The Lowball Limbo
This happens all the time in this industry. The price I give you is the price to move the vehicle so far I have moved all my customers. READ THIS I DO NOT PRICE MATCH. I will be straight forward and honest.
Pricing can fluctuate all throughout the year, it is dependent on the popularity of the route, the number of vehicles trying to move, the number of truckers available in your area and fuel prices. A broker’s job is to provide pricing that will secure the services of an independent trucker and have the job done smoothly and efficiently.
What is the lowball “limbo”?
The lowball limbo is what happens when, in this highly competitive industry, brokers in an effort to garner a customer’s business will drop the price of the transport to gain the upper hand with the customer. Sometimes, it works out but most times it does not.
How so? For example on a particular route the current price to move a sedan in $700 total. Broker #1 calls the customer and gives their spiel. They tell the customer the price of $700. Broker #2 reaches the customer and asks what Broker # 1 offered them. The customer lets him/her know, so Broker #2 offers to get it done for $650. Then along comes Broker #3 and the price drops even further- the “lowball” limbo.
Now, everyone wants to save money especially on an expensive move such as auto transport. What is not communicated to a customer is this – No broker can force a trucker to take less than they demand on a route.
The lowball limbo works in tandem with the “bait and switch” which is to get the person to jump on the lowball limbo price and then have them agree to work along with that particular broker. Usually at the 11th hour, that broker will call the lowballed customer and state that the “cheap” driver they had on deck encountered a problem and can no longer pick up the car. They have, however, found another driver who can do the job but the cost has risen dramatically, putting the customer back to the price the broker knew from the beginning would have gotten the job done but felt they would not have gotten the customer to “bite”.
While this industry is competitive, there are brokers who will be up front with customers. They will do “realistic” price matching for that competitive edge. Customer service will be the key