How Do Owner-Operators Find Shippers?

Typically, owner-operators run businesses on their own. Sometimes, they can get contracted dispatcher services to handle tasks, like booking loads, negotiating rates with shippers or brokers, and dispatching deliveries. Should this not be the case, which is exactly what we are going to explore in this article, an owner-operator has to find the most reliable way to get quality loads regularly.

The profitability and long-term success depend heavily on a consistent workload. Providing it involves thorough market research with the use of efficient strategies. An owner-operator may need specific software, cooperate with freight brokers directly, make cold calls, and more. We are going to describe in detail the methods available in the USA to book high-paying loads that match the capabilities of the fleet and provide a steady income.

Load Boards

In addition to being a driver of his own truck and delivering cargo to the destination, an operator should take care of busy schedules, avoid empty miles, and provide reloading for the return trip to earn steadily high revenue. Scheduling takes lots of time. But it’ll be much easier when the dedicated online platforms are used to find freight.

Load boards are the most popular tools for this purpose, which are digital marketplaces where shippers or freight brokers post their requests, while dispatchers, owner-operators, or carriers are looking for loads matching their fleet specifications and business goals. They serve as real-time matching online resources with intuitive interfaces and thousands of loads posted daily.

To make the most of a load board, users should master its functionality. Here, freight offers from all over the country are available with various destinations and rates. It makes sense to apply convenient filters to narrow the search. Some sites of this kind suggest benefiting from online analytical tools. For instance, DAT shows average market rates. Also, a user can verify a party to the contract, whether a shipper or a carrier, to ensure that a potential deal will be legal and safe. Such resources provide access to lawful information, including credit scores or safety ratings.

To get started, it is recommended to consider the most frequently used resources, like DAT, DirectFreight, and Truckstop, as they are comprehensive and preferred by major participants of the market. To benefit from freight listings, a user should register an account on the platform, create a profile with a clear service description, and pay a monthly subscription fee.

We’d mention a challenge here, as a competition is rather high within such large boards, deserving of confidence. That is why it is important to monitor offerings regularly and book worthy loads in a fast manner. Typically, there is an alert option, which should be activated to get notifications about new matching cargo posted on a digital platform. If an owner-operator has a reefer or a permit to transport hazardous materials, he should look through specialized boards in addition to general ones. To maximize success, we recommend setting up accounts on several dedicated websites and apps.

Freight Brokers

Another way to get continuous access to loads is to cooperate with freight brokers, who work for shippers and look for beneficial delivery terms. Experienced brokers have solid client bases with direct connections with loyal, motivated, and trusted shippers. Again, it is better to deal with several brokers to be able to choose.

An owner-operator should have an active USDOT number, an MC number (with operating authority activated for at least), and insurance. Otherwise, cooperation with freight brokers as well as transport operations is not possible.

To get in touch with an intermediary, an owner-operator can create a personal profile on load boards and other associated online resources that connect service providers with customers or provide job offerings, like LinkedIn or social media. This passive monitoring tool will work without active driver engagement. A broker can take an interest in stated capabilities or special services and initiate a contact. If this is the case, it is vital to communicate wisely and verify the credit rating of a new broker.

Also, it is recommended to proactively look for customers. It makes sense to contact those brokers or shippers, inspiring trust, and propose a partnership or collaboration. It is crucial to attend industry events, as personal meetings contribute a lot to cooperation. An owner-operator should stay professional when communicating and be ready to show the associated updated documents. When getting the first load, it is dramatically important to honor all the agreements, meet delivery deadlines, and persuade brokers to continue cooperation. Pros of working with brokers include:

• fast access to a wide network of shippers;
• enhanced productivity thanks to steady loads;
• information about market trends typically shared by brokers;
• reduced operational costs due to exact matches;
• simplified billing and some other administrative tasks.

Being so efficient, this way to find loads comes with such a drawback as a lower rate compared with direct agreements with shippers. This difference can reach 20%. Also, to build a strong relationship, a driver should not refuse offered loads, which means less flexible schedules and low-paying cargo, included in the offer.

Direct Shippers

Contacting shippers for direct contracts is probably the best way to get loads regarding profitability. No broker’s margin or monthly subscription fee is paid. In some cases, the profit can increase by 35%. If cooperation meets expectations of both parties, long-term business relationships can be established, which means that consistent loads are almost guaranteed. This business model allows for better communication, a predictable, flexible schedule, and the regular quality of loads with an understanding of what is expected, which reduces the operational strain and potential risks related to new conditions.

Dispatch Services & Tools

To avoid issues connected with load booking, it is recommended to hire a dispatcher. This option will reduce profit but remove hassle. A dispatcher will book loads that meet owner-operator needs and truck specifications, negotiate rates, develop the best routes, considering fuel consumption, ensure compliance, timely maintenance, and cost-efficiency of the delivery. He will adjust the route to changes if they occur on the road. Contracting a dispatcher solves a wide range of problems and saves a driver money and time.

Also, an owner-operator can execute a similar scenario by entrusting load booking to dispatch software or applications developed for mobile cargo searching, which provide access to a vast freight network to book loads directly from a shipper. Such an advanced transportation management system as McLeod Software is designed for dispatching. It helps a carrier plan loads and define a matching freight offer. The allGeo software automatically monitors logistics providers according to the required parameters. There are other useful products that are recommended to perform the above tasks. We’d offer the following tips for this option:

• to book loads being highly competitive, use popular load boards like DAT and Truckstop;
• to enable automated bookings, consider dedicated apps, like Trucker Tools’ Book-It-Now;
• to benefit from networking, find target groups in social media, like Facebook, and other online communities for commercial truckers, like Truckers Report;
• to digitize documents and simplify routine operations, pay attention to CamScanner and similar products;
• to manage fuel, find the lowest price along the route, and use apps like GasBuddy.

To enhance dispatching skills, it makes sense to learn the ins and outs of freight finding by taking a dispatch course to find out how routes are planned, what differences in negotiation with shippers and brokers are, and how to make the most of load boards.

In addition to online resources and communities, it is vital to communicate in real life and build relationships with brokers, shippers, dispatchers, and other owner-operators in any appropriate locations, including fuel stations, truck stops, and industry events. Being deeply involved, still verify the potential partners to avoid issues with payments and scams. There are sites to see broker credit ratings and other official data to prove the reliability of a client or intermediary.

Conclusion

To find the best loads, owner-operators should combine multiple strategies, which help them adapt to a fluctuating environment and take any chance available. The established client base means a lot. To develop it, an owner-operator should be reliable and build their relationships on the basis of a professional approach to their duties. To prevent payment failures, which can arise because a broker or shipper is not able to pay or does not want to meet their payment obligations for any reason, a driver should ensure their reputation before the delivery and discuss late fees in the contract.

When looking for loads, an owner-operator should act quickly and still have patience. It is important to understand the industry and the market. There are seasonal loads and transportation associated with certain fields or projects. Accepting freight offers at digital marketplaces, cooperating with freight brokers, or working directly with shippers, a healthy relationship is vital for success. Also, local market research should be done to know what new businesses may require transportation. If it seems too difficult, probably the most efficient solution is to contract dispatch services or obtain dispatch skills through training. Both options require investments but will certainly facilitate and improve load planning and booking.