Pricing
What Affects Truckload Freight Cost
Although there are many elements that affects freight cost, we work hard to simplify and minimize them.
Lets begin by understanding the market supply and demand in the transportation industry.
Difference between supply and demand
Supply is the volume of trucks available
Demand is the volume of trucks needed
Now, lets break down the main elements that affect the cost of your shipment
Geographical Location
Every location has its own demand and supply
Cities and rural areas have their own dinamics
Products and trailer type needed vary by regions, cities or towns
Where the shipment is comming from and where is being deliver
Trailer Type Needed
Each trailer typer has its own unique set of requirements
For instance, refrigerated trailers will comsume additional fuel in order to keep the set temperature on the trailer.
Even drivers need especialized skills depending on the trailer type being hauled.
For instance, flatbed drivers must personally tarp and secure exposed freight, making regular stops to ensure it stays secure.
Equipment supply and demand
Depending on the geographical location one equipment might be in more demand than other.
For instance, a region with high volume of produce may experience a higher demand for refrigerated trailers, causing a shortage of these type of trailers in the area.
Commodity Type
Commodity price value
High value freight will need a higher insurance coverage
Commodity Hadling
How a commodity needs to handle
For instance, how fragile a product is and the best way to secure it
Freight Classification (NMFTA)
A list of freight classes mostly used in Less-Than-Truckload (LTL)
The higher the class number the higher the freight cost
When possible, it's always most cost effective to consolidate LTL shipment into Full Truckloads
Commodity weight and deminsions
Heavier freight will cause the truck to consume more fuel therefore requieres more frequent maintance
Current Fuel Price
Fuel price flactuates constantly
Results in frequent changes in freight cost
Accessorial Fees
Additional fees added to a shipment aside from the cost of the standard pickup and delivery charges
Common accessorial fees include additional stops, dwell time, hazardous products, lumper fees (load and unload), among others
Specialized Freight
Some specialiezed shipment requiere state permits in order
Need specialized trailer and equipment
Special Requests
Shipments that must adhere to unique, client-specific guidelines
Such as expedited or time sensitive freight, dropped trailer, specific route, etc..
Important to detail in advance to avoid unexpected fees
Main Elements that Affect Pricing
When it comes to shipping prices there are a few things that greatly impact the cost.
Market Supply and Demand
Geographical Locations
Trailer Type Needed
Equipment Type Supply and Demand
Commodity Type
Weight and dimensions
Fuel Price
Other elemets that affect pricing:
Accesorial fees
Specialized freight
Special requests
Prices are tailored to the customers' needs and requests and based on their unique business.
Choose Your Service
Dry Van
Refrigerated Trailers
Open Deck
Oversized
Expedited Freight
U.S. Geographical Market Demand
- For informational purposes and subeject to change. Resource website
U.S. Fuel Price
https://www.eia.gov/petroleum/gasdiesel/
- For informational purposes and subeject to change. Resource website