Crazy rate but I booked it anyway because I had to

It may not be next month, it may not even be this year, but at some time in the future we will hear that famous plea...."can you help me get out of .............(fill in the blanks), my truck has been stuck there since Monday, please?" At which point you can use Michael's response, or feel free to make up one of your own!
 
I'm not going to comment on the $2400 for 300 mile rate. There are too many variables that we don't know about to comment. But what Michael said is the absolute truth. "Time" is now the key word in the equation. Many brokers are beginning to become acutely aware of this concept, some we find still do not. Carriers have always been aware of it. It is an education process.
 
Chica123, I certainly won't deny that there are some brokers who either don't understand the concept, or are trying to ignore it, but really the problems lies with the shippers. They are the ones requesting the service, either directly from a carrier, or through a broker. One of the realities that I hope most carriers are now realizing, is that brokers do not have, and have never had, some sort of magical control over the freight market, with the ability to set rates and manipulate that market to their advantage. Shippers both large and small are the ones paying for the transportation service. If there is a glut of available trucks, shippers will use that to their advantage and will receive low rates. Conversely, as we are experiencing now, a shortage of capacity will drive rates up. Believe me, speaking as a broker, I am amazed at the speed and intensity this new environment has taken hold of our industry. Just as a side note, what is the difference between a broker offering a low rate, and a carrier in these times asking for an exorbitant one? They are both equally meaningless, unless of course, you are forced into accepting one or the other.
 
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Loaders Carriers that did not or still do not have direct customers at decent rates have been forced by the cream of the crop brokers to accept low rates for quite sometime. I know that at times when I do look for outbound there are a bunch of brokers that are not worth the dime to make the call as they are or where 1.20-1.50 on any and all outbound take it or leave it. Said brokers are all of a sudden calling me all buddy buddy like begging me to do loads that now pay what do you need. I didn't need their freight then and do not need it now.

Other brokers that have always been fair and paid a rate that a trucking company can make a dime on while still paying more are not getting the F___-___ rate as so eloquently put by our honorable member from Simcoe. The difference as I see it is brokers have had a great run since 08 ish and carriers are trying to grab all they can while they can. Is that a good strategy? I cannot say as none of us know how long the ride will last, but I do believe 2018 may be the year that changes the industry for the better for drivers and carriers alike. Customers and brokers that rate shop and how low can you go are finding that the well has run dry and so it should. Let their freight sit or their big margins decrease and maybe just maybe they will come to their senses and realize carriers and driver are not a dime a dozen anymore.

It is not the busy season yet so hang on to your hats boys and girls this is going to be a hell of a ride!!

Just a humble two cents from a crusty old prick in Brantford.
Is it RumThirty yet?
 
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Yup! Many years ago I quoted a shipper here in Guelph on a local one skid move.. $35.00. Would have been my first order, ever, had he not try to beat me down to $25.00. Fast forward a year.. now I'm rolling along nicely. He contacts me this time and asks for a one skid move From Guelph to Mississauga.. I quoted him something like $1695.27.. never heard back from him.. and they're now long since out of business.
 
@loaders ... interesting that you should bring that up. It's my opinion, and only my opinion mind you, that I do not believe you will see too much of the "my truck is stuck ..." thing anymore. One of the things the ELD has taught us is that planning, and pre-planning in particular, is tantamount to success. I just don't think that flying by the seat of your pants and hoping to hell you can find a load out of wherever it is you are going to is a workable solution any longer. Of course there's going to be the occasional truck that gets stuck, but in general I believe that will be the exception and not the rule.
 
