Check the Internet for volume pricing specials
Ray Bohman -- Logistics Management, 5/1/2001
For some time now, most of the major less-than-truckload (LTL) carriers have made their standard, non-discounted class rates available through their Web sites. Now some are going a step further and are offering volume specials online.
One such carrier is Roadway Express, which numbers among the nation's largest LTL carriers. By going to its Web site (roadway.com/services/truckldvolume.htm), shippers can view a section titled "Volume Shipping Lane Specials," which lists special, reduced volume-shipment prices that are available between direct points served in certain named states.
For example, state-to-state specials offered by Roadway through April 30, 2001, applied from five originating states: Colorado, Florida, Louisiana, Minnesota, and Texas. Applicable destination states included Indiana, Tennessee, Georgia, North Carolina, South Carolina, Ohio, and Missouri.
Pricing specials are quoted not only from state to state but also from named origin cities to named destination cities. Origins in the latest Roadway listings included Atlanta, Denver, Kansas City, and Oklahoma City. Destination cities named were Cincinnati, Chicago, Indianapolis, St. Louis, and Dallas.
Rates are quoted in two ways. For shipments weighing up to 18,000 pounds (subject to a minimum of 7,500 pounds), rates are quoted per 100 pounds. In the April postings, those rates ranged from a low of $2.16 to a high of $3.80 per 100 pounds.
Rates are also quoted on a per-mile basis. For one full 28-foot pup, rates applicable through April 30 ranged from a low of 50 cents per mile to a high of 82 cents per mile, subject to a minimum charge of $350. For two pups or one 48-foot van, the rates ranged from a low of 92 cents per mile to as much as $1.30 per mile, subject to a minimum charge of $500 for a set of pups or a 48-foot van. (Mileages are based on the Household Goods Mileage standards.)
This type of pricing arrangement offers many benefits for anyone who needs service over the lanes the carrier covers. For one thing, there is no need to negotiate; the rates are there for the taking. And the pricing is simplified because you pay only for the space you use. Through Roadway's program, shippers can choose the type of equipment they need, all the way from a 28-foot pup to a 48-foot van. Real-time tracking is also available either via the Web or through Roadway's toll-free, interactive voiceresponse telephone system.
Given these kinds of benefits, you may want to check out other major LTL carriers' Web sites to see what types of pricing specials they may be offering.
Ray Bohman, a well-known consultant and author, is editor of several highly successful newsletters on transportation and is a consultant to a number of national trade associations. He is president of The Bohman Group, consultants and publishers in the freight-transportation field. His offices are located at 27 Bay Lane, Chatham, MA 02633. Phone: (508) 945-2272.





















View All Blogs
