Avondale Partners' recent report on the spike in carrier bankruptcies further highlights a looming challenge for the truckload shipping business -- a sharp drop in carrier fleets will put upward demand on truckload rates, and increasing pressure on shipping managers to find qualified, stable carriers to move their freight.
This trend, combined with pending regulatory changes for ELD by end of year as well as the steady rise in US manufacturing and construction activity (and the jobs they bring with them), will mean that finding experienced drivers to reliably move freight will become increasingly difficult.
Shippers...what does it mean for you?
- Be ready for rate increases -- plan your budgets accordingly now so that you're not caught by surprise in the second half of 2017.
- Assess your carrier partner network now -- conduct an unbiased review of your freight providers to ensure that they're financially solvent, have an extended track record in the business, and are providing high load fill rates at competitive prices.
- Seek the right mix of partners -- ensure you have a blend of both asset-based carriers and brokerage-based partners if you want to hedge your bets against any single trend that could impact your business.
If you's like to explore how Executive Freight can be part of your freight partner solution, visit our web site, or just give us a call at 334-705-0779. We'd love to tell you how you can become one of our valued Customers.
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