Home > Forum > Trucking Industry Vs Brokerage Industry

Trucking industry vs brokerage industry

Mar 04, 2023 at 02:24 PM CST
+ 26 - 2

Trucking industry is the most regulated of all enterprises

eld. Ifta ucr insurance for the commodity fuel prices Tires are three times what they are worth maintaining equipment

How is the broker industry regulated. what does a broker have that is worth 10-25% of the gross computer pen paper phone am I missing something

Replied on Sun, Mar 05, 2023 at 07:33 PM CST
+ 3
Park these trucks and see how fast your will get attention from Washington DC.
Replied on Sun, Mar 05, 2023 at 07:33 PM CST
+ 5
It's only like that because truckers don't or will not come together and push back. We really control this industry
Replied on Tue, Mar 07, 2023 at 02:18 PM CST

who are these fantasy shippers that give ANYONE 25% on ANY load??? let's start naming some names here as this is the 2nd post with this type of unprovable information.

Replied on Tue, Mar 07, 2023 at 02:50 PM CST
+ 2
Quote: "who are these fantasy shippers that give ANYONE 25% on ANY load??? let's start naming some names here as this is the 2nd post with this type of unprovable information."

A broker that comes to mind is the one that I had previously stated before. JTA Pro is making 27% off the load that I posted about. Corn that is $1.80/bu in the loadlist, from the shipper, being pushed out for 47/ton on this load board. I don't believe that there are Shippers making that kind of money, but a lot of them are riding the current wave of trucks flooding the ag market. They are giving out loads to these unproven people in the name of profit and throwing those of us, that have been doing their work for years, under the bus. All most of us are asking for is a mutually beneficial relationship where we can all make money, and the trucks are feeling under-represented and scornful. I know I am at least...the customers that are taking care of me, through this storm, I will be loyal to for as long as we are in business....and the rest of you can buy your own trucks, or get a really unfair rate.

Replied on Tue, Mar 07, 2023 at 07:17 PM CST
+ 1

JTA Pro - here is what i am reading:

NO ASSETS

REVIEWS OF DECEPTIVE RATES/COMMODITIES OFFERED AND REDUCING RATES WHEN THE CONFIRMATIONS ARE SENT

IMO THE FIRST LOAD WOULD BE THE LAST LOAD OR SIMPLY HANDED BACK WITH THESE PRACTICES

Replied on Wed, Mar 08, 2023 at 08:47 AM CST
Quote: "who are these fantasy shippers that give ANYONE 25% on ANY load??? let's start naming some names here as this is the 2nd post with this type of unprovable information."

no one is saying shippers are giving anyone 25%i believe what is being said is brokers are shaving that much

i came to hoppers from open deck hauling thinking there would not be as much of this nonsense as open deck

i can open my subcription back up to truckstop.com and send screen shots till we all have grey hair and grandkids about the same load being posted 2 to 5,6,7 or whatever times anywhere from a $200.00 to $1000.00 spread same load location ,length,width,height and destination i am always looking for direct frieght because in my opinion ( and mine alone) if its on a load board

1st a company with trucks is having trouble covering all of the loads (for whatever reason)

2nd the shipper does not have a relationship with a quality carrier

3rd brokers offer to do all of the legwork for the shipper in an attempt to make the shippers life easier and thats where the carrier takes the hit at no point does the carrier make the shipper more confident with his ability to cover the frieght the carrier makes the broker look like the hero to the shipper and if i was the broker the shipper would never know the carriers name to make sure he keeps thinking i am worth however much i am taking off of what the shipper is willing to pay to move thier product for me to keep making a living and the better i am at finding good carriers the more help i need ,the more help i need i need to make more money to pay the help and rising overhead to keep extra help paid enough to make a living while the shipper is not paying any more i either have to find more shippers or take more from the carrier

so where i get lost is why wouldnt the broker want to build relationships with carriers try to champion the guy making you ( broker ) look like you know what you are doing even as a broker why would you not try to build something using quality carriers pay them enough so you ony have to make one or two calls to keep your shipper happy and cover the loads take the word back haul out of your vocabulary ( that word instantly means its gonna be cheaper the the prior load) if a broker tells me its a backhaul that conversation is over right there any that wants to dispute this i am open to ant debate you want

thanks

Replied on Wed, Mar 08, 2023 at 09:51 AM CST
+ 2
Quote: "JTA Pro - here is what i am reading: NO ASSETS REVIEWS OF DECEPTIVE RATES/COMMODITIES OFFERED AND REDUCING RATES WHEN THE CONFIRMATIONS ARE SENT IMO THE FIRST LOAD WOULD BE THE LAST LOAD OR SIMPLY HANDED BACK WITH THESE PRACTICES"

