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Showing posts from October, 2014

2015 Will Be A Tough Environment For Shippers

It’s A Carrier’s Marketplace  The Freight-rate Climate Is The Best It’s Been In About 20 Years  Shippers Should Expect Rate Increases Up To 10%  Carriers Purging The Poorest Paying Routes In Favor Of More Lucrative Business  Higher Than 10% Rate Increases  Driver Shortage & Government Regulations Are #1 Concerns For Carriers  The Situation Is Likely To Deteriorate Further  More Government Safety Regulations Working Through The Federal Regulatory Pipeline LTL In The Middle Of The Best Market Conditions Since 2005  2013 Weighted Avg. OR Of Public LTL Carriers was 92.9 – The Best LTL OR Since 2007 Carrier, 3PL & Shipper COLLABORATION IS A MUST To Drive Efficiencies 3PLs Will Become An Extension Of The Ltl Carrier’s Sales Channels  Carriers Will Not Tolerate Bad 3PL Relationships  3PLs Must Bring Good, Profitable Business To Carriers To Be Partners  The Best 3PLs Will Get The Best Pricing  Barriers To Entry ...
• Rising Driver Turnover • 35,000 Drivers Needed • Shortage Predicted to grow to over 200,000 by 2020 • • Government Regulations • Speed Limiters • Changes to Drug Testing Methods • Electronic Logging • Physical Fitness Requirements • Aging Fleets - New Equipment Needed • Capacity Sell Off During Recession • New Trailer Orders Up 45.6% YTD Through August • Dry van orders up 54% • Flatbed orders up 33 %. • New Class 8 trucks Orders Up 32.4% from comparable period