🏓 Double-Crossing the Double-Broker

TGIF. Today's feature shows you what happens when you turn the tables on a double broker. Plus, we're looking at the top 10 worst truck bottlenecks across the country, a shipping fraud case out of Ohio, and the latest trends in the freight job market and hiring practices.

🤔 Question of the Day: Two large, US-based, freight brokerages announced this week that they have opened offices in Guadalajara, Mexico, to enhance their cross-border freight capabilities. Can you guess which two? Scroll to the Around the Freight Web section to find out.

In today's email:

• Three Freight Headlines: Top 10 trucking bottlenecks in the US, trucking owner guilty of consolidating freight, and Charlie Saffro lists the latest trends in hiring.
• Double-Crossing the Double-Broker
• Around the Freight Web: Record-breaking amount of warehouse space available, Uber stock soars with buyback, and Walmart boosts trade with India.
• Freight Meme of the Day

TOP LANE MOVERS POWERED BY GREENSCREENS.AI

*Greenscreens.ai, forecasts real-time truckload buy prices that are suited to each freight brokerage's purchasing power using AI and machine learning. Its engine takes into account over 130 attributes and data points in each rate forecast.

🐔 WHAT’S COOKIN’ IN FREIGHT

🛣 Top 10 Trucking Bottlenecks. Atlanta's I-285 secures an unwelcome spotlight in the American Transportation Research Institute's latest findings, featuring three of the top ten worst trucking bottlenecks in the U.S. Still, the worst bottleneck is I-95 at SR4 in Fort Lee, NJ. Chicago takes the next two spots. The average truck speed in the top 10 worst areas dips to a sluggish 28.5 mph during rush hour. In the overall 100, average rush-hour truck speeds dropped by nearly 4% YoY to 34.4 mph.

🚛 Double Stacking Loads. Gurtej "Gary" Singh of Columbus, Ohio, admitted to wire fraud. Using his trucking companies, Singh opened sealed trailers and consolidated freight to cut costs. His scheme led to significant losses, including nearly $230,000 worth of Bath & Body Works products gone missing. Singh's sentencing is still on the horizon, with details of accomplices, if any, yet to surface.

📊 Trends in the Freight Job Market. CS Recruiting's CEO, Charlie Saffro, shares insights on the current recruitment and job trends in the freight world. A big change in the market is the surge in demand for cross-border freight tech solutions and expertise. On hiring, job seekers want salary transparency upfront. Meanwhile, there is a drop in work-from-home opportunities, with companies leaning towards a hybrid model to attract talent. Read her entire post here.

TOGETHER WITH ARMSTRONG TRANSPORT GROUP

Are you an experienced freight agent looking to take your career to the next level? Or perhaps you're relatively new to the logistics industry and want to learn from the best. Whatever your background, Armstrong Transport Group is the partner you need to succeed. Click here to learn more.

Double-Crossing the Double-Broker

Please note: The following is a summarized account of a conversation between a freight broker and an individual accused of double brokering. This summary has been shared by a member of the LOST FR8 Discord community. It is intended for informational purposes only and does not constitute an accusation or legal judgment. The identities and specific details have been omitted or generalized to protect privacy and confidentiality.

Recently, the LOST FR8 Discord server got a front-row seat to a double broker being beaten at his own game. It started when a Canadian broker received a suspicious email from an alleged double broker (email us for their name and company info or join the LOST FR8 Discord channel). Then the games began.

Who's Who?

• The "Double Broker": who emailed a freight broker with a Carrier Setup.
• The Real Broker: the legitimate freight broker who sent a fake load to the double broker.
• The "Carrier": Johnny Hamcheck, a fake carrier made up by the real freight broker to screw around with the double broker.

The Broker Responds

The legitimate broker, who wants to remain anonymous, wanted to have a bit of fun so he sends the alleged double broker a load to quote: a truckload of ping-pong balls.

The double broker immediately jumped at the freight, no questions asked. He quoted a rate of $3,500 (to which the real broker asks which currency?) and then went to find an unsuspecting carrier to move it.

