[2]

What is a reasonable percentage to motivate me to look for new customers?

I run for an Oklahoma agent. The carrier is in another state.
The work is there, but it is not consistent.
I'm looking for motivation to go after new customers.

The carrier will not negotiate the percentage split, preferring to leave it to me and the agent.

I guessed that the agent was getting 8%.
The agent implied that it was correct.
No mention was made regarding gross revenue v. Line Haul rate, from which to calculate the percentage.

The agent offered 1%.
I promptly lost interest in looking for new customers, to give to them.

Should I reconsider?

FWIW, this agent also owns at least 1 truck.
He proudly told me that his cost to operate, was a full $1.05 per mile.
There was a pregnant pause, and I never responded to that comment.

I quickly refused the next couple of loads, then dead headed 800 miles, to check the mail.
I also fulfilled their worst nightmare:
I didn't bother calling them. If they wanted to talk to me, they called me.

After spending about a month checking the mail, I'm going for a load, now.
So, we are not enemies.

[LOAD IT]

Are you looking at a % from every load they haul from that customer or just the loads that go on your truck?

1% for every load may not be too bad depending on the gross annual revenue with that customer.

Sounds to me like your agents freight contacts suck and he needs every lead that he can get, but if you take 3-4 weeks off to "check the mail" what good are you? You arent benefitting yourself, the agent or the company and will soon be belly-up.

Good Luck finding customers and running your truck.

[2]

Originally Posted by LOAD IT

Are you looking at a % from every load they haul from that customer or just the loads that go on your truck?

1% for every load may not be too bad depending on the gross annual revenue with that customer.

There is a lot of work that goes into sales.
Some salesmen make big money. Some don't.
Sales can make or break a company.
Nothing happens, until somebody sells something...

If I landed a new customer, I would expect to haul some of their stuff.

Sounds to me like your agents freight contacts suck and he needs every lead that he can get,

It could be more of a question about allocation of resources. I
f I'm working for another customer, I can't work for their primary customers.
As I said, the work is there, just not consistent.

but if you take 3-4 weeks off to "check the mail" what good are you? You arent benefitting yourself, the agent or the company and will soon be belly-up.

I refuse to subsidize anybody's business. If it don't motivate me, I don't work.

The cost to run a truck today, is about $1.70,
Not too many drivers know about that...
If you are working for less, you are subsidising some other business.

This is a slow death, and can take years to play out.
Don't take my word for it.
There is likely plenty of experience on this board, that will agree.

Pay close attention to the company driver that used to be an "O/O".

I don't get interested until the rate crosses $3 per mile, or better.
There are usually permits and other costs involved.
Not too many drivers know that time is a major factor, as well.

Good Luck finding customers and running your truck.

Thank you.
I'll start a new thread, that you may find interesting.

[brian]

if it costs you a 1.70 a mile to run your truck you`ve got issues.

[mike3fan]

Originally Posted by brian

if it costs you a 1.70 a mile to run your truck you`ve got issues.

Yeah I would love to see the cost breakdown on that.I call Bravo Sierra on this whole deal.

[Red Clay Rambler]

"Not too many drivers know that time is a major factor, as well."



Thanks for clueing us in.

[pepe4158]

I see these guys find freight for their carrier all the time (or at least they say)...n then seem to get screwed each time some how the boss weasles outta paying them anything.

[LOAD IT]

Ben Franklin and I both preach.... "Time is Money"


cost per mile of $1.70??? What type of equipment are you running?

[2]

Please excuse my negligence:
I failed to mention that the loads I refused, were brokered loads.
(edited, to add the above comment.)

Originally Posted by brian

if it costs you a 1.70 a mile to run your truck you`ve got issues.

You are quite right. I refuse to subsidize some other business.

If you get less than this, you could get a big raise in pay, by driving somebody else's truck.

Originally Posted by mike3fan

bs

You make my point, sir.

Originally Posted by Red Clay Rambler

Thanks for clueing us in.

You are most welcome.

Originally Posted by LOAD IT

Ben Franklin and I both preach.... "Time is Money"
cost per mile of $1.70??? What type of equipment are you running?

I run an rgn. The numbers are still valid for other types of equipment, though.

Something else nobody ever mentions, is the risk factors that go with the job.
Everybody always computes a best case scenario.
But, there is poor judgement, bad luck and other mistakes.

Those factors should be planned for.
Most drivers don't know about them, though.

Education is the key.
That is all I'm trying to do here.
I don't know of any other way to improve this industry.
Yet, as the above comments show, this is likely an exercise in futility.

Freight pays.
The little guy just doesn't know what is fair, and how to get it.
There are 2 parties to the rate decsion. Each party needs the other.
That is the guy doing the shipping, together with the guy doing the hauling.

Everybody always blames the large carriers for the low rates.
This is wrong.

The large carriers haul less than a quarter of the freight.
They get good rates, from most of their customers.
They are a good scape goat, for the O/O running down the road, cheap.

So, you gotta look to they ones that haul the majority of the freight, for the rate problem.
It is the little guy that don't know no better, and don't know that he don't know no better.

[LOAD IT]

Originally Posted by 2

Education is the key.
That is all I'm trying to do here.
I don't know of any other way to improve this industry.
Yet, as the above comments show, this is likely an exercise in futility.

Education is the key and you are preaching to the choir here. You need to go stand at the truckstop and talk to those guys who cant turn on a computer, go to some of these large lease purchase companies and talk to some of the drivers about to sign a lease purchase deal.

There are a lot of knowledgeable people in this forum that understand the bigger picture in this industry. You come on here talking crap basing ALL OF YOUR KNOWLEDGE on the RGN world. I knew you probably ran RGN when you quoted $1.70 pm cost to run a truck. Now tell everyone how low you're geared, what your mpg is, what permits cost, how you cant backhaul that thing, how you cant run certain loads after dark or before sunrise, what permits cost, how few connections you have to load the wagon. Those are the things you need to be forthright about instead of spreading unrealistic numbers, you need to gain some credibility before you start spouting off your numbers. How long have you been running RGN? Do you own your equipment? Why are you leased to a subsidized business? Why arent you running #2 Specialized, Inc? I try not to get in these whizzing matches, but you set me off!!!!