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I don’t think anyone in their right mind would say brokers aren’t needed. It boils down to transparency of rates and being fair with the percentage taken from a load. 7% is what the industry standard is supposed to be.
Absolutely - it really comes down to what kind of trucking company you own and the needs that shippers have. Some need brokers and some don't (on both sides), but I think some aren't aware of that, so it's a good conversation to have.
Imagine how crazy it’d be if you call a plumber or electrician to your house and he said “well how much are you paying me?” Now why are truckers letting shippers and brokers dictate what the cost of their service will be?
I get what you’re saying. When it seems like someone else is deciding what your work is worth, it’s frustrating. I think what you're saying in your example is that the plumber is the trucker and the homeowner is the shipper. But a homeowner can call around and get quotes from plumbers before hiring one. Shippers do the same, they shop around for the best rates from brokers or carriers. The difference is, shippers often have far more freight to move than a homeowner has plumbing work, and brokers help manage that volume in a way that works for both sides at scale. Appreciate what you're doing out there man!
We ended up in a system where people who carry the most risk for freight transportation get paid the least money for their risk exposure and ACTUAL labor just because brokers said so. And you are talking about extra paperwork and insurance for carriers. A lot of the carriers would love to see those brokers go bankrupt for their shady operation, late payments, double brokerage and "WE CHARGE $500 IF MACROPOINT IS NOT ACCEPTED WITHIN 30 MINUTES" bs. At 4:40 you are talking about all the extra work brokers are doing. I completely disagree. That's not a lot for carriers in terms of work capacity for employees or risk to manage since carriers already accepted the load for delivery, it's manageable. Brokers prevent freight market from extreme volatility and make it more efficient for freight transportation in general, but bureaucracy is out of control in this business and there's not enough transparency. Brokers not only set the price for the carriers, but they also decide who is getting the load and who is not. This is nonsense. Do we absolutely need brokers? The answer is no. Without them freight market would become much more volatile and unpredictable sometimes, but is it possible to operate without them? Yes. Look at Europe - most of the freight is contract based and most of the times there's no middleman who cuts the half of the load price as documentation fee. Life of a regular carrier would become a little harder, but margins also would go up significantly. I think free market is better than rigged and manipulated market.
Bad brokers are a problem. Things like late payments, double brokering, and those ridiculous fees for tracking apps? That’s very real I agree, and it gives the whole profession a bad name. It’s frustrating, and I get why people feel that way. Here’s the deal, though. Brokers aren’t just pulling prices out of thin air. Rates are built on supply and demand, and we’re constantly negotiating to make things work. Without brokers, a lot of shippers would be stuck trying to move their freight, and carriers would spend more time waiting for loads. It's a different game over there in Europe. Freight contracts dominate, the lanes are shorter, and they lean heavily on rail and intermodal options. Meanwhile, in the U.S., over 90% of carriers run six trucks or fewer. Without brokers, those smaller carriers wouldn’t stand a chance against the big fleets dominating direct contracts. And without brokers, the freight market would get way more volatile and unpredictable, like you said. Many shippers rely on brokers to handle last-minute loads, tight lanes, and sudden spikes in demand. Take brokers out of the equation, and shippers would face higher costs, slower production, disrupted inventory, and more uncertainty. That’s not just bad for the trucking industry, it would ripple out to consumers and the economy as a whole which is why we haven't gotten rid of them. I won’t deny that the paperwork and bureaucracy can get out of hand, but a lot of that comes from shippers and regulations, not brokers. Brokers are usually the ones handling the compliance, vetting carriers, and managing claims so carriers and shippers can focus on their main jobs. So yeah, brokers aren’t perfect, but the good ones are essential. They reduce chaos, keep things moving, and add value. The solution isn’t to get rid of brokers altogether; it’s to hold the bad ones accountable and support the ones doing it right. Thanks for doing what you do out there and for the conversation around this man.
Brokers easily can cut 50-60% I know in fact some shippers paying 5000 for 1200 miles and broker posting it for 2000-2500. Especially when the load is going to “hot” area. As a sample loads from Florida, some Shippers paying 3$ per mile going to Midwest year round. And we all know how much brokers paying from Florida
Those margins sound wild. Most brokers with 50-60% cuts are more often than not double brokers/ scammers. All public 3PLs like C.H. Robinson are reporting 15-20% truckload gross margins right now. Their North American Surface Transportation team posted $420.7M gross profit on $2.93B revenue (14.3%) which is pretty consistent with industry standards. Here's the link to their earnings if you're curious: investor.chrobinson.com/Financials/Quarterly-Results/default.aspx
🔹 Freight Broker/Agent Startup Training (No Experience Needed): www.howtobecomeafreightbroker.com
🔹 Proven 7-Figure Sales Training for Current Freight Brokers and Agents: howtobecomeafreightbroker.com/#sales
I don’t think anyone in their right mind would say brokers aren’t needed. It boils down to transparency of rates and being fair with the percentage taken from a load. 7% is what the industry standard is supposed to be.
