Why Brokers & Carriers Make the Perfect Couple
Carriers and brokers have proven time and time again that they are a perfect match. Thanks to a fundamental interdependence and a culture of mutual respect, when carriers and brokers work together everyone wins. But some carriers a little hesitant when it comes to working with a broker. A few “bad egg” brokers are responsible for a false reputation of unpaid work and green-behind-the-ears brokerage agents. Lose-lose situations leave a bad taste in everyone’s mouth, including ours. So, let’s expand on some of the reasons why brokers and carriers are a great match.
Fundamental Interdependence: Brokers need carriers for their loads, and carriers need loads for their equipment.
When you break down the carrier/broker relationship, it’s shows a perfect opportunity for collaboration. Carriers have trucks, and need loads to fill them. Even when they have loads, they need to fill the backhaul so that their assets are utilized as much as possible. Brokers have a wide variety of loads all over the country, and need to get them from point A to point B safely and securely.
It’s the classic “you scratch my back, I’ll scratch yours” situation. Both parties would be in a dilemma without the other. Sure, they can each function on their own without the other. A broker can buy their own trucks to carry loads. A carrier can waste valuable resources trying to find shippers. Just like any perfect couple, they’re both better when they work together.
Diversity Matters: Carriers can tap into a broker’s wide network of shippers.
If a carrier worked with just one shipper, they would get just one kind of load. That’s not a good business model for the carrier that wants to remain flexible. By partnering with a broker, a carrier can tap into a wide variety of loads going anywhere in the country. Say you want to get to Tampa to take advantage of produce season – going there with an empty truck isn’t very efficient and will eat into your profits. A broker can help you find the perfect load – not only to get you into Florida, but a load to take you out of Florida as well.
Having the ability to tap into a bigger shipper network can also come in handy if your company has a wide variety of assets. A single shipper may not be able to fill flatbeds, dry vans AND reefers, but a broker can. In addition, say you want to grow your business in the future or add a new kind of truck to your fleet – a broker can scale with you, and help you find more loads for your trucks as you grow.
Mutual Respect: The critical turning point.
The last ingredient in a perfect broker-carrier relationship is mutual respect. This is the cornerstone of any relationship, business or otherwise. It is often the point of failure, and the reason carriers don’t like working with brokers. Carriers deserve respect through fair pricing, safe loads, clear direction, and honest expectations. Brokers deserve respect through carriers following through on promised times, and safe carrier practices. If both parties provide this for the other - they truly do make the perfect couple.
Looking for a logistics match made in heaven?
Redwood is a carrier-friendly company with guaranteed on-time payments and enough loads to keep you busy all year round. You can give us a call at (773) 342-5780 anytime to speak directly with a dedicated carrier expert.