Cheap freight

Dunkscd

Active Member
Sep 10, 2010
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Was just offered buy a client a load from Winnipeg, MB to Chicago, IL area total miles 915 paying $755 for a dry Van. Who in the right mind would move that? 0.83 per mile.
 
we've had guys run 400-600 empty miles to load $1/mile freight cause they needed to get out of Winnipeg and couldn't find anything close!
 
Even if I can make a few bucks I do not want those lanes as I know the carriers will be pissed about the rate and last thing I want is a carrier who has my freight and does not care about it cause he was paid pennies for it. And I do not blame them.
 
we don't take this freight, but when a carrier calls and he needs help to get out, you do what you can!
 
Probably a load of peat moss or something. That stuff is notoriously cheap.

No doubt in my mind that someone took the load though.
 
Same old story..freight going in pays good...freight going out not so good. Did you get at least 3.00/mi. going in?
 
Yes someone will then will complain about brokers destroying the industry with CHEAP rates!!!!;):D:eek:

thats so true, many people who complain about cheap freight are the ones TAKING the cheap freight... But then again is it cheap if it gets you out of a jam and helps you move your truck?

happy friday!
 
I always say that it's not the rate per mile -- it's the rate per mile in relation to what the market commands on the lane. If you know the condition going there, just make it worth it.

There are certain lanes with such imbalances you almost have to figure on running back empty. If the customer on the demand lane is on side with it, then it is what it is.

I remember many years ago when I was running a small fleet of 10 trucks or so ... I never wanted the trucks to run the seaboard but sometimes I'd be cajoled into it. Every time I took a load to NJ or something it was rated so I knew I could just call the guy back empty if I had to. Probably loaded them back half the time or so, granted with cheap freight (like between $500 and $600 a load at the time), but it was all profit, so as long as I knew that I wouldn't have to chase money like a madman, I'd take it.

Don't think for a minute that much of the US carriers coming here aren't doing the same thing.
 
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Accepting cheap freight doesn't help anyone. Try saying the load needs to pay reasonable to be moved, not we'll try and get it hauled for cost.
 
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It's honorable to say don't take cheap freight, and we try not to either. But that cheap ass complimentary revenue does increase your bottom line at times if the outbound rates are priced right.

I had the same discussion with one of my owner ops after taking a cheap load. It was from Sk to northern NE. He dropped his rate per mile on the entire round by a few cents, but increased his revenue per day, and was online to his reload he was going to anyways.

It's a tough concept to grip, but there are times that cheap crap is worth it. If you want to work on the 'every mile stands alone' theory, you better drop your rate to western Canada by 1/2. More and more lanes seem to have that imbalance now. Cali, Denver, Texas, Western Canada...

It isn't right, but it is what it is....
 
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Well this should stir up the hornets nest - I have 12 loads out of the Nashville area that I could not sell last week that I now have to run my trucks to pick up. Before you say anything about the rate it is a very good rate but when there is not even 1 truck available it really does not matter what the rate is, so guess how much available freight there is going to anywhere near Nashville? 0 would be the number.

So guess how I have to get the loads picked up? I either run hundreds of miles empty or I accept the cheap loads into TN. If you think we like cheap freight you are wrong but if I do not get the loads back I have an even bigger issue with the retail customers we supply across Canada so there are always 2 sides to every story. I guess what I'm saying is if someone has some good paying freight to TN we will gladly haul it or if someone knows how to make trucks magically appear in TN we will take that also.
 
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Well this should stir up the hornets nest - I have 12 loads out of the Nashville area that i could not sell last week that i now have to run my trucks to pick up. Before you say anything about the rate it is a very good rate but when there is not even 1 truck available it really does not matter what the rate is, so guess how much available freight there is going to anywhere near Nashville? 0 would be the number. So guess how I have to get the loads picked up? I either run hundreds of miles empty or I accept the cheap loads into TN. If you think we like cheap freight you are wrong but if I do not get the loads back I have an even bigger issue with the retail customers we supply across Canada so there are always 2 sides to every story. I guess what I'm saying is if someone has some good paying freight to TN we will gladly haul it or if someone knows how too make trucks magically appear in TN we will take that also.

Did you try JTS they are always in the TN, MS area
ET Transport also ( not a fan of them but they are there almost everyday)
 
Out of every 5 loads we pick up from Ohio on our own trucks, between 3 and 4 on average are going down empty.

This is reality folks ... you just have to price accordingly and only you can make the decision on whether taking a cheap load out is better than no load at all.

In my opinion, if it contributes more than your PDC cost, it's worth it.
 
Ashland, OH to GTA, FTL dry freight, what would be considered not cheap but reasonable in todays market?
 
Maggs we have a load in Sandusky to come back to GTA and someone graciously offered $1450 at $4 a mile we will be running one of our trucks down to pick up the load. This business is getting crazier by the day.
 
Speaking of cheap Freight I have a customer who I am helping out. I will have three loads on thursday and Friday can pick up either day Out of London, ON going to WI all three deliver on Monday.

The max I can pay is $1.53 per mile ( $1100 ) if anyone needs to get down that way let me know.
 
The way manufacturers are shutting down in this country, we'll all be running 50% empty miles soon.
Thank goodness our government is ensuring our global survival. All we'll be hauling is rocks and logs pretty soon.
 
We were recently offered a GTA to Dallas load for $1600 by a load broker. They couldn't understand why I refused! It was 45,000lbs and they were offering me a "great rate"! Guess I am too picky...