We haul loads for a shipper, and those same loads are being shaved for 27%. We have the knowledge of this, specific, lane to not do business with them. But someone who is looking for something in this lane is being preyed upon, because this broker isn't showing any transparency of the price offered by the shipper. And someone who hasn't done business with this shipper, doesn't know that they are making this kind of profit margin. Most shippers turn a blind-eye to this gouging; because their product is being hauled either way. No one is arguing that brokers don't have assets, but they don't have the same assets & expenses as the truck that is hauling that load.

Replied on Wed, Mar 08, 2023 at 09:51 AM CST
Quote: "no one is saying shippers are giving anyone 25%i believe what is being said is brokers are shaving that much i came to hoppers from open deck hauling thinking there would not be as much of this nonsense as open deck i can open my subcription back up to truckstop.com and send screen shots till we all have grey hair and grandkids about the same load being posted 2 to 5,6,7 or whatever times anywhere from a $200.00 to $1000.00 spread same load location ,length,width,height and destination i am always looking for direct frieght because in my opinion ( and mine alone) if its on a load board 1st a company with trucks is having trouble covering all of the loads (for whatever reason) 2nd the shipper does not have a relationship with a quality carrier 3rd brokers offer to do all of the legwork for the shipper in an attempt to make the shippers life easier and thats where the carrier takes the hit at no point does the carrier make the shipper more confident with his ability to cover the frieght the carrier makes the broker look like the hero to the shipper and if i was the broker the shipper would never know the carriers name to make sure he keeps thinking i am worth however much i am taking off of what the shipper is willing to pay to move thier product for me to keep making a living and the better i am at finding good carriers the more help i need ,the more help i need i need to make more money to pay the help and rising overhead to keep extra help paid enough to make a living while the shipper is not paying any more i either have to find more shippers or take more from the carrier so where i get lost is why wouldnt the broker want to build relationships with carriers try to champion the guy making you ( broker ) look like you know what you are doing even as a broker why would you not try to build something using quality carriers pay them enough so you ony have to make one or two calls to keep your shipper happy and cover the loads take the word back haul out of your vocabulary ( that word instantly means its gonna be cheaper the the prior load) if a broker tells me its a backhaul that conversation is over right there any that wants to dispute this i am open to ant debate you want thanks"

I agree. There is no such thing as a backhaul. It loads & unloads the same on either side. This lack of dedication in the industry is due to the surplus of trucks, and everyone is still trying to make their buck. I don't believe that brokers are making any more now, than they used to (excluding dis-honest brokers, like previously stated). The shippers are moving product in a volatile market that has a surplus of trucks, so they are trying to keep the same margins as in years past. If you work your way down it leads to taking money out of the truck. The truck isn't without blame either because, in any negotiation, both parties agree to the amount offered. And trucks are fighting to stay moving, rather than letting these bad loads sit.

Replied on Wed, Mar 08, 2023 at 11:06 AM CST
+ 1
I know that there are good brokers. Shame they get painted with the same brush. All of a sudden there a couple people on YouTube ranting about brokers. I fellow specifically wants to get people together to do away with TQL. This I support. There are lot more folks wanting to change the broker trucker relationship than just us. How to effectively get all together is the big question. Art Pfluger
Replied on Wed, Mar 08, 2023 at 11:09 AM CST

Meanwhile equipment pours in to auction houses, like tombstones in a graveyard, as equity goes up in smoke

Truck Equipment Sales Continue to DECLINE! | Ritchie Bros. Truck Auction Update - YouTube

Replied on Wed, Mar 08, 2023 at 03:40 PM CST
Quote: "who are these fantasy shippers that give ANYONE 25% on ANY load??? let's start naming some names here as this is the 2nd post with this type of unprovable information."

