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 Welcome to 18 Wheels of Justice, our focus in this section is trucking books and our trucking articles! The 18 Wheels of Justice Trucking Article below is the third and final part of our trucking article, the Joy of Negotiating Part III and it covers the sometimes make or break you tactics of Negotiating with Freight Brokers.  Our trucking articles and blogs are educational and designed to aid truck drivers, owner operators and trucking companies. We are in the process of categorizing all of our blogs by title and subject, to make it easier to find exactly what trucking company, trucking topic or trucking information you are looking for.  If you are looking for good information on all things trucking, you are in the right place!  We have trucking books on Driver Retention, Trucking books about Negotiating with Freight Brokers, Trucking blogs with in depth reviews and interviews with large and small carriers.  Check out our best selling trucking book Sustainable Driver Retention and our very popular trucking book Negotiating with Freight Broker.  OTR Drivers and owner operators, we have trucking blogs designed for you, covering all aspects of trucking insurance, truck financing, how to select your next driving job.  Carriers, our blog articles deliver results, we present you to the driver and owner operator that fits your trucking business.  Hiring the right truck driver and owner operator is one of the most important elements in retention.  You're welcome to stay as long as you like, check out our new trucking blog history, it's on our website in addition to our blog, and we have it sorted by title and trucking topic! 



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18 Wheels of Justice Featured Trucking Blog Article

Welcome

 Stage Three of the Process, the Art.
(For Stage Two, please see Saturday's Post)


1. Pre-Negotiation.  "Framing and Setting the Stage"

2. Deadlock, Stalemate and Arrested Development

         We are going to stay on Stage Two for a little bit longer and discuss some more negotiation strategy before we conclude with Stage Three.  Honesty is key in negotiation, your word while you're negotiating is like your credit.  You are agreeing to do this load, never book a load without every intention of doing it, never give a load back to any broker unless there is no other reasonable option.  If you have to give it back, do it as quickly as you can, giving the broker as much chance as possible to cover with another carrier.  These are words to live by, this is someone you want to do business with again and again.  

There are 15 strategies in "Negotiating with Freight Brokers & 3PL's"  They are most effective if you follow the "rules of engagement" so to speak, which basically means treating a broker like you would your best customer.  So when we talk about introducing a third party into the negotiation,  I mean actually consult with a third party.  Feel free to introduce this third party at any time during the load booking process.  I find it most effective to introduce midway throughout the negotiation.  It's your call, in the beginning or middle, but I advise against doing it near the end.  If introduced early it can ease the tension with booking the load.  Use statements like, "my boss probably won't let me do it for that, but I will ask him" or "we pay these operators percentage and I don't think he will do it for that".  You want to create a camaraderie here between you and the broker.  You are working together to get this transaction done and convince this third party.  You are building a relationship.  Introducing the third party late in the negotiation can be seen as a cheap ploy.



Stage  - 3.  Acceptance and Settlement.  A Transaction is Born!


Once you read my book and have employed these strategies, you will see your rates climb and climb.  It is very important to get your load confirmation while you are on the phone with the broker.  I always have them email the rate confirmation while we are on the phone.  We hold ourselves to high standards of honesty and we expect the same from the broker we are dealing with.  Most brokers in this industry are honest and have high standards, but there are pretenders.  Especially when faced with the fact that he or she is paying you more for this load than they have ever paid before.  This rate you have achieved by superior negotiating may be followed by a phone call from the brokers boss, trying to explain that the person made a mistake etc.  Do not waiver, the broker was authorized to negotiate this load with you, and that is that.  You have the rate confirmation, end of story.  Sometimes as soon as you hang up with the broker, another carrier will call and haul it for $100, $200 or ?? less than the rate you just negotiated for, and the temptation to rob you of your hard fought gain is too great.  Feel free to scoff at this comment, but those who employ these strategies know.  It has happened to me thousands of times.  You must back up this rate with the service or it is only a one time rate.  Give the broker his or her moneys worth.  Call him when your truck arrives at the shipper.  Call/email him when he is loaded, don't wait for the broker to call you.  Email him the next morning when the truck arrives to unload and again when he is empty.  This leaves a lasting impression and will build a solid relationship.  Don't ever gloat, you are getting paid a premium rate for you premium service.  You are getting paid for the service you offered and you walked the broker through the reasons why you need and deserve this premium rate while you were booking the load. 


Why is negotiating and haggling such an unpopular concept and dreaded process in this great nation of ours? The term "haggling" alone brings to mind nefarious individuals in the back room of a used car lot. Why does it only exist in certain industries? It has almost disappeared altogether in the retail industry, is rapidly losing popularity on new and used car lots, one of the last bastions and havens of the skilled negotiator. "Boy, I say Boy", it is alive and well in our industry! Our profits are defined by it more and more everyday. How do you train your planners, dispatchers, brokers?

18 Wheels of Justice books are available form out Trucking Books and CD page, Pick up one today!

Please join our Discussion Groups on LinkedIN.  Both "Negotiating with Freight Brokers" and "90 Days to 75% Retention".

Copyright Michael H. Komadina and 18 Wheels of Justice 2013
18 Wheels of Justice Series available at: http://www.18wheelsofjustice.com/


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Copyright 2013 Michael Komadina and 18 Wheels of Justice