I remember sitting in on an OTA seminar years ago, and one of the speakers was the owner of one of Ontario's largest carriers. The discussion was about the role of freight brokers in the industry. As expected with this crowd, the talk was all about how terrible these "cream off the top" monsters were. To my amazement, this particular gentleman thought quite the opposite. He made a great point about how freight brokers can fill in the gaps with a carriers OWN freight. In other words, his point was carriers should ALWAYS have their own customer base and use the freight offered by brokers to fill out weak lanes, or top up a trailer with a couple of extra skids to increase the trip revenue. I don't think truer words have ever been spoken.
Michael, yes it could be a long time coming, if ever. Perhaps your prediction about pre-planning will apply not only to carriers, but brokers as well. This new environment should require an even closer collaboration between carriers and brokers. I have a shipper that is desperate for your truck, or I have a shipment that really gets you exactly where you need to get to be. Interesting times indeed!
 
@loader ... yes sir you are 110% correct. You and I (figuratively of course) will walk hand-in-hand down the garden path, and if you're lucky, really lucky, I might even give your butt a little squeeze every now and then ... LOL
 
Whooo! You are quite the scoundrel! As I say goodbye to 65 and put out the welcome mat for 66, I have noticed that my caboose is a bit larger than it once was! But you're right, there has to be a more cooperation between brokers and carriers. It will benefit both parties.
 
Michael Ludwig said:
You simply said it was a 300 mile trip. From where to where is important. If it's not a strong backhaul area, then your 300 mile trip becomes a 600 mile trip because your carrier is going to do it as a rounder. We're down to $4.00 a mile now.
You didn't mention anything about the time it would take to do the load. Is it like 6 hours to load it and 6 hours to unload it? That's important as well. Overall, maybe your carrier is going to wrap 24 hours into getting this job done for you. At a hundred bucks an hour that's pretty reasonable. I'd charge you $165.00 an hour.

Get that per mile crap out of your head ... TIME ... everything is now about TIME.

Assuming all things are equal, where it's a quick on/quick off load going from Toronto to Pittsburgh where it's fairly easy to get a return load, gouging is one word to use to describe that rate, but here's a better description ...
That is what's called a F*CK-OFF rate. Every shipper, receiver, 3PL, broker, and carrier world-wide, if they are doing their job correctly, has a special page in his or her ledger for people who supply F*UCK-OFF rates. Get my drift ???
Click to expand...


I understand time is money and have nothing against that, but let me clarify what my 300 mile run was-
OH back to TO -FCFS both ends very easy shipment with no excess waiting, 2400$ was from a one off carrier I've never heard of before, which was being greedy and he knew it.. the guy had no shame as he was fishing for the highest paying load.

I try to be fair with all my carriers, but some of the rates people are asking for are a tad unrealistic.
 
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... My 2 cents ...
My grocery went up 3-4 times in the past 5 years ... same for all other bills and expenses.... Trucking rates staid almost the same for the past decade...
...Thank you to ELD for finnaly balancing it all...

Someone mention about loyalty ... even the most loyalted carrier would want to eat...
Don't forget we are in the slow season ... "Winter is coming" "SPRING is coming and THE REAL CRAZY rates are still coming.....".... Summer will be HOT :)

Love you ALL!!!
 
Maybe these rates will make it possible to bring more drivers into the industry. With so many drivers now over 50 were going to need some new recruits soon.. i don't think the self driving trucks will be ready in time.
 
True story:
Yesterday morning: Hey Janeen, I'll give you my NJ truck for a TL to ON for $2000 CAD, I get this all day, every day so you should take my truck.
Yesterday mid day: Hey Janeen, I'll give you my NJ truck for a TL to ON for $1600 CAD
Yesterday 4:30PM: Hey Janeen, I'll give you my NJ truck for a TL to ON for $1400 CAD
This morning: Hey Janeen, I'll give you my NJ truck for a TL to ON for $1300 CAD

Same carrier each call. It's hard to reply to this person in a professional and respectful manner... We will not be tendering the shipment to this carrier no matter what number they call with. Give us something fair to start with and we'll send it over, play a game and you can call some one else. I'm sure we all have similar stories - probably the same guy calling all of us!! :(

Be fair with each other people,
Mike
 
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