Hello Nancy, Give me a call and I'll tell you a coupe I know of for sure. I'm not interested in starting a dumpster fire here but I'll be glad to talk to you on the phone.

Replied on Wed, Mar 08, 2023 at 03:40 PM CST
Quote: "JTA Pro - here is what i am reading: NO ASSETS REVIEWS OF DECEPTIVE RATES/COMMODITIES OFFERED AND REDUCING RATES WHEN THE CONFIRMATIONS ARE SENT IMO THE FIRST LOAD WOULD BE THE LAST LOAD OR SIMPLY HANDED BACK WITH THESE PRACTICES"

Ok Nancy, you don't need to call me... ROTFLMAO!!!! Not to mention any names here (TQL) but it is happening.

Replied on Wed, Mar 08, 2023 at 03:40 PM CST
Quote: "We haul loads for a shipper, and those same loads are being shaved for 27%. We have the knowledge of this, specific, lane to not do business with them. But someone who is looking for something in this lane is being preyed upon, because this broker isn't showing any transparency of the price offered by the shipper. And someone who hasn't done business with this shipper, doesn't know that they are making this kind of profit margin. Most shippers turn a blind-eye to this gouging; because their product is being hauled either way. No one is arguing that brokers don't have assets, but they don't have the same assets & expenses as the truck that is hauling that load. "

I bet that shipper also posts the same loads on here, usually just above or below JTA Pro.. I'm not sure why the shipper uses them, they are all chasing the same trucks..The shipper in question is a good bunch of people if it's the one I'm thinking of in Texas.

Replied on Wed, Mar 08, 2023 at 08:03 PM CST

https://youtu.be/-Fn1WFHwXMk

Pretty good video.. Her videos are pretty ๐Ÿ‘

Replied on Thu, Mar 09, 2023 at 06:43 AM CST
Quote: "It's only like that because truckers don't or will not come together and push back. We really control this industry"

Trucks will not shut down. Too many people bought new and payments are due. Bankers only want interest. Or a refi. Way too many farmers have their little boy truck all wi ter instead of playing on the phone. Farmer hauls in to a elevator and hauls out and. Ever unloads it. A Farmers have everything under an umbrella policy. Runs on farm plates. Just pick your farmer then go to ewg. See what tax money he gets.
Replied on Fri, Mar 10, 2023 at 06:46 AM CST
I agree, If the FMCSA is ever going to be anything besides a pain in the ass. they should require that all Brokers have at least 5 Trucks on the road at all times, and when they are caught breaking the rules they are treated like carriers that break the rules, because they would be carriers. and no longer cream sucking leeches.
Replied on Fri, Mar 10, 2023 at 10:46 AM CST

Are you kidding? The most regulated industry? So the airline industry is not regulated more? Or, how about the nuclear generating plants? You have no idea of what you are talking about. Use your gray matter a bit more there, Einstien. How many more truck jockeys are gonna believe this? Oh, the ELD made me write this. Those dam ELd's.

Replied on Fri, Mar 10, 2023 at 10:46 AM CST

You are definetly missing something. WOW

Replied on Fri, Mar 10, 2023 at 11:01 AM CST
Quote: "no one is saying shippers are giving anyone 25%i believe what is being said is brokers are shaving that much i came to hoppers from open deck hauling thinking there would not be as much of this nonsense as open deck i can open my subcription back up to truckstop.com and send screen shots till we all have grey hair and grandkids about the same load being posted 2 to 5,6,7 or whatever times anywhere from a $200.00 to $1000.00 spread same load location ,length,width,height and destination i am always looking for direct frieght because in my opinion ( and mine alone) if its on a load board 1st a company with trucks is having trouble covering all of the loads (for whatever reason) 2nd the shipper does not have a relationship with a quality carrier 3rd brokers offer to do all of the legwork for the shipper in an attempt to make the shippers life easier and thats where the carrier takes the hit at no point does the carrier make the shipper more confident with his ability to cover the frieght the carrier makes the broker look like the hero to the shipper and if i was the broker the shipper would never know the carriers name to make sure he keeps thinking i am worth however much i am taking off of what the shipper is willing to pay to move thier product for me to keep making a living and the better i am at finding good carriers the more help i need ,the more help i need i need to make more money to pay the help and rising overhead to keep extra help paid enough to make a living while the shipper is not paying any more i either have to find more shippers or take more from the carrier so where i get lost is why wouldnt the broker want to build relationships with carriers try to champion the guy making you ( broker ) look like you know what you are doing even as a broker why would you not try to build something using quality carriers pay them enough so you ony have to make one or two calls to keep your shipper happy and cover the loads take the word back haul out of your vocabulary ( that word instantly means its gonna be cheaper the the prior load) if a broker tells me its a backhaul that conversation is over right there any that wants to dispute this i am open to ant debate you want thanks"

