Knowing Your Local Transport Costs

  • Blog

Regardless of what type of business you are running or managing, knowing your costs is imperative. Your transport cost for local deliveries are no different. Some businesses and carriers have agreements for pallets rates, others hourly rates and day rates.

But now, there are additional charges creeping in. There are, and has been for a while, Fuel Surcharges written into pricing and now we are seeing Toll Charges being added as well with the never ending expansion of roads and privatisation of them. Between the two of those charges, those costs can add up substantially for you as a business, and yes, while they have been agreed to initially, most people only remember the first number given.....the hourly rate. It is like being told a price of between $300 and $500 for a service, most people will only ever hear and remember $300 and therefore be upset when the final invoice comes through at a higher price.

If you're a business in Sydney or surrounding areas utilising transport for deliveries to your clients daily, these additional costs, depending on you and your clients locations could add hundreds of dollars to your final price DAILY !! Toll prices are fixed for periods at a time, however fuel surcharges, depending on the carrier can be anywhere between 10% and 20% (some even higher) that will be added on top of your freight charge altered monthly depending on fuel prices.

In Local Transport especially, a transport carrier should know their costs based on past records. For instance, I know that my trucks use 1 litre of fuel for every 4kms travelled around Sydney. I know my average Toll charges monthly and all other expenses. Knowing that I can work out fixed hourly or daily rates. I can work out a job rate for a specific one off job and all inclusive of everything allowing my clients to know their exact costs. I am yet to meet either a client or a potential client that does not want fixed prices whenever they get the opportunity and of course they do, as they themselves are running businesses or departments and this allows them to know their costs giving them an easier platform to be able to price potential work as well as run their own accurate reports and analysis.

At BTG Transport, we not only give fixed pricing with no additional surcharges, we provide superior customer service. We see ourselves as an extension of our clients business and strive for their success.

Maybe when you're ready to look at saving time and money in the warehousing and transport area of your business, you should contact us at BTG Transport. We can provide simple Transport solutions right through to 3rd party warehousing and consultations to help your stream line and better improve your transport efficiencies.

You have absolutely nothing to lose and MONEY to gain!

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Anyone can provide a serviceā€¦
but can they provide the BTG Logistics experience?