Overdrive

March 2017

Overdrive Magazine | Trucking Business News & Owner Operator Info

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March 2017 | Overdrive | 29 brokerages themselves, but neither has disclosed plans directly. Uber has begun fishing for interested carriers and shippers alike via its Freight.Uber.com website in advance of launching a com- mercial service. Meanwhile, established load ser- vices such as DAT and Truckstop.com have plentiful freight, most of it from brokers, though some shippers use the technology to source spot capacity. Others include 123LoadBoard, Truck It Smart and Trucker Path's relatively new mobile-focused Truckloads app. In December, an established spot freight option, GetLoaded.com, known for its strength in specialty platform freight and hotshot loads, was consolidated into the DAT network. For the dozens of others already established or fighting for a foothold, the reality of the truckload and less- than-truckload markets has tempered the visions of some. Most carriers want more predictability in scheduling than a purely Uber-style spot-pickup system can offer. While a high-functioning shipper-direct marketplace for freight hasn't fully materialized for owner- operators, developments hold potential for improvements in rates, freight avail- ability and productivity in the brokered freight landscape. A lot of the "uberization of truck- ing" sizzle comes from the implied promise of disintermediation: "the elimination of the middleman and the cost the middle person imposes on the marketplace," said Noël Perry, FTR Associates senior consultant. "The hypothesis is that they're so efficient, they're going to put [established bro- kers] out of business." Speaking at Truckstop.com's Connected 2016 conference in November, Perry explained that unlike taxis, the trucking market lacks a con- siderable "excess margin" that can be eliminated. Many people believe taxis were overpriced prior to the rise of Uber and competitor Lyft, particularly in underserved markets. Introduction of better prices created new demand for ride-sharing services. That's not so ONLINE EXTRAS Independent Ivan Sandul, pictured with his curtainside flatbed and '09 Cascadia, is a longtime user of load ser- vices DAT and Truckstop.com, as well as Trucker Path's free Truckloads app. Sandul depends on the longtime load-board players for the sheer variety of freight, and both have introduced new mobile apps (DAT Load Board and Truckstop. com Mobile) in recent months. He's also finding freight via the mobile-centric Truckloads app, which he lauds for its speed and simplicity. Search "mobile load boards" at OverdriveOnline.com for more about Sandul and all three of these boards. Truckloads One of the attractions of tech brokerages' systems is quick pric- ing offered to shippers looking to move loads, as illustrated by LoadSmart's shipper dashboard. LoadSmart and other would-be freight market disruptors attempt to provide a level of automation and data science into pricing algorithms to reflect market conditions. Algorithms can include spot rate averages from DAT and Truckstop. com, historical data from within the brokerages' own networks and more. On the other end, some carriers report insufficient rates, in some ways running counter to the appeal of increased transaction speed available through technology. Search "Show me the money" at OverdriveOnline.com to read more about where rates could go with greater availability of on-demand services. Rates and pricing in the on-demand freight environment

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