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7 Secrets That the Freight Industry Doesn’t Want Shippers to Know

Outsourced Freight– Many of the Large Transportation Companies, who vow that your product never leaves their Fleet of Trucks, are not being totally honest. The idea of building partner relationships in the movement of Freight is a well-established, commonly used technique by ALL trucking companies. After working for almost 15 years at one of the Mega shipping giants, FedEx, I learned that even they use outsourcing to their advantage. To the carriers, this is known as “maximizing resources” to get the job done.

Why send their trucks out to places like Lake City, Colorado, when they have an agent network that would charge them practically nothing, compared to what it would cost for their own trucks to make the delivery. Shippers hate the idea that their freight will be changing hands, and delivered by a different company then they contracted with, but this is the age we live in my friends. Shippers see this process as an opportunity for loss, damage, delayed transit times and theft. As a shipper all you can ask for is honesty and integrity from your carrier, and to be informed as to who the contractor is. As I always preach to my shippers, stay educated, proactive and alert. Don’t be afraid to ask those questions.

More Bang For Their Buck– “Don’t Double Stack My Freight,” is something that many shippers have labeled on their packages, bill of ladings, and anything else that they can use to exclaim that point, but the truth of the matter is, if your freight is dense and flat enough, it’s getting double-stacked. Terminal Managers across the industry are taught to maximize their trucks to the point wherein an “ant won’t be able to breath.” If that means double, and sometimes triple stacking freight guess what, your freight is getting stacked. To remedy this, customers have started affixing small plastic cones on top of their packages, anything that would show them that the carrier has stacked or removed the cone from the package to load other packages on top. If you have a product that is sensitive to stacking, but it is also important for you to get a good rate, you can ask the carrier to use a “stacking deck.” This will allow for the carrier to stack the freight, protect your freight, and provide you with a great rate.

Cash Cow– The Freight Industry is a $240 Billion dollar industry, and carriers know exactly how to maximize their profits and margins. It is true that at one point carriers were more lenient with “not reweighing” shipments, but there has been an increasing trend in the Freight Industry, “If in doubt, reweigh it.” Carriers are reweighing everything that comes through their warehouse. So shippers, you have to understand this and not try to get that one shipment by them, because you’re not. Carriers have identified this aspect of a shippers business as a CASH COW. Millions of dollars a year are from customer’s shipments being reweighed by the carrier.

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