Where would you say your biggest competitors are? Who are you watching most closely in the brokerage space?There's something to the effect of 18,000 3PLs in the US alone. And there's very few that are better at scale.
But the one constant has been our position as being the largest provider of 3PL services over that 20 years that I've been here. We've got really aggressive plans to serve our customers in new and unique ways that I believe will keep us on the top of that listing for the next 20 years. It's kind of funny because I only started covering a year and a half ago.
The 3PL market share continued to grow from what was 3%, at that point, of the total addressable market, to today being closer to 20%, with a run rate toward 30% take rate in the next several years. So, the 3PL space continues to grow.If you go to say, 2005, the next five-year tranche, five to 10, you have the emergence of a number of large new companies in our space. Companies like Coyote and what is now GlobalTranz, and Echo.
When do you see these pressures coming down a little bit? When do you see the trucking industry on the up and up again? I didn't mean to portray a picture that the trucking industry isn't healthy. There's more freight in the marketplace today than there was last year. You've got a growing contractual marketplace and obviously a declining stock market base, but the contractual market is so much larger than what is the stock market at any given time.
That's the natural part of the cycle that's played out every time that we've seen some of this rapid run-up in pricing, capacity tends to follow it. Then we get to these periods of recovery in the cycle. Nature takes its course. The reality is that being an over the road truck driver is a really difficult job. You can look at the health statistics and everything else that goes along with that. You don't need me opining about that. The data is there.Truck drivers fear for their safety on the road — but the vast majority of them face a much bigger threat
Because if we can unlock significant amounts of the existing infrastructure that's there, it lessens that overall truck driver shortage.We're simply not going to attract truck drivers to the industry until they start being treated better. Drivers are very smart and while it might not be a line item on every load, drivers know that when they go to a facility, they understand the characteristics of that facility. If they know that they're going to wait an extended period of time at that facility, they're likely going to charge a higher rate on a per-mile basis than if they were going to a facility that was more favorably rated.
United States United States Latest News, United States United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Source: BusinessInsider - 🏆 729. / 51 Read more »