There are many things to keep in mind when running a logistics company. Schedules, cash flow, recruitment, fleet management and route systems are among a few. It can be hard to consider more than the essentials of finding clients or cargo and arranging contracts based on efficient routes. But it is worth the effort to consider integrating your return routes into your cargo system so as to kill dead mileage. The potential for more routes, cheaper rates, new contracts, shared space and proven and tried schedules will benefit both the haulage company and the client with cargo. More routes Imagine you are a small to medium sized transportation company specialising in moving cargo with a fleet of trucks. No doubt your orders and the routes that develop from these orders would result in many empty back loads as the trucks come back from their destinations to the depot. Instead of simply adding new routes why not capitalise on these empty trucks and fill them with fresh orders, thus multiplying routes? Cheaper rates Adding more routes is an essential part of your business if you run a transport company. But there is a significant outlay in equipment and other expenses. The benefit of back loads is that you will often have a client who has paid for the delivery in such a way that compensates also for the return leg. This means you can offer the return leg at a cheaper rate. New Contacts This, in turn, will reward your business with new contracts. When you capitalise on back loads you can effectively advertise brand new routes at reduced prices for fresh clients. This, combined with effective advertising on an online haulage exchange which allows specific and fast contact with clients looking for hauls, will allow you to attract clients without needing to take on new routes; you can then use these connections to develop further business. Share space Effective communication about the availability of potential back loads to the marketplace will allow people to share the use of your containers. This attracts an even broader range of clients, and allows you to raise rates on return legs that may have already been compensated for by the original client who paid for the original delivery. So by this form of marketing you are developing routes that will become profitable due to heavily reduced expenditure. Proven schedules Finally, these return jobs and full containers are reliable because they are not new routes but rather the return legs of proven routes. You don't need to add any new trucks or drivers or additional fuel; you simply need to take advantage of schedule you already use and trust - but instead of facing dead mileage, you gain profits. Norman Dulwich is a correspondent for Haulage Exchange, the world's largest neutral trading hub for same day back loads in the express freight exchange industry. Over 2,500 transport exchange businesses are networked together through their website, trading jobs and capacity in a safe 'wholesale' environment.
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