Survey Highlights Freight Broker Optimism for Growth in Spot Rates and Demand

Truckstop and Bloomberg Survey Highlights Broker Optimism

The recent semi-annual survey conducted by Bloomberg and Truckstop has revealed a wave of optimism within the freight brokerage community. Brokers are feeling positive about the future, mainly due to an uptick in both demand and spot rates recorded in the latter half of 2024. As the freight market begins to stabilize, many brokers foresee continued improvement in 2025.

Lee Klaskow, a senior freight transportation analyst at Bloomberg Intelligence, pointed out that brokers believe the improving demand and rates are set to persist. The survey's findings indicate that 55% of the brokers reported a year-on-year rise in load volume, a remarkable 26 percentage points improvement compared to the earlier half of 2024. This demonstrates a significant rebound in freight brokerage operations that were hit hard in the previous years.

Looking ahead, there's a palpable sense of anticipation as 77% of brokers express confidence that load volumes will continue to rise over the next three to six months, marking a notable increase in optimism from 28 percentage points over the first half of last year. This outlook is not only a reflection of recovering market conditions but also an indication of brokers' adaptability to changing logistics landscapes.

Furthermore, broker sentiment regarding spot rates is becoming increasingly positive. Over half (52%) of the survey respondents expect spot rates to climb higher in the next three to six months. This is an 18 percentage point increase compared to the previous survey. The market dynamics are tightening, with Truckstop’s Market Demand Index showing a 28% rise in average conditions from the last quarter of 2023 to the last quarter of 2024.

On the profitability side, roughly 31% of brokers noted margin expansion during the latter half of 2024, an increase of 7 percentage points from the earlier half of that year. An encouraging 67% of brokers expect their gross margins to continue improving in the next six months—a dramatic boost of 30 percentage points from the prior survey.

Kendra Tucker, CEO of Truckstop, stated that the survey reflects a growing spirit of optimism among brokers for the upcoming year. Furthermore, she noted that 52% of brokerages are planning to add new members to their teams, signaling confident expectations for growth. There is also an emphasis on addressing industry challenges, as 89% of respondents feel better prepared to tackle fraud—a critical concern for the transportation sector.

The Bloomberg and Truckstop survey offers valuable insights into the freight brokerage market’s health. The survey included 159 participants spanning various segments, including freight forwarders, third-party logistics providers, and both asset-based and non-asset-based brokers. Notably, non-asset-based brokers constituted the largest group of respondents, followed closely by third-party logistics providers and broker agents.

In summary, the findings from the Truckstop and Bloomberg survey showcase a freight brokerage community that is not only resilient but also ready to embrace opportunities in a recovering marketplace. As demand grows and spot rates are predicted to improve, this optimism sets the stage for an active and potentially lucrative 2025 for freight brokers.