According to ATA, over 70 percent of merchandise moved in the US travels on trucks. And with billions of dollars being sold online and shipped, there's never been a better time to own a trucking company.
Unfortunately, owning a fleet of trucks and reliable drivers isn't enough these days. In order to have a successful business, you have to stay ahead of the curve and in front of your competition.
Here are 6 signs that show your trucking company needs an update.
1. No Mobile Capabilities
The first sign of an outdated company is one that hasn't incorporated mobile capabilities into its business plan.
According to Salesforce, 68 percent of businesses have integrated mobile marketing into their strategies. Another 71 percent believe that mobile is at the core of their business.
If you think trucking companies should be exempt from this emerging business trend, think again. Mobile is not only important for your employees but also with your potential clients.
First, let's start with your employees. While your drivers are on the road, it's not likely that they'll have computers or wifi.
That means that on their trips the only communication they'll have with management or with customers is through the phone. Mobile management apps can help truckers stay organized.
Through these apps, they can report when and where current shipments are, along with any issues that might arise on the way. Increased communication typically tends to drive an increase in business and profit.
Second, mobile helps you gain and keep more customers. A majority of searches on the web are done through mobile devices.
This means that all the content you are producing and posting needs to be mobile friendly. If a web page doesn't load fast enough or isn't formatted correctly, your viewers will leave, and you will lose potential customers.
Businesses that incorporate mobile have a better chance at succeeding and winning over their competition that forgets this medium.
2. Delayed Invoice Payments
Another sign of an outdated company is one that frequently receives delayed invoices. A business cannot exist without capital.
If invoices are consistently being sent in late, your trucking company will not have enough money to grow and adapt.
Instead, your focus will be on paying all of your dedicated employees and bills with whatever is leftover in the bank.
One way to fix this issue is through a digital invoice system. Not only will it help you obtain your money faster, but it will also help you save on any external fees.
With digital invoices, you'll have a lot more freedom and confidence. This, in turn, will help you to make the changes necessary to keep your trucking company progressing.
3. Old Equipment
The third problem is old equipment. Technology changes so fast. While it's not always beneficial to purchase the latest and greatest new objects, it's also not good to have the oldest machines and software either.
Trucks that consistently break down can cost your company a lot of money both in repair fees and in public image.
Make sure to keep your equipment in good shape and up to date. This will increase safety for your employees, which is always a good thing.
4. Limited Tracking Capabilities
The next issue a trucking company might run into is limited tracking capabilities. Because of the rise in technology, consumers expect to know when and where their shipments are throughout the day.
If your trucking company doesn't have a reliable tracking ability, it could be a big problem. In fact, it's such an important theme among consumers that Amazon Prime will give you a free month of membership if your packages arrive late-even if it's just a couple of hours.
Not only that but having improved tracking abilities also opens the door for better analysis on your company. How can you expect your profits to increase if you aren't tracking where your money is being spent?
Behind every successful company is a good tracking system.
5. High Factoring Fees
One area many trucking companies lose money is in factoring fees. There are many companies that are willing to purchase your invoices for a discounted rate.
While this can be valuable by giving you immediate cash, it can also cause damage long term, especially if the fees or discounts are high.
The most important step to take is to do your research. Take the time to shop around and find the factoring company that's best for your team.
Some companies will even offer discounted services like inexpensive gas and tire replacement, so don't just take the first offer that comes your way.
6. No Plan for the Future
The last step, and arguably one of the most important is to have a plan for the future. Without it, you'll never stay up to date and will often lose out to your competition.
Every trucking company needs to learn about the new advances in technology in order to succeed.
In fact, some people predict that in the next couple of decades we will have driverless trucks. Do you have a plan on how your company can adapt to these circumstances and remain relevant?
Planning for the future allows you to be proactive when new and unique opportunities come up.
Another example of this is last mile delivery. Consumers want their packages as fast as possible and many are even willing to pay more to have it delivered the same day.
This has allowed local trucking companies to get more involved by shuttling packages from the warehouse to the home. By planning for the future and being proactive your business could capitalize on easy money making solutions like this.
Bring Your Trucking Company to the Next Level
The most important lesson that can be learned from these steps is that it's important to incorporate the newest technologies into your business.
It's not enough to just deliver a package these days. Now people want to know where it is, when it's coming, and more.
The ComFreight app will help you to avoid being out-dated. Check out our services and comment below with any questions you have.