While change is constant there is one thing we know for sure: The LTL industry is going to look a lot different in 2024 than it did in 2023!
Now that the Teamsters have concluded their negotiations with ABF, T-Force and of course, UPS, we have some idea on where driver compensation will be headed over the next five years. In a word, the answer is “UP” - as in driver wages will be going up.
We also know that with the closure of Yellow, we know where LTL capacity is going. In a word, the answer is “DOWN” – as in there will be less available LTL capacity at least for the next 12 – 15 months.
Now, some shippers are going to look at this and see it as an opportunity to out-perform their competitors by having a proactive dialogue with their carriers for ways to lower their costs. Other shippers will see it as a problem that will lead to higher costs.
Here is why the opportunity versus problem orientation is so important. What if I told you that the difference in your LTL rates from conducting a sourcing event the “RIGHT WAY” versus the “WRONG WAY” could be as much as a difference of 15% to 20% in your LTL rates?
Companies who view the changes in the LTL industry as an opportunity are committed to conducting a sourcing event the “RIGHT WAY.” And that is what we will be discussing at our extremely important upcoming webinar on Tuesday, September 19th at 11am Central/ Noon Eastern. Along with our friends from CSCMP and the NIT League, we want to invite you to join us as we look at how "Yellow's Closure Creates Opportunities for LTL Shippers."
After debuting this valuable information with a group of 50 C-Level Executives about the cost saving opportunities in the LTL marketplace, we received phenomenal ratings. But then something interesting happened, we heard from these executives who asked if we would do an “encore” performance so they could make sure to have other members of their team attend the webcast.
So we’re delighted to honor that request. On this webcast, you'll hear some valuable information and advice from these experts:
- Geoff Muessig, CMO, Pitt Ohio
- Steve Robinson, Entrepreneur, Investor, Award Winning Supply Chain Executive
- Moderator: Mike Regan, Co-Founder, TranzAct Technologies
Geoff Muessig will highlight six items that can in fact help potentially lower your LTL costs by as much as 15-20%. Steve Robinson will point out some critical strategies you need to have in place to navigate the changes in the marketplace. He will also address how the sales, operational and procurement decisions you make will impact your freight costs.
I am very confident that this will be a great investment of your time. So I hope you can join us and encourage you to invite your co-workers as we cover the many recent significant marketplace changes. And with Yellow’s decision to put their terminals up for auction in lieu of accepting strong offers from Estes or Old Dominion, this webcast will be very timely and topical.
You do not want to miss this webinar, so sign up today and you will receive a recording even if you can't make it live.
Also, before signing off, don't forget to sign up for at least one of these two major conferences that will be held in October: One is the CSCMP Edge Conference in Orlando, Florida from October 1-4, and the other is the NIT League’s Engage Conference in Columbus, Ohio from October 9-11.
Personally, I attend both of these events every year and find them invaluable in helping us assess and understand how the freight markets are changing due to events and other factors. And I'll be at both of these conferences this year and hope to see you there, so simply send me an email or stop by Booth 603 at the CSCMP Edge Conference if you'd like to meet.
BY MIKE REGAN, CO-FOUNDER OF TRANZACT
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