3 Effective Methods of Increasing a Freight Broker’s Commission

Freight brokers have several options for increasing commissions:

  1. Increasing the interest rate (commissions, for the most part, are controlled by the brokerage and the market).
  2. Increasing the gross profit by increasing the interest rate paid by the shipper of the freight.
  3. Decrease in the cost of delivering the goods (payment of the carrier’s services).

As a result, the total amount of income does not play the most important role, because the brokerage commission is directly related to the amount of gross profit. After selling the freight for the amount of $50 000 the broker will get 20%, and if he sells the freight for $100 000 the commission will be 10%. The final profit is the same in both cases.

As a result, the total amount of income does not play the most important role, because the brokerage commission is directly related to the amount of gross profit. After selling the freight for the amount of $50 000 the broker will get 20%, and if he sells the freight for $100 000 the commission will be 10%. The final profit is the same in both cases.
Consider 3 effective methods to increase your profits.

Method #1. Investing finances in a broker’s loading board

3 Effective Methods of Increasing a Freight Broker's Commission

The most effective way to find a load is to use Truckstop.com. Use a load board and book loads from reliable carriers with good reputations. This will save you time and provide several significant benefits. All you have to do is click a button (or use automated technology) to book your freight. Study the rates, analyze the prices and choose the best deals.

Method #2. Analysis of current rates

To find the most appropriate margin, use Rate Insights technology at Truckstop.com online. The service has access to a database of spot rates. You’ll instantly find up-to-date information on favorable rates and be able to place shipments at the best margin. The better the margin, the higher your income will be. Brokers use this tool and find margins several times faster than the competition.

3 Effective Methods of Increasing a Freight Broker's Commission

Method #3. Placing loads for more suitable carriers

Truckstop.com has an original option called Book It Now. With it, brokers control the process of accepting shipments. Only you determine which carriers can bid on and leave a reservation for your shipments. You don’t have to constantly check the progress and visit the site after hours. Gradually, your “white list” of carriers will expand to include only those you fully trust.

The profit margin of a broker directly depends on his efficiency and professionalism. Take advantage of the tips above, and your profits will increase many times over.