For some carriers, finding profitable shipping loads can be more complex than they anticipate. There are many avenues carriers can explore to ensure they can get the freight they desire and make the most money for their time on the road. Getting in touch with a freight broker and getting your assets within their freight broker book of business is one way of finding those loads. However, if carriers do not know where they should begin, they may follow these 5 quick tips to find profitable shipping loads that will keep margins protected.
Know When to Reject Shipping Loads
One way truckload carriers can narrow down the window and find profitable shipping loads in volatile markets is knowing when to reject shipping loads that are not efficient to pick up or are not profitable. Yes, it's a learned skill through experience to say "No." We all want to "accept business and grow revenue." However, there is much more to growing a successful business than the number of customers or loads or how much revenue you have booked. In the end, it is all about profit margins.
A successful carrier watches the market to ensure they do not lose money and understands that a market that is more volatile lends more negotiating power to carriers, allowing them to require shipper customers to improve their freight attractiveness by reducing wait times and making sure loads are ready to pick up and are prepped to match with your equipment.
Use Data to Ensure Rates are Competitive
Competitive quoted truckload rates, backed by data, lead to more profitable shipping loads. Using data to know what other carriers are paying for similar lanes, equipment type, and length of haul is another way carriers can help themselves when searching for those profitable loads. Comprehensive data can show carriers how to spot the best load on the market and can use that to build rapport with shippers in the back and forth negotiation, as the data brings less emotion into the process.
Expand Your Network & Find More Loads with Shipping Load Aggregation
Expanding the network carriers utilize establishes another avenue for carriers to find the best shipping loads on the market. Using resources like freight aggregation platforms assists carriers with the search for profitable loads. In addition to technology, carriers can network with other carriers and shippers to find the best avenues for each. Different portals within a network can help locate shipments that carriers can handle.
Streamline Payment to Get Paid on Time
Another feature carriers should be aware of when searching for profitable shipping loads is how fast you can get paid. Cash flow and available working capital are paramount to smooth operations, fund new initiatives, and protect profit margins. Carriers shouldn't have to work so hard to get paid. Look for technology platforms that provide quick pay options with digital payment options.
Integrate Load Aggregation with your TMS
There is another advantage of using platforms that aggregate available shipping loads, although not as obvious when thinking about protecting profit margins. You’re always looking to grow your business. A shipping load aggregation portal, like newtrul, allows you to tap into shipment density and locate and identify new shipper and broker opportunities. Once integrated into your TMS of choice, it makes booking loads much more efficient by not only making it easy to instantly secure a load but also aids in the negotiation of the final price of your truckload space. Diversify your existing business with new customers, all in one place, reducing the time spent on looking for loads and booking them. This reduces overall operational costs, resulting in healthier margins.
Increase Profitability in Managing Shipping Loads by Using the Right Software
Overall, carriers must utilize software to find profitable shipping loads. Each year, over 29 billion miles are driven with empty or partially empty equipment. Not only does this harm our environment, but it also leads to lost time and money. newtrul wants to help change that statistic. Contact newtrul today for a demo, and eliminate those empty miles on the road.