New Study Reveals 43% of Truckloads Moved Less than Half Full in 2023

| May 16, 2024

“Wasted Space, Wasted Dollars: The Economic Impact of Inefficient Freight”

new study released by Flock Freight & Drive Research, titled “Wasted Space, Wasted Dollars: The Economic Impact of Inefficient Freight,” uncovers the staggering costs associated with underutilized truckload (TL) space and the inefficiencies of less-than-truckload (LTL) shipping. The study surveyed 1,000 transportation decision-makers in the U.S. from various industries, providing a comprehensive view of the challenges and strategies employed to drive efficiency.

Key findings from the study indicate that in 2023, 43% of truckloads moved partially empty, with an average of 29 linear feet of unused deck space. This inefficiency equates to one in four truckloads moving completely empty, representing a significant economic and environmental concern.

“Historically, the US truckload market has been locked into a binary concept of ‘full’ or ‘empty’ when it comes to trailer capacity. We are challenging both Shippers and Carriers alike to rethink this,” said Chris Pickett, Chief Operating Officer at Flock Freight. ”With 43% of truckloads moving only partially full, there’s a massive opportunity for businesses to maximize trailer utilization and reduce overall transportation spend with our Shared Truckload solution.”

The research highlights the hidden costs of LTL shipping, with the average enterprise shipper incurring up to $6.3 million annually in damage and loss claims. Additionally, unexpected accessorial fees and the time spent by employees managing these issues add to the financial burden on businesses.

Exiting a deflationary phase of the truckload freight cycle in 2024, the industry braces for heightened economic impacts. As a result, 90.8% of shippers have raised their budgets by 1 to 10% to navigate the expected market shifts.

The study also uncovered growing concerns around fraud and theft within the freight industry. In 2023, an alarming 89% of shippers were affected by these issues, with one in every 43 shipments impacted. This not only leads to direct financial losses but also causes a ripple effect of reduced earnings, unexpected fines, and a decline in customer satisfaction.

The whitepaper not only sheds light on the problems but also presents innovative solutions, such as Flock Freight’s Shared Truckload service, FlockDirect®, which leverages patented technology to combine shipments from multiple shippers in real-time. This approach ensures freight stays on the same truck from pickup to delivery, reducing the chances of damage, delays, and theft.

The whitepaper is a valuable resource for shippers seeking to uncover new opportunities to reduce costs within their transportation programs.

To read the full report, please click here.

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