What is dedicated trucking in shipping?
Picture a freight route from Boston to Chicago, plied by a team of dedicated drivers moving goods in a fleet of trucks. These trucks aren’t juggling jobs from different shippers. Instead, they’re solely focused on this one route. This is what dedicated freight looks like.
So, what is dedicated trucking? It’s a specialized type of freight shipping where trucks and drivers are devoted to a single customer or route, called a dedicated lane. This enables the carrier to provide a consistent, reliable service, leading to enhanced supply chain stability for the business involved.
The concept of dedicated freight expands beyond just having dedicated truck loads. It also involves having dedicated lanes, which means that a specific route is assigned to a truck or fleet to move loads for a particular shipper. This not only helps streamline the network but also ensures a stable flow of goods.
Pros and cons of dedicated freight
Like any business decision, opting for dedicated freight comes with its set of advantages and disadvantages.
Pros:
- Reliability: Dedicated freight offers shippers the certainty of knowing their goods will be transported as per schedule, thanks to dedicated lanes and drivers.
- Flexibility: With dedicated freight, businesses have the capacity to manage special requirements, like high-volume periods, without fretting about securing additional transportation.
- Control: Businesses have more oversight over their supply chain as they work closely with the carrier, leading to better consistency and quality assurance.
Cons:
- Cost: Dedicated freight can be more expensive compared to shared logistics solutions, mainly because of the exclusivity it offers.
- Infrequency: If your shipping needs are irregular, a dedicated trucking contract might not be the best fit as it works best with consistent loads.
- Limited coverage: Dedicated lanes might limit the geographical areas you can cover, as the routes are predetermined.
How do dedicated lanes fit into dedicated freight?
Dedicated lanes are a significant part of dedicated freight. But what does “dedicated lanes” mean?
A dedicated lane is a specific route that a carrier consistently services for a shipper. For example, if your business consistently ships goods from Dallas to New York, that route becomes your dedicated lane.
These lanes fit seamlessly into the dedicated freight model, ensuring smooth operations. Dedicated lanes allow for predictability and consistent turnaround times, leading to higher efficiency. They also allow carriers to optimize their operations, ensuring that trucks aren’t returning empty from a delivery, thereby maximizing the utilization of their fleet.
How do I get a dedicated freight contract?
To secure a dedicated freight contract, you need to:
- Identify your needs: Understand your shipping volumes, frequencies, and specific requirements.
- Research potential carriers: Look for reliable carriers that offer dedicated freight services.
- Request quotes: Once you’ve shortlisted a few carriers, request freight quotes to compare their services and costs. It’s best to compare current one-way rates with dedicated rates in order to understand the total impact of moving to a dedicated model.
- Negotiate and sign a contract: Based on your comparisons, select the most suitable carrier and negotiate a contract that benefits both parties.
And remember, it’s not just about the cost. Consider factors like their network, performance history, and commitment to customer service.
Dedicated lanes with Uber Freight
If you’re a shipper and you need a high level of stability and reliability from your carriers, we can help! We offer dedicated lanes so you can:
- Gain access to committed carriers who consistently run their lanes
- Ensure less volatility in the load tendering process
- Gain more foresight in a fluctuating market
Connect with an Uber Freight expert to discuss how dedicated freight can work for your business.
For more resources for dedicated freight:
Uber Freight introduces dedicated lanes to unlock consistent earnings for carriers
Uber Freight expedited services