Photography by Ed Zoller,

Owner-Operator, Optimus Transport, Inc

John & Jenni BourdonJohn & Jenni Bourdon

Optimus Transport, Inc.Optimus Transport, Inc.

Arrow Industries – Arrow Industries – Warehouse & TransloadWarehouse & Transload

Transportation Transportation Issues Issues and the Hardwood and the Hardwood

IndustryIndustry

How Smaller Fleets fill the NichesHow Smaller Fleets fill the Niches in Regional Transportation -- in Regional Transportation --

What’s a “niche?”What’s a “niche?” “The expression niche is borrowed from ecology and implies a situation or an activity perfectly suited to a person, a given type of personality, a business model . . . …the process of finding and serving small industry segments and designing custom-made products or services for them. . . . …big companies find those market segments too small to serve profitably as they often lack economies of scale; …niche fillers are often reliant on the loyalty business model.”

Etymology – by Wikipedia.org

What “niches” do smaller fleets What “niches” do smaller fleets fill?fill?o LogisticsLogistics – “one call does it all” Regional carriers : Know their traffic lanes Have built relationships with industry partners Can more effectively plan freight movement into, out of, and within their area

o LiaisonLiaison Familiar with regional mills, shippers/receivers, transloads, Ports-of-Entry, etc. Better control over trucking – work directly with their own drivers/Owner Ops

o LoyaltyLoyalty Able to more effectively prioritize shipments for established customers Give preference to and make allowances for the needs of established customers

And what And what constitutes a

constitutes a “smaller” fleet?

“smaller” fleet?◊◊Transport Topics Weekly says – Transport Topics Weekly says –

Less than 150 tractor unitsLess than 150 tractor units

◊◊ Jenni B says –Jenni B says –

For a Regional Carrier, less than 30For a Regional Carrier, less than 30

What to expect from your What to expect from your “Niche” filler --“Niche” filler --

o CommunicativeCommunicative Accessible, attentive, attuned

Competent Competent They do what they say they’ll do when they say they’ll do it Capable of facilitating seamless freight movement& communicating progress

CompetitiveCompetitive Provide real-life rates that help you stay competitive and trucks stay on the road

““How can I help?”How can I help?”

WeeklyWeekly Retail Retail Diesel Diesel PricesPrices

http://tonto.eia.doe.gov/oog/info/wohdp/http://tonto.eia.doe.gov/oog/info/wohdp/diesel.aspdiesel.asp

April 2004

Oct 2004

April 2005

Oct 2005

April 2006

West Coast West Coast AveragesAverages

23+% increase over

past 12 months

Dec 2003 $1.60

Challenges for OTR Challenges for OTR transportation --transportation -- Across the board increase in all

types of expenses

Soaring fuel costs (nearly 70% annually - previous three year period)

Shortage of qualified, competent drivers

Reduced highway capacity – increase in traffic volume and density for most regions

Increased regulations & security measures including Homeland Security rules, etc.

Driver shortage – issues that Driver shortage – issues that impactimpact

LifestyleLifestyle

Driver PayDriver Pay

Increased Cost of Truck Increased Cost of Truck OwnershipOwnership

Skyrocketing Fuel PricesSkyrocketing Fuel Prices

Changes to Hours-of-serviceChanges to Hours-of-service

Aging WorkforceAging Workforce

How can How can we we help?help?Optimus Transport, Inc - -Optimus Transport, Inc - -

8 years serving the Northwest 8 years serving the Northwest (WA, OR, ID, MT)(WA, OR, ID, MT)

2020+ + maxi curtain vansmaxi curtain vans

Platinum Fleet Safety Award WinnerPlatinum Fleet Safety Award Winner

Arrow Industries - - Warehouse & TransloadArrow Industries - - Warehouse & Transload Indoor railcar and container load/unloadIndoor railcar and container load/unload

Centrally located to the region at the Port of Centrally located to the region at the Port of Olympia, WAOlympia, WA

(just south of Tacoma/Seattle & north of (just south of Tacoma/Seattle & north of Vancouver/Portland )Vancouver/Portland )

OOptimus Transport, Inc.ptimus Transport, Inc. Phone: 360-570-0090Phone: 360-570-0090

Fax: 360-570-8808Fax: 360-570-8808

Email: Email: optimus@optimustransport.comoptimus@optimustransport.com