Whats is with rates and freight

wesward

Member
10
Isn't it funny how when brokers need us rates are good now that freight is slow they feel the need to degrade us on the rates
do they forget we were there when they needed us to help?
Come on people let get it together and work together so all make money.
 

loaders

Site Supporter
30
Keep in mind Wesward, that carriers determine freight rates, not brokers. If a carrier agrees to provide a service for a certain rate, even though you and everybody else might think he is crazy to work for such a measly amount, he has set the rate not the broker. Remember, as a provider of the service, you can always say no. Perhaps if more carriers learned to say no, or didn't get themselves into situations where they are forced to say yes, we wouldn't be having this recurring discussion. Another way to get off this merry-go-round, is to forge good working relationships with a handful of reputable brokers who can provide you with freight for the lanes you service. I agree that it is not easy and is certainly not going to happen overnight, but if you can rely on your core group of direct customers and preferred brokers for the majority of your freight, you can eliminate, or at least reduce the times you need to deal with the cut rate brokers you complain about.
 

Freight Broker

Well-Known Member
30
It isn't you.. volumes are down. But I guess it depends on which industry you service.. if you're doing produce you're likely quite busy.
 

Shakey

Site Supporter
20
Shippers blew their budgets last year and are fighting to get it back this year.

Alberta economy still in the dumper is not helping loads West

Tariffs are not helping

Lots of factors causing the downturn and we have been on a long ride with no recession
 

Trukker

Member
10
Yep everyone wants to point fingers like it's the brokers fault when it's based on supply and demand
 

Freight17

Member
10
When a carrier calls us on a posting and ask "how much are you paying?". We answer "what is your rate?". Carrier's supply the truck and service. They should be the one setting the rate of their service.

When you eat in a restaurant, the waiter doesn't ask you how much you want to pay. When a company sprays your lawn for weeds, they don't ask how much do you want to pay.

Carriers should set the rate to the broker. The broker sets the rate to their customer.
 

loaders

Site Supporter
30
Exactly! There is nothing more frustrating and embarrassing, than as a broker, quoting a rate to your customer only to find out that you have dramatically under quoted. You are now forced to move it (if at all possible) at either your cost or at a loss. Unless the move is a recurring shipment where the rate is adequate, I think a professional broker should get a current rate on just about every shipment. As we all know, the market changes constantly and a rate that worked three months ago might not be enough today. Conversely, a rate from three months ago might now be on the high side and a knowledgeable customer will turn down your quote. Getting current rates will allow you to obtain the truck if you get the work and also put you in a more competitive position with your costumer to secure the work.
 

Freight Broker

Well-Known Member
30
Carriers seem to take offence when asked for a rate..i.e "you should know the market"..It would be like walking into a restaurtant and asking for how much the special of the day is.. and being told "you should know the cost of dining out around here". Fortunately, thanks to the online programs such as ratemate it is now fairly easy to ascertain the rate if proper precautions are taken. I look at what's available online and add or subtract based on my own experience.. that generally works out just fine.

Example late last year I was advised by one of my carriers on a lane out of NY we do every week that my rates were nolonger sufficient. After a bit of back and forth they told me to get back to them with better rates.. Nowhere were they prepared to offer me rates. And this from a large brand name carrier we all know. So restaurant analogy again.. I go to the Chinese buffett and they tell me to propose a price for the meal.. I do some quick figuring and offer them a price... They look it over and give me the nod.. and ready to eat..
 
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loaders

Site Supporter
30
Funny isn’t it? “You should know the market”. I have never heard Home Depot or Loews say that to a professional home builder when they ask for a quote on lumber, or roofing. Yes, we know the market, and the market says every carrier’s rate is different and can change based on their particular situation, therefore......ask for a current rate, thank you.
 

jackhole

Active Member
15
Home Depot and Lowe's and the Chinese Buffet advertise their prices - what does any of this have to do with a Broker not knowing the market and trolling Trucking Companies for rates
 

loaders

Site Supporter
30
You see?? Us brokers just can’t win. If we don’t ask for a rate and guess at a number, we get crucified for offering stupid, low rates. If we try and get a proper rate, we get accused of trolling carriers and needlessly wasting their time. Well to all my carrier friends out there, suck it up, because I am not guessing what your rates are and we will continue to call you.
 

Freight Broker

Well-Known Member
30
Trolling for rates? Please.. If you're in business you need to be receptive to people asking for what you charge.. without becoming defensive or put off about it. People call me all day long for rates.. I'm grateful and happy to quote, and if my rates are acceptable we're off to the races.. and if they're not we'll try again some other time. Personally.. in over 30 years I've never moved a load that I didn't first quote.. doesn't happen..
 
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Rob

Site Supporter
30
You see?? Us brokers just can’t win. If we don’t ask for a rate and guess at a number, we get crucified for offering stupid, low rates. If we try and get a proper rate, we get accused of trolling carriers and needlessly wasting their time. Well to all my carrier friends out there, suck it up, because I am not guessing what your rates are and we will continue to call you.

No problem giving a rate but when the same brokers call day after day and rate this rate that and you never get a stick of it then it gets old pretty fast. I have told more that one to lose my number because of this.

Brokers should have some sort of idea of what carriers will rate most basic van freight into and out of major markets but I still get calls all the time. What is your rate Mississauga to Chicago?? Best part is besides being from the same brokers all the time is they have no clue what the bloody freight is , appointments, etc,etc.

I have to put a number on it why can a broker not do the same?


Then there is the brokers that call 50 carriers shopping for the bottom and base their rate to customer on that only to find out Joe Blow Trucklines really dosen't run Podunk Iowa on a steady basis and was just looking that day because they heard rates out of Iowa where awesome this week but the load is next week. Then said broker (looks good on them) has to go back to customer and plead, beg and or lose money because the race to the bottom bit them in the ass.

I will admit to looking for rates on lanes I do not run on a steady basis but I have a number in mind based on knowing the business I am in and usually I am within a couple hundo's high or low. But Mr Broker has no idea ever come on I call BS or they are dumb so which is it? My guess looking to maximize their take by hiring Mr JoeBlow at a stupid low rate.
 

Freight Broker

Well-Known Member
30
I rarely call carriers for rates... most of the time, as you say, I have a good idea about the lane in question anyhow, so it all works out in the wash. The exceptions are oddball lanes or freight that has special parameters that might add to the price...
 
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