The Search for Safe Truck Parking

One of the issues that continues to plague truck drivers is the lack of access to safe, convenient parking.  This problem has been impacting the industry for years and is sometimes the last straw for drivers to exit the profession.  Recently at the National Association of Truck Stop Operators (NATSO) convention, the parking crisis was summarized with the financial impact drivers experience.  Dan Murray, the Vice President of Research for the ATRI, estimated that lost wages associated with seeking out parking costs a driver an average of $4600 per year.   This is a staggering number for owner operators managing expenses and can lead to more truck driver turnover.  Drivers spend approximately 56 minutes per day, according to ATRI, looking to find a place to park and rest.  Add this seemingly small inconvenience to the list of concerns for truck drivers and it can be the tipping point. This is an opportunity for shippers to differentiate themselves and improve relationships with their carrier suppliers.  If not by actually offering parking on site, which may not be feasible, then to consider paying for parking or the extra hour incurred to find it.  We continue to hear industry experts discuss that ultimately we will need to pay higher wages to drivers to relieve the driver deficit. A small step, such as parking reimbursement, could have a positive impact and add to driver engagement.  It is a unique accessorial charge that could be implemented into your route guide execution producing favorable results. Join our newsletter. click here

Is FedEx’s decision to split up with Amazon a shift in the industry?

Dive Brief: As the dust settles on FedEx's decision not to renew its Express domestic contract with Amazon, analysts disagree on whether the move was a prudent one or a risk that could jeopardize FedEx's margins further down the line. In research notes emailed to Supply Chain Dive Monday, Moody's analysts said the decision "makes sense given expectations of strong e-commerce growth." Morgan Stanley analysts said the carrier is putting its margins at risk while claiming to do the opposite. FedEx justified the move as an opportunity to take advantage of "significant demand and opportunity for growth in e-commerce," stating just 1.3% of FedEx's total revenue comes from Amazon business. FedEx reported $17.3 billion in revenue in 2018. No matter which outlook turns out to be true, the situation "signals [Amazon's] emergence as a significant player in the industry and brings a new level of risk to numbers at both UPS and [FedEx]," according to Morgan Stanley, whose analysts warned against underplaying the impact of FedEx's move. Dive Insight: Moody's analysts seem to buy FedEx's own explanation for breaking up with Amazon, stating there will be enough e-commerce parcel volume to support FedEx's growth in Express and Ground services, even after the carrier added Sunday delivery. FedEx and other carriers have made it clear in the past that Amazon's business is a volume game — low margins but seemingly endless volume, in theory, can still be good business. But, Morgan Stanley explained, Amazon has downplayed the amount of revenue it was bringing in from Amazon's express business, but the Express network represents a fixed cost — meaning delivery capacity on...

DAT: Van Rates Finally Get a Boost in Jun 2019

For many motor carriers, June couldn't get here fast enough. This is typically the busiest time of the year for spot freight, and it brings in some of the highest rates of the year for trucking companies. Last week, prices increased on 90 of the top 100 van lanes, and on DAT load boards, there were more load posts than any other single week since last September. To read more, click here: [Link No Longer Active] Join our newsletter. click here