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Weekly UpdatesRESPONDENT DEMOGRAPHICS
Figure 1 indicates demographic characteristics of the broker respondents. As indicated in the figure, the typical respondent is male, in his 40s, has been a transportation broker for six to ten years, and has likely attended college (about 45 percent are college graduates). Information about the respondents' companies is provided in Figure 2. Two-thirds of the respondents work for companies that have ten or fewer employees. The most common annual revenues for the respondents' firm was $3 million. More than half of the brokers indicated that their total annual revenues were $3 million or less. Figure 3 shows the annual income of the respondents. Over half of the survey participants indicated that their annual incomes were greater than $70,000.
TRANSPORTATION BROKER JOB SATISFACTION
Figure 4 indicates that transportation brokers are very satisfied with their careers. When asked, "If you could start your career over, would you still choose to work as a freight broker?", over 90 percent answered either "definitely yes" or "probably yes." The lower portion of Figure 4 examines the demographics of those respondents who indicated they did not like their career choice. In general, those dissatisfied with their career choice - when compared to those who approved of their career selection - were younger, had more experience as a broker, were more educated, and had less income, although these differences tend to be slight.
When respondents were queried, "How has your personal annual income compared to what you thought it would be?", exactly one-third of the respondents selected "much better." Figure 5 presents a breakdown of how this question was answered.
JOYS OF BEING A TRANSPORTATION BROKER
Each respondent was asked: "Please tell us the ONE thing you most enjoy about being a transportation broker." From these written responses, we were able to identify five commonly noted themes, plus a number of miscellaneous observations. These five themes will be discussed in descending order of frequency.
Creativity Involved in Solving Customers' Problems
By far the most common response - with 111 respondents or 48.7 percent of the total number of survey participants - was that the best part of brokers' jobs involved using their creativity to solve customers' problems. They liked the excitement of putting together "deals" that resulted in "win-win" situations for their shippers and carders. Here are eight representative responses to this question:
* A broker is in the middle (between the shipper and the carrier). We get the enjoyment of seeing the needs of our shipper and of our carrier, at the same time. What could be better - the shipper is happy, the carrier is happy, and we get paid for it.
* The ability to put together pieces of the logistics puzzle with results that benefit the shipper, carrier and our company.
* The development of a trusting relationship with shippers and carders to the point that I am not just a broker - I am part of the "team."
* The constant challenge. It is one of the very few businesses still operated on a verbal handshake, personal integrity, and mutual trust.
* Serving the customers' and carriers' needs. Finding the fit for both parties, while being fair and honest in my dealings. When a match occurs and everybody is happy, I derive pleasure from this.
* Being able to help both shippers and carriers. We are able to help keep "people" working (supply jobs); save our shipper money; keep trucks rolling; and maintain a profitable business.
* The freedom of being able to create a win, win, win, situation for all parties concerned; i.e., shipper, carrier, broker, especially on heavy LTL freight.
* My associations with my customers. There is no better feeling than to have a customer, either carrier or shipper, express his or her appreciation for the service I provide. There is no sweeter sound than my name on the lips of a customer.
Fast-Paced Work Environment
The second-most-noted joy of being a transportation broker was the fast-paced work environment. This point was made by 37 respondents, or 16.2 percent of the brokers participating in the survey. Here are five typical responses:
* Every day is different and challenging. There is never enough time in a day to accomplish all you need to do. Time is never on your hands.
* The pace of a busy day, making snap decisions. No two days are the same. Every day presents a new set of challenges.
* Picture the New York Stock Exchange trading floor when the market is frenzied. That is the brokerage business every day.
* Excitement - things are different everyday - things change every hour - talking to different people all over the country.
* Every day is always different from the last. My business is such a "fast-paced world" which makes the work day seem to just breeze by.
Working with People All Over the U.S. and Canada
Thirty-two brokers (14.0 percent of the respondents) noted that the best aspect of their work was developing relationships with people all over the U.S. and Canada. Four typical comments follow:
* Dealing with people all over the country. If you want to you can make a lot of friends and truly have fun while you are working.
* The joy of talking with and meeting people from all parts of the country. I really enjoy this interaction with people and the satisfaction of seeing a task accomplished.
* Developing relationships with quality people all over North America - both customers and carriers.
* A great learning experience. I have learned not only many facets of transportation, but my general business knowledge has expended from my shipper and carrier customers. Also, I have met many people throughout the U.S. and Canada that have broadened my view on everything.
Being Your Own Boss
The joy of working for yourself was noted by 12.3 percent of the brokers, or 28 respondents. Five statements are found below:
* The great American dream of deciding my own fate.
* The freedom of working for myself and the chance of owning my own business.
* I really believe in controlling one's own destiny.
* Working for myself - enjoying the fruits of my labor. The ability to be as entrepreneurial as you can and therefore controlling your own professional destiny.
* The entrepreneurial freedom. It is the perfect reflection of the once taught American dream.
High Income
Twelve brokers - 5.3 percent of the respondents - stated that the best part of their position was the high income it generated. Here are three of their comments:
* For someone with only a high school education, I'm making a ton of money compared to most college graduates. As an added bonus, I really look forward to work each day because of the fast paced action involved. You should see me sometimes - talking to two people with two phones at the same time!
* The financial rewards are fantastic. I never thought I would make this much money, while enjoying the process of making it.
* I have worked on the shipper side and I have driven a track and worked as a carrier salesman. Take my word for it, being in the middle is where the money is to be made.
FRUSTRATIONS OF BEING A TRANSPORTATION BROKER
The respondents were also asked another open-ended question - Please tell us the ONE thing you find most frustrating about being a transportation broker. Here we found the responses to be more diverse than the similar query regarding what brokers liked best about their occupation. We were able to categorize the comments into eleven general themes, plus a number of miscellaneous observations, of which each appeared only once or twice. Each of the eleven frustrations will be examined in descending order of frequency.
Not Enough Trucks Available
The most common frustration of transportation brokers - noted by 48 brokers or 21.1 percent of the respondents - was that there was a shortage of trucks available when they were needed. Here are five representative comments:
* Lack of equipment caused in my opinion by the 1980 deregulation of the motor carrier industry. As a result of this act the majority of owner-operators cannot make a living as they once were able to do.
* Getting equipment - this is the main reason for some brokers also becoming contract or common carriers with 48 state authority and having a pool of 2-4 owner-operators that are leased to the broker on a permanent basis.
* Having a good load for a good customer and not being able to find a truck. I can't tell you how frustrating this is when you let the customer down. It really hurts to call the customer back and tell him you can't cover his load.
* Not being able to match up equipment with a load which causes you to give the load back to the shipper, you not only lose this shipment, but perhaps more in the future because the customer has a long memory.
* There is not enough equipment available at times and this leads to situations when one cannot find a carrier to haul a load when that good customer has a shipment which is urgent.
Not Respected as Transportation Professionals
The second most commonly noted aggravation of being a transportation broker was that their occupation was frequently not perceived by others as being professional in nature. That is, many people thought that the transportation brokerage business consisted primarily of unethical individuals. This concern was noted by 19.7 percent of the respondents, or 45 individuals. Below are five of their observations:
* The perception that many people in transportation have about us - we are the bottom of the barrel.
* Trucking companies that regularly use our broker services while still holding the view that we are scum - just a necessary evil.
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