I sure wish you guys would post those numbers. Those stinky brokers, are just like he ELD's. By gawd, its their fault that we are too dam dumb to do it ourselves. And, those shippers are skimming off the top of our rates for sure. Now, if you believe that, just move along. Don't ask them for those "cheap rates" so you can b**** on this forum post. What a bunch of crybabies. DO IT YOURSELF.

Replied on Fri, Mar 10, 2023 at 02:26 PM CST

Looks like we know who is posting all the red dislikes on these threads.. EASY DAVE, BREATHE... It's Friday we don't need you ruining your weekend over a forum post. Would you have got so triggered if he would have said the trucking industry is heavily regulated instead of MOST regulated? Regardless, I think you got his point. If not, he was merely saying Carriers are far more regulated than Brokers. His opinion holds exactly the same weight as yours, or anybody elses. You seem to blow up every time someone talks bad about brokers, and couple of the bad ones have been called out for it. Obviously, no one called you out so you must be one of the good ones. Surely you aren't naive enough to believe there aren't brokerages out there running scams. As your Uncle Joe say: "Come on Man". Until someone specifically calls you out, don't worry about it, have a good weekend. I gotta say, I get $50.00 a month worth of value off of these threads alone, heck with the load board, this stuff is PRICELESS!

Replied on Sat, Mar 11, 2023 at 08:12 AM CST
Quote: "Looks like we know who is posting all the red dislikes on these threads.. EASY DAVE, BREATHE... It's Friday we don't need you ruining your weekend over a forum post. Would you have got so triggered if he would have said the trucking industry is heavily regulated instead of MOST regulated? Regardless, I think you got his point. If not, he was merely saying Carriers are far more regulated than Brokers. His opinion holds exactly the same weight as yours, or anybody elses. You seem to blow up every time someone talks bad about brokers, and couple of the bad ones have been called out for it. Obviously, no one called you out so you must be one of the good ones. Surely you aren't naive enough to believe there aren't brokerages out there running scams. As your Uncle Joe say: "Come on Man". Until someone specifically calls you out, don't worry about it, have a good weekend. I gotta say, I get $50.00 a month worth of value off of these threads alone, heck with the load board, this stuff is PRICELESS! "

I think heโ€™s in a bad mood because the equity in his Volvo powered truck disappeared, and his stock in the ELD company seems to be tanking.
Replied on Sat, Mar 11, 2023 at 08:14 AM CST
For the most part the truckers are all in agreement that rates need to go higher, there are several threads on here that try to move the marketing in that direction, and here comes a Supposedly fellow trucker who attacks his own group and calls them a bunch of cry babies? This strange phenomenon seems to only occur inside of trucking, I have never seen a salesman on a car lot come out and bash the product they are trying to sell, but over here in the world of trucking we see all the time, I have never once seen a major carrier talk that way, itโ€™s always some clown with a few trucks who can only only recruit his own family members, why is that?
Replied on Sat, Mar 11, 2023 at 04:39 PM CST

The title of this thread should be Truckers vs Truckers, because right now (industry wide) that's what it is.... Sure there are issues in this business in relation to brokers that need addressed.

IMO All brokers should be required to carry a bond and be a licensed agent much like real-estate. Freight factoring and "fast pay" should be outlawed. The fast pay schemes are not much different than the coal companies (back in the day) paying employees in company store money... you run the load for a broker that takes a percentage of the load pay, only to then give up another 2-5% just to get paid in a timely fashion.

