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Returning to In-Person Events – Freight Concerns

By April 12, 2021No Comments

Covid-19 has affected everyone in many ways this past year, and the trucking industry is no different. As we all start the slow return to normal, there will be an increase in freight activity in the coming months. In the trade show and live events industry, we rely on timely freight deliveries, so it is very important that exhibitors have a strategy in place before the peak season begins.

The “Amazon Effect”

Champion Logistics Group is one of our strategic partners, and CEO Drey Lucibello had these comments, “From a transportation scenario, our industry is currently seeing a lot of supply and demand issues fueled by the pandemic, driver shortages, the “Amazon affect” and recent winter storms.  As such, capacity tightened rapidly as major interstates were reduced to a crawl, pushing record-level load volumes into the spot market, as contracted carriers struggled to fulfill committed capacity.”

Rates & Fees Increasing

What this means is that the rates and fees are increasing compared to previous years. When we get shipping estimates for shows, the vendors are telling us that due to the volatility associated with the before mentioned, the quoted transportation rates are only good for 7 days. Keep in mind that with the everchanging restrictions at individual event venues, there could be added charges such as waiting times due to convention center or general contractor restrictions. These estimated costs are subject to change and should be revisited as your trade show or event draws closer.

Lucibello also had this to say, “Another variable contributing to this mindset is that industry experts are predicting diesel gas prices to rise due to new administration policies which will certainly affect transportation budgets.  There simply is no way to predict where the industry will be 60, 90 and further days down the road.”

Rippling Impact

In the end, those of us who produce the shows and events will need to recognize that changes are on their way. Our proposals need to clearly indicate that the estimated prices are good for 30 days. Many trade shows have been pushed back from the first half of the year to the second half of 2021, which only escalates the concerns. As we enter the peak transportation period, the 3rd and 4th quarters, we need to be educating our clients on the increased costs.

These shipping issues could affect our timelines and we will need to have the exhibits prepped and ready earlier to ensure timely delivery to the shows. The best way to stay ahead of the game is to start the planning early.

As Bob Dylan put it, “If your time is worth saving, then you better start swimming, or you’ll sink like a stone. For the times, they are a-changing.”

Contact us today to get started planning.

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