Quote:
Originally Posted by CHRBROKER32
Our big customers will send us other companies rate matrix's that haul directly for them. Like Hunt, Celedon etc and those guys are getting a lot better rates than we are. Maybe its because they drop trailers and commit to x amount of freight
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What kind of rates are we talking about? For example for your $1.20 "backhaul" can you give us an example off the top of your head what you have seen they are paying one of the big companies on a comparable load? $1.70 , $1.80?
I think I read in one of Swifts financials before they went private that they were averaging $1.65 per mile but that did not include FSC. Which means that if they are taking $1.20 a mile from CH then they more than $2 per mile including FSC on these big accounts.
In the end it doesn't matter what the big companies are making cause I don't have thousands of trucks pulling in small amounts which adds up to one big amount. But I would like a basis point to know how to negotiate better for myself and a better understanding of the whole system.
I am actually on a CH load right now and I picked up at one of these big logistics warehouse where there were a lot of dropped trailers. They wanted to pay me $1.79 for loaded miles but I got $2.07.
She kept putting me on hold as I was negotiating, I don't know why. Maybe checking with another person, maybe running some numbers.
Sometimes it is amazing what they want to pay. A load from Indiana to Sparks Nevada and she told me $1.20 like that was ok. I mean who the hell would drive over 2000 miles for $1.20 a mile? But I guess these big companies can do exactly what CH does and that is work off of volume.
That only goes to reinforce what is said here a million times, that we can't compete with the big companies.
I was talking with a CH rep once and she was telling me that she had a load she couldn't move. It was going from Naples, Fl I think to New Jersey. The conversation shifted but I wanted to ask why she didn't just raise the rate.
I think on this load I could have gotten more cause she seemed like they needed to move it but she was fighting for every dollar.