The Hidden Costs of Relying Solely on Load Boards

For many owner-operators and small fleet owners, load boards like DAT and Truckstop have become the go-to source for finding freight. While these platforms offer convenience and accessibility, relying solely on them can significantly impact your bottom line in ways that aren't immediately obvious.

The Race to the Bottom: Rate Compression

Load boards operate as open marketplaces where carriers compete for available loads. This competition naturally drives rates down as carriers underbid each other to secure freight. According to industry data, loads booked through private broker channels typically pay 10-15% more than those found on public load boards.

When a broker posts a load on a board, they're essentially announcing that they haven't been able to cover it through their preferred carriers. This often means the load has already been offered to multiple carriers at higher rates before hitting the public marketplace.

Membership Fees Add Up

Premium load board subscriptions can cost anywhere from $100 to $200 per month. While this might seem like a small expense, it adds up to $1,200-$2,400 annually—money that directly reduces your profit margin.

Many carriers maintain subscriptions to multiple load boards to maximize their options, further increasing these fixed costs regardless of how many loads they actually book through the platforms.

The Hidden Time Cost

Perhaps the most significant hidden cost is time. Owner-operators report spending an average of 2-3 hours daily searching load boards, making calls, and negotiating rates. That's 10-15 hours weekly that could be spent driving and generating revenue.

At an average rate of $2.50 per mile, those lost driving hours could translate to $1,250-$1,875 in weekly revenue (assuming 500 miles per day). Over a year, that's a potential $65,000-$97,500 in lost income.

Quality and Reliability Issues

Load boards are notorious for "phantom loads"—postings that are no longer available but remain visible on the platform. Carriers waste countless hours calling about loads that were covered hours or even days ago.

Additionally, load board freight often comes with less information about shipper/receiver requirements, detention history, and other critical details that can impact profitability.

The Alternative Approach

The most successful carriers typically use a multi-faceted approach to securing freight:

• Developing direct relationships with shippers
• Working with a select group of trusted brokers
• Partnering with dispatching services that have established broker networks
• Using load boards selectively to fill gaps in their schedule

By diversifying their freight sources, these carriers maintain higher average rates and more consistent work.

The Dispatcher Advantage

Many carriers are discovering that working with a professional dispatcher can eliminate many of these hidden costs. A good dispatcher:

• Has established relationships with multiple brokers
• Receives loads before they hit public boards
• Negotiates higher rates based on market knowledge
• Handles paperwork and administrative tasks
• Allows the carrier to focus on driving

While dispatchers typically charge a percentage of the load value (usually 5-10%), carriers often find that the higher rates and time savings more than offset this cost.

Conclusion

Load boards will likely remain an important tool in the trucking industry, but carriers should be aware of their limitations and hidden costs. By diversifying freight sources and considering alternatives like professional dispatching services, carriers can maximize their revenue potential and build a more sustainable business.

The next time you're spending hours refreshing DAT or Truckstop, consider what that time is really costing you—and whether there might be a better way to keep your truck loaded with profitable freight.