With the demand for ground shipping increasing at an astronomical rate, the availability of trucks is becoming more and more problematic. One solution for shippers is operating their own fleet of trucks. A more feasible option, however, is moving their freight with dedicated trucking.
What is Dedicated Trucking?
This shipping term refers to the transportation of freight from a sole shipper on a truck. Also known as dedicated freight, contract freight or primary freight, the dedicated truck carries cargo exclusively from a single customer, not multiple ones.
Advantages of Dedicated Trucking
A major benefit of transporting cargo with a dedicated truck is more timely pickups and deliveries. With only one shipper’s freight on board, there are no other loads or unloads prior to the destination. This means less time in transit. It also means easier modification of route schedules, if needed, thus avoiding costly delays.
As an added bonus, the limited handling of cargo results in reduced possibility of product damage.
Dedicated trucking is certainly more cost-effective when compared to operating one’s own fleet. Shippers who utilize this trucking option can secure reliable transportation while avoiding major fleet expenses such as truck maintenance and driver wages. Stressors like capacity issues and driver recruitment and retention are eliminated as well.
Another cost-benefit of dedicated trucking is the ability to lock in more economical shipping rates than those found in today’s spot market. While demand has steadily increased, truck availability has stayed flat or even decreased due to the shortage of truck drivers. This has caused shipping prices to spike. Dedicated trucking options ensure the movement of freight while avoiding the increasing costs within the spot market.
Savings in shipping can also be obtained when using dedicated trucking consistently on designated routes or lanes. Carriers are often able to offer lower shipping rates when utilizing the same routes on a routine schedule, thus optimizing their equipment usage and reducing empty mile costs.
Downside of Dedicated Trucking
To secure dedicated trucking services, some carriers require a shipper to sign a long-term contract. This guarantees capacity for the carrier, but then obligates the shipper according to the terms of the contract.
Even if a contract is not required, the dedicated trucking option can be more expensive. In the case of smaller freight loads, carriers benefit greatly from transporting many separate shipments on one truck. By limiting the carrier to one shipper for a single trip, the cost goes up to compensate for the underutilized space.
The Right Trucking Option for You
While our name clearly indicates our expertise in providing reliable air freight services, Grand Aire is also well experienced in securing expedited trucking solutions. Our Ground Expedite Specialists are accessible 24/7/365 to assist with your trucking needs. For more information, give us a call at 1-800-70-GRAND or email our team at logistics@grandaire.com.
