things.
 

piper1

Veteran Expediter
Owner/Operator
you have the transponder for getting into the US???

Nope, it's never come up that I needed it. I haven't paid the 10.75 fee in 12 months. I do throw my FAST card up by the window so the readers will zap it.

Now I'm confused...I think I'm missing your jist here....
 

OntarioVanMan

Retired Expediter
Owner/Operator
Nope, it's never come up that I needed it. I haven't paid the 10.75 fee in 12 months. I do throw my FAST card up by the window so the readers will zap it.

Now I'm confused...I think I'm missing your jist here....

DHS hasn't made you pay the $10.75? darn..they must like you....
 

P51bombay

Expert Expediter
Maybe ask if there is a load of hockey gear going to Vancouver late Thursday evening -I'm thinking not. LOL :D
 

MR.SNAPPY

Veteran Expediter
Owner/Operator
The first question I would have to ask would be. Are there any pre booked loads for monday from area A or area B. 2ND question how many trucks are in these areas and how many in route

A average area with 10 trucks ahead of me suddenly becomes a bad place to sit.and how many miles away to a better area if I need to dead head from each location.

The last thing I would have to do is stop and buy a lottery ticket ,because my luck must be changing to get 2 load offers in a day.......
 

fastrod

Expert Expediter
I would have a hard time deciding if I wanted to run for a buck a mile and I know I would never haul anything for .70 a mile. That is cheap freight but I guess as long as they can find someone willing to run it that cheap they will keep offering it.
 

miker

Seasoned Expediter
I'd be happy just because there was 2 loads to choose from and not sorry but this is all that we have, but being in your situation considering the system that you work with, I think that I would've taken load A as long as the weight wasn't over the GVW.
 

LDB

Veteran Expediter
Retired Expediter
I would most likely take load A but there isn't enough information. What are the weights of the two loads? As stated, 10# and 100# is a far different decision than 300# and 3000#. Where is the shipper? Where are the two consignees? If one option is all flat plains and the other mostly hills/mountains that makes a difference, especially if the light load is plains and the heavy load mountains.

A has 70 mi DH so B also has 70 DH. When you say $1 and .70cpm that suggests total money of $386 and $564 unless Mr. Scott is beaming you to the shipper so it costs $0 to get there. That means B has 420 more miles for $178 more pay or 42.4cpm for the added miles. I can only guess at the variable cpm for a van and would put it at 25cpm diesel and 29cpm gas.

How many units in A and B? Since they were calling me I'd find out how many in each location at time of dispatch. Presuming the same number of units in each destination I'm most likely going to take load A and accumulate dwell time for Monday.

If the $1 and 70cpm are only on loaded miles then A pays 82cpm and B pays 64cpm for the runs making the pay for the 420 added miles even less.
 

OntarioVanMan

Retired Expediter
Owner/Operator
After sleeping on it...I'd change my mind and go with the shorter run...since you were picking up I am assuming Friday afternoon a 316 mile run is only 6 hours drive time and you had till Saturday morning to deliver....assuming again....speed is out of the equation...so mpgs would likely be close or the same....and knowing our weekend load planner for those whom work like yourself....good chance of a weekend load....
 

60MPH

Expert Expediter
A - hands down, less time on load and the most important thing higher rate per mile means more money in your pocket after total expenses. Weight would not be a factor as long as it was safe and legal. I have found that short loads are usually the best one's to take because the RPM is always higher and I can get off them quickly and they keep me in MY service area.:D But still as most are saying there is not enough info there. Where it is going is a big factor but a 316 mile load in MY service area will most likely keep me in MY service area the longer load would not. Other units available do not hender me as I am independent. Most of MY customers are in MY service area so that is where I like to stay so I can cutdown on DH and service MY customers better.
 
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Moot

Veteran Expediter
Owner/Operator
More miles equals more dollars.

Mi. x $ = more $.
Mi. x 2 x $ = even more dollars!

The more miles, the more dollars! Gots to keeps doze wheels rollin! Yeah, me and S. Pruitt doing our thing. Big wheels rollin', movin' on.
 

OntarioVanMan

Retired Expediter
Owner/Operator
More miles equals more dollars.

Mi. x $ = more $.
Mi. x 2 x $ = even more dollars!

The more miles, the more dollars! Gots to keeps doze wheels rollin! Yeah, me and S. Pruitt doing our thing. Big wheels rollin', movin' on.

If I remember Moot...you've always said to newbees...it's not about the miles....it's how much money in them miles....are you backtracking? a lesson in Mootology
 

flattop40

Expert Expediter
I specificly left the exact locations out for the reason of every carrier does better or worse in different areas. Based on locations I knew there will be very little compitition when unloaded from being in the areas in the past. The weight I will get more specific. Neither put me over gvw because E-1 will NEVER give you the option if it does. Load A has a weight of almost 3000# and load B is 300#.

Sure load A got you available for a possible weekend run but I can't remember the last time I got one of those but it did start the sit time alot sooner for monday as previously stated.

In my van, which is gas, on a heavy load such as A I will get 17-18 mpg, on a lighter load will get 19-20 mpg.

Oh and by the way I got an extra $10 for the DH so that covers the cost of the DH fuel.
 
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