Of all the many different advancements throughout western civilization that helped our nations become powerhouses in economics and architecture, our ability to ship goods probably stands at the forefront of them all. Just imagine a couple of hundred years ago, some company operating that was building a crucial component that everyone wanted, but there was no way to have it shipped out. Likely, we lost out on hundreds of great innovations because they couldn’t spread across different nations. Shipping gives us the ability to do that, and there are many people out there today considering opening Transportation Companies in that tradition.
Though to be sure, the transport industry is very competitive, and there are plenty of things you must-do if you’re hoping to operate a successful business. Transportation Companies come a dime a dozen today, and just as many of them fail as succeed, it would seem. Excluding the professionals at Steele’s Transportation Group, that is. So, before you open up a company, here are some things to keep in mind to help give you a better shot at success.
Some Solid Advice on Growing Transportation Companies
Build up Your Fleet
The first stop on the road to success with any successful trucking company is to ensure that you build a fleet. Yes, this might sound like axiomatic knowledge and, therefore, something that doesn’t qualify as solid advice. After all, everybody knows that you need a fleet, right? Well, do not get it mistaken here; it’s not nearly enough that you have vehicles. You need safe, reliable, fuel-efficient vehicles. A lot is going to be tied up in how well your trucks operate. If they guzzle gas, break down all the time, and don’t meet greener government standards, you’ve already failed before you even get off the ground. So put a lot of thought into the sorts of vehicles you will have in your fleet.
Determine Your Rates
Next up, you really need to determine your rates. Of course, we cannot give you any number here set in stone. Fuel might be more or less expensive in your location. You might be hauling different types of goods than your competitors. There is a lot to consider here. Regardless, your business model needs to work for your business, not some other place. So determine what you’re charging, either by the mile, tonne, a combination, etc. Figure out what your rates will be and try to make them competitive so that your company looks appealing.
Find Profitable Loads
Another thing that all transport companies must do is locate profitable loads. The good news here is that there are myriad industries that need shipping services, so you’re not necessarily going to be locked into only shipping out construction materials for people, as an example. Some new startups like to get into hauling away waste products and stuff for people, as they find the field less competitive and that there’s a lot of guaranteed money. So do your research as to what sort of loads are going to be the most profitable for your company.
Work on Cost Controls
You’re also going to have to be very focused on cost controls. Now, this is really a very broad area to cover. First and foremost, you want to keep the costs down on what you’re spending on vehicle maintenance and also fuel. If you’re spending too much on fuel for your trucks, then you’re leaving yourself very little wiggle room for profit. Also, consider the number of drivers you need and any centralized system that might be too much of an investment or might end up being a good investment because it saves you money. There is an awful lot to consider when it comes to controlling your costs.
Make Service and Branding Big Parts of Your Model
Once you’re set up and ready to go, you have to put extra focus on being seen as a friendly, helpful brand. Always treat your clients well, and always make sure that you’re putting your brand in a positive light. You want your business and brand to be synonymous with quality and customer service, not those guys who seem to hate their job!
There is no such thing as a guaranteed success, especially in an industry like trucking and freight hauling. However, there are many things you can do to give yourself a much better chance of succeeding in a very competitive market.