Between the pandemic and shifts in consumer demands, the trucking landscape is changing. In order to reach more markets, lower costs, and generate more revenue, trucking fleets are adding mid-sized vehicles to their roster. But what are the advantages of having a mid-sized vehicle fleet?
Keeping Up with Economic Demands
The trucking industry has become used to the fourth-quarter spike in e-commerce shipments. Since the pandemic started, e-commerce has become the norm, which has been beneficial to spot markets and LTL. However, e-commerce comes with a new set of requirements. Customers are expecting “last mile” deliveries, and Class-8 vehicles are not meant to navigate small towns and suburbs. The need for mid-sized vehicle fleets goes beyond the major carriers in the freight sector, and will continue so long as customers and businesses continue to make transactions online. In fact, other fleets have already begun supplementing their rosters with mid-sized vehicles to take on these new demands and reach into new client markets.
In addition to economic demands, legislation from state-to-state is also changing. California is trying to stick to its zero-emissions plan. Other states, including New York and Louisiana, are forecasting pivots away from petroleum usage. This is not necessarily bad, because the recent mandates for converted ocean vessels have driven up the price of fuel for truckers in coastal states. While electric Class-8 vehicles are still being tested for safety and efficiency, mid-sized vehicles already have hybrid and electric options. Mid-sized vehicle fleets can get ahead of the technological and legislative curve, and reap the benefits of potential tax incentives in the process. External factors are aligning for trucking companies to take advantage of the opportunity presented for mid-sized vehicles.
Implementing Change with Mid-Sized Vehicles
By supplementing your existing trucking fleet with mid-sized vehicles, you can gain a competitive edge and lower overhead costs on LTL shipments. At Single Point Capital, we offer freight factoring so you can build up cash reserves to supplement your fleet with mid-sized vehicles. We will convert unpaid receivables to cash and make funds available within a single day. Similarly, if you are looking to start your own trucking company, Single Point Capital can help with forms and processing to get you up and running quickly. Contact our offices today to learn more about our freight factoring and trucking company services.