The American Transportation Industry Represents 8% Of GDP What Does This Mean For Shipping?

Written by Economic Development Jobs on December 19, 2017. Posted in Expedited domestic shipping services, Machinery movers, Overweight shipping

Trade show freight

What does shipping mean to you?

You likely think about it a lot. You want to know whether or not your package is going to arrive from Amazon in time to wrap up and present to family. You’re eager to hold a new book you finally bought in your own two hands and regularly track the shipment’s progress online. We all have a unique relationship with shipping methods and businesses are no differences. Less than truckload is a cost efficient and popular choice even today, relying on a mixture of expedited trucking and aerospace logistics to ensure timely arrivals for everyone across the board.

Shipping is such an important element of business it can actually be a dealbreaker. Free shipping is frequently offered by small and large businesses alike to entice customers into paying more, which is nothing to say of encouraging repeat customers who want to relive a positive first experience. Less than truckload (also known as LTL) is defined by carrying smaller amounts of cargo. This is a flexible choice for all sorts of business models and can help ensure each and every delivery is a speedy one.

As of today the LTL market is estimated at $35 billion, which should give you an idea of the demand of your consumer base and business partners. Back in 2013 trucking transported an impressive 15 billion tons of cargo, with the Bureau Of Labor Statistics expecting that number to increase to nearly 19 billion tons in the next three decades. Expedited freight companies have a lot of ground to cover, both figuratively and literally, and your business can only stand to benefit by becoming familiar with less than truckload means.

American e-commerce has reached a fever pitch. Its combined revenue has sat at a pretty $420 billion and is only getting higher from here, with carriers being forced to adjust to ongoing changes throughout the retail industry. From less than truckload to parcel to full truckloads, people are eager for shipping methods that are both safe and fast as possible. Satish Jindel of the SJ Consulting Group has taken note of this change, finding that public truckload carriers have reported a 4% haul decrease between 2011 and 2016.

Trade shows have been booming in attendance as the rate of quality of industrial machinery transport increases. Convention centers are held all across the United States, with 2016 seeing over 252 convention centers in place. California and Florida, in particular, had the largest number with 20 locations each. Overall, spending in both the U.S. logistics and transportation industry exceeded $1 trillion in 2015. That’s 8% of annual gross domestic product going to transporting products for people up and down the corporate ladder.

Your brand needs to catch up to speed when it comes to intermodal shipping and less than truckload methods. With American e-commerce figures climbing and expectations regarding reliable transportation becoming ever more strict, you literally can’t afford to skimp out on this business foundation. Expedited freight companies can assist with specialized shipment methods that compliment, rather than challenge, what your business has to offer. Over 12 million trucks, locomotives and vessles will move goods across the transportation network every day. Are you taking advantage of them?

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