But all in all, this downturn in trucking has more to do with the fly by night guys that seen dollar signs in trucking during the pandemic, they bought and flooded the market with expensive trucks. Trucking has never been a get rich overnight deal. We actually need this downturn to shake loose some of those guys/gals that should have never bought a truck in the first place.

Replied on Sat, Mar 11, 2023 at 04:41 PM CST
Quote: "Are you kidding? The most regulated industry? So the airline industry is not regulated more? Or, how about the nuclear generating plants? You have no idea of what you are talking about. Use your gray matter a bit more there, Einstien. How many more truck jockeys are gonna believe this? Oh, the ELD made me write this. Those dam ELd's. "

Dave I know about the FAA I am a pilot also.
sorry I don't know about the nuclear but please inform us. My plane only needs registration and an annual. I don't have a fuel tax when I fly across state lines

you can also fly without a license or a medical in a ultralight.

Replied on Sat, Mar 11, 2023 at 04:41 PM CST
+ 1
Quote: "https://youtu.be/-Fn1WFHwXMk Pretty good video.. Her videos are pretty ๐Ÿ‘ "

thst was a good video you posted

Replied on Sat, Mar 11, 2023 at 04:41 PM CST

Hey everyone, please hit the link in THE INDUSTRY NEWS here on BL , and hit the link FMSCA WANTS FEED BACK ON WEEDING OUT CORRUPT BROKERS...all the responses that are here also need to go on that link.

Replied on Sat, Mar 11, 2023 at 04:42 PM CST
+ 1

I'm a broker, I have a couple trucks. I suppose the reason some brokers take so much is because they can. It's all a matter of TIME, if you have the time, and you have the contacts to run direct for a shipper or have a shipper that is on their game enough to work directly with truckers then thats awesome, keep it up.

Most people don't have time, or dont have someone at home running the business to be able to call on shippers to go direct. as for trucking expense and regulation vs cost of pen paper and computer I believe we are all working for roughly something in the $100/hr range, I personally charge $100 of the all in price of the load (as an admin fee, so the truckers can write it off) when I brokera load, takes me about an hour worth of paperwork and calls to set the load up.

I do not understand why truckers blame the brokers for cheap freight, I do understand that there are brokers that are gouging truckers, but for the most part ( i believe) the brokers and truckers should be working together to raise rates from the shipper. Most of what I see is that the shipper knows what the lane average is and thats what they will pay, but they dont or wont do their job and find the trucks themselves, they put it on a broker to find the trucks so now a somewhat average rate is cut by 10% and the only person that wins is the shipper.

I could sit and write a dissertation on this whole thing looking at every angle and in the end I believe that it comes down to everyone is at fault. The guy who spends a couple hundred thousand on a new beautiful truck and trailer and wonders why he isn't making as much or getting paid more than the guy who spent $60,000 on a used truck, Brokers who are gouging the truckers for more than a fair and equitable rate and the shipper who are mostly to blame (imo) for horrible rates to begin with and pawning their job off on to someone else but not paying for that added service.

Someone made a comment to the effect of "shut the trucks down and see what washington does" well..... sorry but they wont notice, someone will always take the load cheaper, someone will always sell fuel cheaper, someone will always sell tires cheaper, and for every beautiful woman out there someone is still sick of her shi@ but there will ALWAYS be someone who is willing to deal with it.

TRUCKERS AND BROKERS SHOULD WORK TOGETHER TO RAISE RATES

I'm curious as to why the trucker/broker relationship is as big of a concern but oil companies making $6.3 MILLION AN HOUR, $56 BILLION / YR is something that "well I guess it is what it is, and we just have to deal with it." So now that we just sit back and deal with the fact that we are getting HOSED by the oil company, we want someone to pay us a fuel surcharge so we can recoup some of our expenses???REALLY????

Cheaper fuel = lower rates, we dont want lower rates because our trucks cost too much now, trucks cost too much now because Why?????

insurance is outrageous because shitty drivers, shitty trucks and lawyers

Don't park your truck because you think Washington is gonna do something about it, we are regulated so heavily because they are making $$$$$

park your truck because the rate sucks, move on from the broker thats screwing you (although you will find alot of shippers screwing you just as badly)

Replied on Sun, Mar 12, 2023 at 09:15 PM CST
Quote: "I think heโ€™s in a bad mood because the equity in his Volvo powered truck disappeared, and his stock in the ELD company seems to be tanking."

