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The one pandemic-era trend that has stuck

PTBy Port Trucker Staff1 min read
The one pandemic-era trend that has stuck

Tender lead times — the time between the initial request for truckload capacity and the requested pickup date — have remained 10-15% above pre-pandemic norms throughout 2023. This has been the one transportation management trend that has stuck and not regressed since the end of the shipping boom. It is also a trend that benefits both shipper and carrier.

Lead times have an optimal range depending on the origin. Generally speaking, a three- to five-day lead time gives a carrier plenty of time to prepare and adjust its networks to make a pickup, even in some of the more remote areas.

Lead times spike in front of holidays as shippers push orders for the future before they leave the office.

When lead times shrink rapidly, it can be an indication that shippers have had unexpected demand spikes. Gradual moves in lead times are more dependent on shipper expectations of capacity availability. This current pattern does not fit historical patterns.

National lead times (OTLT) averaged around 2.6 days in 2019, which was the shortest amount of time of the past five years.

Source: freightwaves.com

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