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Tips To Reduce Your Cost Per Mile

When you’re moving goods from one place to another, you have to be conscious of what you’re actually spending. A quote may sound good until you break it down per mile. The more you pay, the more money you lose out of your profits. Further, you might have to raise the costs to the end-user, which is never a good thing. This is why it’s of the utmost importance to work on reducing your cost per mile.

Use a Transportation & Logistics Company

If you’re hauling products in your own personal truck across state lines, it’s time-consuming and expensive. IRS reimbursement rates per mile are over 50 cents – and that can add up to a considerable amount of money, especially when you consider the small amount that you could transport.

You can’t use a personal fleet of trucks and save money. By working with a trucking company, you can reduce the cost per mile. Professional companies such as Royal Transportation can also work with you on the overall logistics and transportation management to ensure that you’re choosing the most cost-effective options based on where you’re shipping and how quickly you need to get things to their destination.

Compare Freight Costs

Pricing can vary dramatically depending on how much you have as well as where it’s going. Often, the further it’s going, the more it’s going to cost. However, you don’t want to spend more on trucking rates per mile than absolutely necessary. As such, it’s important to do some comparison shopping.

Intermodal shipping, for example, allows multiple modes of transportation to be used to get your products to where they need to go quickly and affordably. It may work best to use rail freight and trucking to get things to where they need to go. If you’re shipping overseas, you may want to use ocean freight followed by trucking.

By taking the time to compare the freight costs, you can make sure that the cost per mile is competitive.


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Explore LTL vs. FTL Freight

Depending on how much you have to ship from one location to another, you will want to compare LTL (Less than Truckload) versus FTL (Full Truckload) pricing. For example, if you don’t have enough stock to fill up an entire truck, you will want to explore LTL options that are offered.

At Royal Transportation Services, we’re able to work with you to ensure that you get the best possible trucking rates per mile. If you don’t have a large load, we can put it on the same truck as several other customers, thus dropping the price for everyone. It helps you to save money while still focusing on the fastest shipping to your own customers.

In the end, you have to do your research. If you’re still shipping everything on your own, your cost per mile is likely much higher than it needs to be. Tap into the professional services of Royal Transportation so that we can plan the logistics for you every step of the way.