Now that's funny๐Ÿ˜‚๐Ÿ˜‚๐Ÿ˜‚

Replied on Sun, Mar 12, 2023 at 09:15 PM CST
Quote: "The title of this thread should be Truckers vs Truckers, because right now (industry wide) that's what it is.... Sure there are issues in this business in relation to brokers that need addressed. IMO All brokers should be required to carry a bond and be a licensed agent much like real-estate. Freight factoring and "fast pay" should be outlawed. The fast pay schemes are not much different than the coal companies (back in the day) paying employees in company store money... you run the load for a broker that takes a percentage of the load pay, only to then give up another 2-5% just to get paid in a timely fashion. But all in all, this downturn in trucking has more to do with the fly by night guys that seen dollar signs in trucking during the pandemic, they bought and flooded the market with expensive trucks. Trucking has never been a get rich overnight deal. We actually need this downturn to shake loose some of those guys/gals that should have never bought a truck in the first place. "

I completely agree, however the problem is made worse by all the brokers that popped up at the same time. That are in a battle for survival, and we are collateral damage..

Replied on Sun, Mar 12, 2023 at 09:16 PM CST
Quote: "I'm a broker, I have a couple trucks. I suppose the reason some brokers take so much is because they can. It's all a matter of TIME, if you have the time, and you have the contacts to run direct for a shipper or have a shipper that is on their game enough to work directly with truckers then thats awesome, keep it up. Most people don't have time, or dont have someone at home running the business to be able to call on shippers to go direct. as for trucking expense and regulation vs cost of pen paper and computer I believe we are all working for roughly something in the $100/hr range, I personally charge $100 of the all in price of the load (as an admin fee, so the truckers can write it off) when I brokera load, takes me about an hour worth of paperwork and calls to set the load up. I do not understand why truckers blame the brokers for cheap freight, I do understand that there are brokers that are gouging truckers, but for the most part ( i believe) the brokers and truckers should be working together to raise rates from the shipper. Most of what I see is that the shipper knows what the lane average is and thats what they will pay, but they dont or wont do their job and find the trucks themselves, they put it on a broker to find the trucks so now a somewhat average rate is cut by 10% and the only person that wins is the shipper. I could sit and write a dissertation on this whole thing looking at every angle and in the end I believe that it comes down to everyone is at fault. The guy who spends a couple hundred thousand on a new beautiful truck and trailer and wonders why he isn't making as much or getting paid more than the guy who spent $60,000 on a used truck, Brokers who are gouging the truckers for more than a fair and equitable rate and the shipper who are mostly to blame (imo) for horrible rates to begin with and pawning their job off on to someone else but not paying for that added service. Someone made a comment to the effect of "shut the trucks down and see what washington does" well..... sorry but they wont notice, someone will always take the load cheaper, someone will always sell fuel cheaper, someone will always sell tires cheaper, and for every beautiful woman out there someone is still sick of her shi@ but there will ALWAYS be someone who is willing to deal with it. TRUCKERS AND BROKERS SHOULD WORK TOGETHER TO RAISE RATES I'm curious as to why the trucker/broker relationship is as big of a concern but oil companies making $6.3 MILLION AN HOUR, $56 BILLION / YR is something that "well I guess it is what it is, and we just have to deal with it." So now that we just sit back and deal with the fact that we are getting HOSED by the oil company, we want someone to pay us a fuel surcharge so we can recoup some of our expenses???REALLY???? Cheaper fuel = lower rates, we dont want lower rates because our trucks cost too much now, trucks cost too much now because Why????? insurance is outrageous because shitty drivers, shitty trucks and lawyers Don't park your truck because you think Washington is gonna do something about it, we are regulated so heavily because they are making $$$$$ park your truck because the rate sucks, move on from the broker thats screwing you (although you will find alot of shippers screwing you just as badly) "

What kind of business willingly sells themselves short then accuses the customer of "screwing" them??!