Absolutely - it really comes down to what kind of trucking company you own and the needs that shippers have. Some need brokers and some don't (on both sides), but I think some aren't aware of that, so it's a good conversation to have.
Imagine how crazy it’d be if you call a plumber or electrician to your house and he said “well how much are you paying me?” Now why are truckers letting shippers and brokers dictate what the cost of their service will be?
I get what you’re saying. When it seems like someone else is deciding what your work is worth, it’s frustrating. I think what you're saying in your example is that the plumber is the trucker and the homeowner is the shipper. But a homeowner can call around and get quotes from plumbers before hiring one. Shippers do the same, they shop around for the best rates from brokers or carriers. The difference is, shippers often have far more freight to move than a homeowner has plumbing work, and brokers help manage that volume in a way that works for both sides at scale. Appreciate what you're doing out there man!
We ended up in a system where people who carry the most risk for freight transportation get paid the least money for their risk exposure and ACTUAL labor just because brokers said so. And you are talking about extra paperwork and insurance for carriers. A lot of the carriers would love to see those brokers go bankrupt for their shady operation, late payments, double brokerage and "WE CHARGE $500 IF MACROPOINT IS NOT ACCEPTED WITHIN 30 MINUTES" bs.
At 4:40 you are talking about all the extra work brokers are doing. I completely disagree. That's not a lot for carriers in terms of work capacity for employees or risk to manage since carriers already accepted the load for delivery, it's manageable.
Brokers prevent freight market from extreme volatility and make it more efficient for freight transportation in general, but bureaucracy is out of control in this business and there's not enough transparency. Brokers not only set the price for the carriers, but they also decide who is getting the load and who is not. This is nonsense.
Do we absolutely need brokers? The answer is no. Without them freight market would become much more volatile and unpredictable sometimes, but is it possible to operate without them? Yes. Look at Europe - most of the freight is contract based and most of the times there's no middleman who cuts the half of the load price as documentation fee. Life of a regular carrier would become a little harder, but margins also would go up significantly.
I think free market is better than rigged and manipulated market.
Bad brokers are a problem. Things like late payments, double brokering, and those ridiculous fees for tracking apps? That’s very real I agree, and it gives the whole profession a bad name. It’s frustrating, and I get why people feel that way.
Here’s the deal, though. Brokers aren’t just pulling prices out of thin air. Rates are built on supply and demand, and we’re constantly negotiating to make things work. Without brokers, a lot of shippers would be stuck trying to move their freight, and carriers would spend more time waiting for loads.
It's a different game over there in Europe. Freight contracts dominate, the lanes are shorter, and they lean heavily on rail and intermodal options. Meanwhile, in the U.S., over 90% of carriers run six trucks or fewer. Without brokers, those smaller carriers wouldn’t stand a chance against the big fleets dominating direct contracts.
And without brokers, the freight market would get way more volatile and unpredictable, like you said. Many shippers rely on brokers to handle last-minute loads, tight lanes, and sudden spikes in demand. Take brokers out of the equation, and shippers would face higher costs, slower production, disrupted inventory, and more uncertainty. That’s not just bad for the trucking industry, it would ripple out to consumers and the economy as a whole which is why we haven't gotten rid of them.
I won’t deny that the paperwork and bureaucracy can get out of hand, but a lot of that comes from shippers and regulations, not brokers. Brokers are usually the ones handling the compliance, vetting carriers, and managing claims so carriers and shippers can focus on their main jobs.
So yeah, brokers aren’t perfect, but the good ones are essential. They reduce chaos, keep things moving, and add value. The solution isn’t to get rid of brokers altogether; it’s to hold the bad ones accountable and support the ones doing it right.
Thanks for doing what you do out there and for the conversation around this man.
Brokers easily can cut 50-60%
I know in fact some shippers paying 5000 for 1200 miles and broker posting it for 2000-2500. Especially when the load is going to “hot” area. As a sample loads from Florida, some Shippers paying 3$ per mile going to Midwest year round. And we all know how much brokers paying from Florida
Those margins sound wild. Most brokers with 50-60% cuts are more often than not double brokers/ scammers. All public 3PLs like C.H. Robinson are reporting 15-20% truckload gross margins right now. Their North American Surface Transportation team posted $420.7M gross profit on $2.93B revenue (14.3%) which is pretty consistent with industry standards. Here's the link to their earnings if you're curious: investor.chrobinson.com/Financials/Quarterly-Results/default.aspx
Sir, most shippers don't know or care what the carrier hauls the loads for as long as the loads get moved...
Agreed, they care about the overall rate that the broker passes along and typically only move forward with the lowest cost option.
Lmao at carriers being savvy enough to know what rates to accept😂😂😂😂😂
Sure hope truckers aren’t just guessing what keeps them profitable
@@FreightBrokerThat's exactly what they're doing. That's why we have low rates. Everyone is accepting whatever rate brokers are giving
This guy doesnt know what he's talking about.
How do you mean? Open to discuss