ISP question spots

Discussion in 'FedEx Discussions' started by Exec32, Sep 18, 2016.

  1. Exec32

    Exec32 Member

    How do you guys handle spots in your defined areas.
    Do you service them, and what equipment do you use? Do you sub contract, how much does it cost you?
     
  2. UpstateNYUPSer

    UpstateNYUPSer Very proud grandfather.

    Spots? I usually pretreat and soak overnight.
     
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  3. It will be fine

    It will be fine Well-Known Member

    I sub them to Linehaul contractors. They pay me for the rights. The stop stays on my contract and they get to service it. As a subcontract fedex pays them the spot charge.
     
  4. Exec32

    Exec32 Member

    There is no benefit in servicing them yourself? Let's say the spot takes 300 delivered and 400+ pickup.
     
  5. It will be fine

    It will be fine Well-Known Member

    Only if you're already running tractors. The Linehaul contract isn't that great. When you start moving a lot of pieces fedex will only pay the spot charge not the P&D rate. The ISP agreement slashes piece payment so much it's not valuable to run under that contract either. If you have a stop like that you could you use to base a straight truck route off of, but I wouldn't add a tractor.
     
  6. Exec32

    Exec32 Member

    I planned on using a straight truck and absorb most in town stops, send other P&D trucks to cover rural and residential. Do you have an average stop and package number for each truck to meet your per truck revenue. I know it should be based on your per package and per stop rate you negotiated, right?