Is the Fear of Spending Too Much Holding Your Driver Recruiting Back?
Trying to nail down the best way to recruit truck drivers can be a tricky proposition. The world we live in is changing rapidly, and so is the way we communicate.
Since the introduction of the internet we’ve seen a boom in technological advances and a shift in the way we live our lives. It’s just not as simple as it used to be. But truck driving is still a hugely popular career option nationwide.
However, as popular of a job as it is, truck driving suffers from an extremely high turnover rate. For large fleets it has climbed as high as 74%, while smaller fleets fare only marginally better with a 66% turnover rate.
This high turnover rate means that today’s fleets are constantly struggling to find qualified drivers to man their trucks and keep them moving.
There’s a myriad of options out there that are available to fleets and their recruiting partners, and different fleets have found success through different avenues. But, there is one universal truth when it comes to driver recruiting . . . if you don’t spend on your recruiting efforts, you will fail to bring in the new drivers you need.
The Math of Driver Recruiting Simplified
When it comes down to it, every business out there is concerned with the bottom line. That’s why it’s not surprising to see that fleets can be a little timid when it comes to spending large sums of money on recruiting with no guarantee of how effective it will be.
Ultimately though, empty trucks equal lost money. In fact, our numbers indicate that the average truck generates $650 per day. Of course this is just an average and that number may fluctuate based upon the type of freight and truck type. This also does not take into account any fixed costs associated with that truck. So, in actuality the lost revenue coupled with these built in expenses could be costing you even more. The point is everyday a truck is not running and making you money, it’s actually costing you money.
To get those trucks on the road, fleets have to be willing to spend the necessary money to target, reach, and successfully recruit the desired drivers. But many are still gun shy when it comes to pulling the trigger on funding recruiting.
An Example of Timid Spending on Recruiting
Fleet X currently has 100 empty trucks that they need drivers for. They currently see a cost per hire (CPH) of around $40. With their need to fill 100 trucks at a CPH of $40, Fleet X would have to spend a bare minimum of $400 on recruiting to meet their needs.
However, they decide to only spend $250. As we have seen, anything less than $400 guarantees that their efforts will inevitably come up short and their trucks will remain empty and in the yard rather than on the road making the fleet money. They have set themselves up for failure.
Unfortunately, many fleets out there do this to themselves everyday without even realizing it. To make money, you have to spend money. Without putting the adequate funding behind your recruiting it is impossible to achieve your goals.
Lack of funding isn’t the only area where companies fall short on recruiting. The fear of spending too much has held many back from expanding the ways they try to reach prospective drivers.
Use a Test Budget to Try New Tactics
Different fleets have found that certain channels of contact and recruiting tactics work better for them than others. No two fleets are exactly alike and each fleet has their own specific needs. So, it only stands to reason that each fleet may take a different route to reach those internal goals.
One way to reach these internal goals is to broaden your reach through different recruiting avenues. Spreading funding around into different areas can be scary. Even the most effective recruiting tools can fall short if not properly funded.
That’s why testing these tactics out first is a great way to gauge how successful they are for you. By setting aside funds specifically earmarked for testing, fleets can try new methods of recruiting that they haven’t used before.
The key is to have funds specifically allocated for trying out new tactics. Every year produces new and interesting ways to communicate, which in turn opens the door for brand new ways to reach prospective drivers.
Don’t Let the Fear of Spending On Recruiting Cost You Money
By not spending adequately on recruiting, fleets have virtually guaranteed that they will lose money. No one wants to overspend or throw money away, but it is important to remember that getting quality drivers behind the wheel and on the road is the goal. You can only gain those drivers through effective and successful recruiting.
To Make Money You Have to Spend Money
By making sure that your fleet is actually spending enough to make a difference and embracing new methods and avenues for recruiting with a test budget, you can ensure that your recruiting efforts will reach your goals and keep you up to date with the latest trends.
In addition to proper spending and test funding, the data available to you from RigDig and the 700,000 active drivers listed can be a tool to help further refine your driver recruiting.