Trucking News: Conditions for fleets are deteriorating and it will get bloody

Mike

Well-Known Member
Staff member
For the freight market, 2019 has been shaping up to as a tug of war between the bulls and the bears. The large enterprise carriers that rely heavily on committed business (commonly referred to as “contract business”) have been enjoying a decent year, while the small carriers that are heavily exposed to the transactional spot market have been faced with a very tough market.

The disagreement has been obvious on Wall Street earnings reports. The large carriers have spoken about decent freight conditions and have been far more optimistic than the Facebook message boards that are made up of small operators. Comments like “worst market ever” and “a bloodbath is coming” are common on Facebook groups like Rate Per Mile Masters. Groups like this are helpful to understand the current sentiment in the market, even if they tend to be highly emotional.

 

Mike

Well-Known Member
Staff member
Getting feedback from small carriers via Facebook groups wouldn’t exactly be considered newsworthy, IMO. These groups are filled with people who hit the spot market in 2018, added equipment via debt based on 2018 rates, and are now claiming the sky is falling even though we are still above 2017 rates.

Anybody making business decisions based in one year becoming the new normal is simply “doing it wrong”, and yes, their skies are clearly falling.

Meanwhile, here in the real world, things are simply not that bad. Would love for them to be better again, but it’s the best that can be expected when you have to work among clueless business owners who are willing to operate at a loss until they go completely bankrupt.
 

gearjammer

jammer
Staff member
Supporter
clueless business owners who are willing to operate at a loss until they go completely bankrupt.
that has been going on for as long as I can remember it is hard to explain to new O/o's that if you are not going to make a profit on a load or in the rare situation where such a load is justified by taking such a load it puts you in a much better area to get a good paying load you are better to just be patient.
Most of these folks have just enough experience to drive a truck but have "0" experience in business and survive just long enough to screw up the rates for everyone else
 

BirchBarlow

I love KW 680s
For the freight market, 2019 has been shaping up to as a tug of war between the bulls and the bears. The large enterprise carriers that rely heavily on committed business (commonly referred to as “contract business”) have been enjoying a decent year, while the small carriers that are heavily exposed to the transactional spot market have been faced with a very tough market.

The disagreement has been obvious on Wall Street earnings reports. The large carriers have spoken about decent freight conditions and have been far more optimistic than the Facebook message boards that are made up of small operators. Comments like “worst market ever” and “a bloodbath is coming” are common on Facebook groups like Rate Per Mile Masters. Groups like this are helpful to understand the current sentiment in the market, even if they tend to be highly emotional.

Last season the Co-Op was hurting cause of China tarriffs but according to this rates were at a record high in 2018 because of a shortage of drivers..

What gives

 

Ontario Outlaw

Hozer Witta Hood
Supporter
Last season the Co-Op was hurting cause of China tarriffs but according to this rates were at a record high in 2018 because of a shortage of drivers..

What gives

It’s been tough for awhile to get reloads. Lots of outbound just not much inbound

Then you get fed the line “well it gets you home”

Yes, it does. But pulling cheap is for suckers
 
Top