Enter Fake Carrier to Screw Around with Double Broker

Enter "Johnny." A friend of the real broker who had time today. Using a second email address, he accepted the bogus ping-pong load from the double broker, who gave him a rate of $4200.

This is where things get fun. The legit broker had the double broker running back and forth with one ridiculous request and stipulation after another.

First, we've got a driver with limited numerical prowess:

Getting the number of ping pong balls is important because the "customer" will charge a fee of $0.05 per piece for an improper count.

Also, who knew that ping-pong balls were such a complex load to move?

Not only that, but they are temperamental when it comes to altitude, so they require specific routing.

And don't forget the special handling and loading process. And counting all those balls? Don't worry. The shipper has a pen and notepad ready.

As the requests got stranger and stranger, our legit broker couldn't believe how diligent this scammer was in running the details back and forth to the "carrier." Ping-ponging from carrier to broker, not realizing they are one and the same. What a champ.

But there's just one final request. This may have been where the double broker finally caught on.

And so, they came to a stalemate. What can we learn from this? It can feel really good to beat a double broker at their own game.

Don't forget to join the LOSTFR8 Discord for the full thread.

TOGETHER WITH RELIANCE PARTNERS

Borderless Coverage powered by Reliance Partners launches the Mexico Cargo Hijacking Data Portal to tackle the high risk of cargo hijackings in Mexico. Providing in-depth analysis, the portal reveals a significant increase in hijackings, particularly in central and southern regions, and underscores the need for enhanced security measures. This tool is vital for businesses to strategize safer operations and navigate Mexico's challenging logistics landscape. Read more about the data portal here, then get in touch with Reliance Partners today at 877.668.1704!

AROUND THE FREIGHT WEB

🏭 More Warehouse Space Available. U.S. warehouse subleases hit a record 156 million square feet.

📈 Uber's Bullish Signal. Uber's stock soared over 14% following the announcement of a $7 billion share buyback, signaling strong financial confidence after surpassing earnings and revenue forecasts. Although Uber as a whole is doing well, Uber Freight continues to lose money.

🇮🇳 Walmart Bets on India. Walmart's sourcing from India has surpassed $30 billion over two decades, with the company aiming for $10 billion annually by 2027.

🚢 Ocean Freight Update. Flexport's latest update reveals expected ocean rate hikes in March due to Red Sea disruptions and scarce equipment in Europe, alongside a surge in air cargo rates from China.

💰 Top Supply Chain Pay. Zetwerk Analysis points out purchasing managers as the highest earners in supply chain, with median salaries at $131,350.

🇲🇽 Expansion in Mexico. Arrive Logistics announces its expansion with a new office in Guadalajara, Mexico, enhancing its cross-border freight capabilities. This comes just days after BlueGrace announced their new office in the city.

📦 Freight Forwarder Gets Off the Hook. Cargosave reaches a settlement with the US BIS over Iran export control violations, facing a 2-year suspended denial of export privileges and mandatory compliance training, but no fine.

The FreightCaviar Story: From Memes to Media Agency

FreightCaviar and ShipperCRM Co-Founder Paul Jaroslawski had the honor of being interviewed by Nate Shutes on The Bootstrapper's Guide to Logistics Podcast. Paul shares his journey up to now, from managing U.S. freight in Ukraine to sharing memes and growing a social media following. Here's how FreightCaviar started and here's where it's going.

You can listen on Apple Podcasts or on YouTube.

FREIGHT MEME OF THE DAY

Also, check out:

• 🎧 The FreightCaviar Podcast. Listen to this week's podcast on Spotify & Apple Podcasts.
• ☕️ FreightCaviar Essentials. Purchase a FreightCaviar hoodie, long-sleeve, or mug by clicking here.
• 🎧 The Bootstrapper's Guide to Logistics is a podcast that highlights and inspires supply chain entrepreneurs, sharing their stories and building a community from the ground up.
• Want to get your brand noticed by freight brokers? FreightCaviar can help. Work with us to get your services featured in our newsletter, podcast, and more. Plus, we write great articles about what you do. Get in touch with Paul at pbj@freightcaviar.com to learn more.