forecastAnother year is over and we would like to thank to our customers that continue to trust us with their vehicle shipping needs. 2011 was the year of recovery for the automotive industry as well as the car shipping industry. Demand for car shipping services rose sharply as new car sales increased and recreational travel resumed to historical levels.

RCG Logistics moved 3,787 cars in 2011 for over $2.5 Million in revenue. The average shipping price for a vehicle was $684. We shipped cars coast-to-coast, locally, regionally and all over United States, for car dealers, businesses and individuals.

Challenges

The number vehicles being shipped in 2011 often overwhelmed the available capacity. In some regions there was simply not enough car carriers to move all of the vehicles. This often led to increased lead times as well as higher prices. The price of diesel, as high $4.46/gallon last summer, also contributed to higher shipping costs. Insurance is another issue that gets very little attention as more new companies enter the business for lucrative profits.  However, as more new and luxury cars are being shipped few carriers carry enough cargo insurance and there is a limited number of skilled drivers, . Besides additional risk from under-insured carriers and inexperienced drivers, incidental damages to vehicles are a rising concern as well.

Accomplishments

In 2011 we introduced instant car shipping quotes, we also made it easier for customers to track their orders online. Significant improvements to the interface of our website made it easier to get car shipping rates as well as information to make informed decision when it comes to shipping vehicles. We have implemented stricter policies for carrier selection, focusing on established car haulers with good feedback.

Goals

We constantly strive to provide value and high quality of service to our costumers. For 2012 we want to decrease the lead time it takes to assign drivers, make more information available on our website, reach more car dealers and individual customers, as well further improve our relationship with our partner carriers.

About the Author: Alex Marinov

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Alex Marinov is the president of RCG Logistics LLC, with years experience in the shipping and freight industry. His main interest include sustainable building design, video production and automobiles.

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4b586afda56310883a7cce9efc036e95?s=72&d=wavatar&r=pg
Posted by
Alex Marinov
Post Date
01/10/2012

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