Deals

Deals

I never try to make a deal that I don’t intend on making. Whether it is buying real estate, a new truck, or a single load, my intention going in is to get the deal done. That is my first rule. I don’t want to waste anyone’s time including my own. Every deal should be mutually beneficial. While I don’t know everything on the other side, I know what I need to get the deal done. It is assumed that so does the other party.

My second rule of thumb is to not be reliant on the making the deal. If the deal cannot be made at my number, I am perfectly comfortable walking away from it.  Don’t let emotions get the best of you. I will always remember walking away from a deal to by THE pickup truck that I wanted. My local dealer had a loaded Sonoma. I wanted a specific type. I wanted a 4WD, extended cab and manual transmission. There was only one in the area. That dealer would not do vehicle exchanges with other dealers. I wanted THAT truck. The dealer just would not give me a satisfactory deal. My wife will say that I almost had tears in my eyes driving home. As much as I wanted that truck, I would not make a bad deal. A few days later I received a letter in the mail from my local dealer offering a deal on that loaded truck for less than I could have bought a stripped down truck.

Knowledge is power. Some numbers are easy to know. You know your fixed costs, average costs, and variable costs. Those are easy. There is also a marginal cost to pick up a load versus dead heading. Market rates matter. Some freight lanes pay better than others. I am familiar with the Green Bay-Chicago lanes. Freight from Green Bay to Chicago pays really well. Chicago to Green Bay does not. If you don’t know that you might take too small a price on your Green Bay to Chicago leg. You might also know when someone is trying to get you to haul freight below market rate. Chances are other trucking companies will turn down a below market rate offer. Real Estate is similar. Comparing what similar properties SOLD for is important information. Don’t get caught up on the asking prices for similar properties.

Be polite. When that shipper or broker figures out that no one will haul their freight at their original asking price they still need to get it hauled. Chances are better that they will call back the trucker who said, no that price is just too low. I would be happy to haul your freight at a better rate. The trucker who told them to stick it will be lower on their call back list.

Be professional. That goes through the whole process. Delivering someone’s freight on time and damage free is the minimum. Going beyond that and they will remember you. They will be even more likely to remember you if you are not polite and professional.