Did you know? You can see how rates and truck utilization are affecting revenue by using SONAR’s revenue per driver per week index.
What is it?
Revenue per driver per week (DRVREV) — This index captures the total amount of Linehaul and Accessorial revenue generated per week, expressed on a “per-driver” basis. Please note that fuel surcharge is excluded from this index. The count of drivers included in the index captures both part-time and full-time employees, as well as independent contractors. For part-time, the counts are reported on a full-time-equivalent (FEL) basis. The carriers reporting the data for this index are participants in Truckload Carriers Association’s TPP program.
In the chart above, users can view how rates and utilization are affecting revenue.
Who needs it?
Analysts: Revenue per driver per week gives analysts insight into how well utilized carrier fleets are and shows rate direction for van, reefer and dry van carriers each month.
Carriers: Carriers can benchmark their driver utilization numbers against the three main equipment types in the industry.
Brokers: Brokers can see how well carriers are managing the current trucking environment. The higher the number goes, the more leverage the carriers have.
Shippers: Similar to the brokers, shippers can see how well carriers are managing the current freight market. If revenue per truck per week is increasing, carriers may be seeing higher rates and/or increasing demand, which puts pressure on capacity and rates.
What can I do with it?
Using this information as a benchmarking figure, users can get a good idea for how van, reefer and flatbed carriers are navigating the freight market each month. When revenue per driver per week is increasing, carriers are more effectively utilizing their drivers either from increased rates, volumes, or equipment and personnel management. There is a correlation between revenue per driver per week and freight activity.
Revenue per driver per week is updated monthly and is based on a sample of over 300 carriers mixed between primarily dry van, flatbed and reefer trailer types. The fleet sizes range from small to large, representing a well-balanced mix of carrier types.
Show me how!
1) Click Chart to view the historical trends and changes in dry van, reefer and flatbed carrier revenue per truck per week over the past few years.
- Certain carriers have differing experiences in terms of rates and volumes during both seasonal and cyclical changes in the freight market.
- Knowing which types are experiencing periods of success and failure allows you to analyze your performance as a carrier and gives insight into the industry on more of a target basis for other participants.
Pro Tip: Go to SONAR’s Knowledge Center and check out other TCA Benchmarking indices, such as Average Length of Haul and Empty Miles percent.