Transportation Intermediaries Association (TIA) has released its Second Quarter 2019 TIA 3PL Market Report with commentary from TIA's Chief Economist, Noël Perry. The results show that participants’ total shipments decreased compared to Q2 2018 and gross margin percentage experienced an increase of 250 basis points.
Combined total shipments of truckload, intermodal, and LTL decreased 0.4 percent. Companies with less than $100M in annual revenue produced improvements in total shipments and gross margin.
The report represents more than 1.4 million shipments and over $2.5 billion in total revenue for Q2 2019. It contains rolling eight-quarter trends, fuel price comparisons, and allows 3PLs and industry observers to view how the industry is performing as well as to compare their business to companies of a similar size. Additionally, the report includes detailed 3PL activities by transportation mode and measures comparative volume, revenue, margin and margin percentages, quarterly and year over year.
TIA’s Chief Economist, Noël Perry reflects, "Year over year comparisons are negative in both volume and price, reflecting the usual spot market picture after a peak."
The publication is based on monthly data submissions of TIA members who provide current operating data, and answer questions on business conditions affecting the 3PL industry. These data submissions are then used by TIA to create a comprehensive report on the trends and practices of the 3PL industry.
"The comparison of TIA and overall results suggest that TIA members are managing their mix and pricing well. Let's see how that continues," adds Perry.
