Every year, Memorial Day marks the unofficial start of summer. Now that we have moved past the holiday, the miles of orange traffic cones and the methodical pounding of jackhammers provide the multi sensory evidence of a noticeable spike in construction. Road construction is only one small segment of this massive economic enterprise. In the northern part of the country there is a limited window of opportunity to complete the projects that construction companies need to stay profitable.
If your work is entangled in the construction industry, you are already well aware of the pressures the summer months manufacture. The increase in activity reverberates through the entire transportation industry. If you ship anything via open trailers such as flatbeds or step decks, you should expect to see capacity tighten and prices start to creep up.
The simple answer is supply and demand. Construction companies that are not as present in other parts of the year enter the market in a big way and are paying premium rates. They are willing to pay more because their window to produce revenue is limited. They are less able to deal with delays, so they will pay a premium rate to ensure the highest level of service.
Without preparation, it can mean a decrease in on time delivery, more difficulty securing capacity, and increased rates. The best way to combat these issues is by actually building relationships with carriers and brokers. At ARL Logistics, we spend time throughout the year building trust and fostering relationships with our carrier base. We work with them to help alleviate the pain our customers feel during a busy season.
It is also crucial to understand what is most important to your business. Is it better for your business to see a decrease in on time delivery if that flexibility means a better rate structure? Maybe your business is better suited paying a slightly higher rate to ensure that the truck shows up at the pickup on time and your material makes it to its destination as planned. Understanding what is most important to our customers and pairing them with the similar minded carriers in our network is how we achieve the highest level of service for all parties involved.
At the end of the day, what matters most is having those vendors that both understand and care about the particulars of your business.
Are you looking for flatbed trucking services? Contact ARL Network and we are happy to answer any questions you may have!
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