We’re all used to seeing trucks every time we pull onto the highway, but just how large is the US trucking industry?
It’s worth an astounding $700 billion annually (and growing every year). In fact, if the trucking logistics industry was a country, its GDP would be the 33rd highest on Earth!
These numbers are impressive, but what do they mean for you and your company? What does your business stand to gain by working with reputable trucking logistic companies?
Keep reading for your introductory course in Trucking and Logistics 101.
What Is Trucking Logistics?
You might know the term “logistics” as it relates to preparing military operations. It has the same idea here, except in relation to the trucking and transportation industry.
Trucking logistics encompasses research, planning, and execution of trucking operations. The goal is to analyze all factors and determine the most productive and effective way to ship goods from Point A to Point B.
Examples of trucking logistics include:
- Planning the best routes for truck drivers
- Choosing the best fuel types based on market trends
- Reducing costs and transit/delivery times
- Hiring and training experienced truck drivers
- Safety concerns for transporting hazardous materials
- Choosing the best type of truck for the goods/route
Logistics also includes storage and warehouse services. This can be a godsend for startups or other small businesses trying to figure out where and how to store their goods. This can also help business owners save a lot of time and money (but more on that in a bit).
Companies that use trucking logistics can expect to gain a competitive advantage in their market. Why? They’ll gain a reputation for reliability and efficiency, thanks to their streamlined shipping process.
What Should I Know About the Trucking Logistics Industry?
So then, is trucking logistics just a bunch of trucks chugging their way along the interstate?
No. It involves so much more than a big fleet of trucks! As mentioned at the outset, the logistics industry revenue is larger than the GDP of 150 different countries.
Here are some fascinating logistics industry statistics to put this into perspective.
- 7.4 million Americans (almost 6% of the population) works in some sector of the trucking industry
- American trucks haul around 11 billion tons of freight each year
- Walmart alone employs over 8,600 truck drivers
- 71% of all goods shipped in the US are transported in trucks
- Over 40% of trucking industry jobs are held by minorities
- Experts say the industry needs at least one million additional drivers
Just how reliant are we on our trucks and truck drivers? If long-haul shipping stopped, most grocery stores would be completely out of food in just three days.
What Trucking Logistics Companies Can Do for You
Now that you’ve got an overview of the industry, let’s make it personal. How can a trucking logistics company help your business?
Consider some compelling reasons why you should consider hiring a trucking logistics company.
1.You’ll Save Time
Running your own fleet is a full-time job in itself. Even buying, maintaining, and keeping track of a few delivery trucks requires a serious time commitment. This doesn’t even include the time spent organizing and running a warehouse.
Shouldn’t you focus your time and energy where it really matters — on your core business?
When you partner with a logistics company, you’ll be amazed by how much more time you have. You no longer have to worry about deliveries, shipments, or warehousing. Nor are you stuck maintaining a fleet of trucks or hiring and training drivers.
2.You’ll Save Money
Every business owner loves to save money, and this is a sure way to do it. When you outsource your transportation needs to trucking logistics companies, you won’t have to pay for:
- Buying a fleet of trucks
- Warehousing or storage
- Business loans to buy your fleet
- Interest on those business loans
- Hiring drivers and paying their salaries
- Maintenance and repair work on the trucks
- Licensing, taxes, registration, and other legal fees
When you sit down and crunch the numbers, it’s easy to see why trucking logistics is the most cost-effective option.
3.You’ll Experience Less Hassle
Buried under a mountain of paperwork? Let someone else sort out the shipping details while you run your business!
Unless you’re in the logistics industry yourself, you probably don’t have the knowledge or experience that commercial shippers do. Everything will take you longer to research and execute, and you’re bound to make some (costly) mistakes along the way.
What happened to that bank payment that was supposed to go out? Why didn’t you know about that special customs form you needed to ship your goods to Canada? Why are your other goods being held at the Mexican border?
Entrust these logistics to the experts, and you’ll never have to worry about them again.
4.You’ll See Higher Customer Satisfaction
Nothing makes a customer happier than receiving their order on time and in perfect condition. The best trucking logistics companies have their process down to a science. They know how to get orders to customers on time, every time.
In the event of severe weather, a rerouted shipment, or another delay, logistics companies know exactly how to handle and resolve the issue. They’ll get in touch with you and the customer right away and keep everyone informed of the progress.
As a result, you’ll enjoy greater peace of mind knowing that your shipments are in good hands.
Transform Your Business With Trucking and Logistics
The trucking logistics industry is booming, with no signs of slowing down anytime soon. In fact, as the world continues to become more globalized, trucking and logistics will be more important than ever before.
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If you haven’t looked into this option for your company’s shipping needs, now is the time. Partnering with the right trucking logistics companies will completely transform the way you run your business!
Now that your crash course (pardon the pun) in trucking is over, what’s next? Keep browsing our site for more fascinating articles like this one!