Landstar System - Competitors

Landstar System Competition

Now Viewing Landstar System's competition in: Trucking (primary)

Recent Developments

Trucking Tonnage Index Drops - The for-hire truck tonnage index, as calculated by the American Trucking Association (ATA), decreased 0.9 percent in September 2008, the third consecutive month-to-month drop, and the lowest since October 2007. The current levels of tonnage decreases suggest a recession. ATA believes that the US slipped into recession in third quarter 2008 and expects it to last through first quarter 2009.

Diesel Prices Improve - The trend toward rapid increases in the US retail price for diesel fuel has recently slowed, prompted by falling oil prices. In October 2008 diesel prices rose more than 16 percent compared to a year earlier, but fell from the July 2008 high. In the three months since July 2008, prices for diesel fuel fell nearly 32 percent.

Freight Shifting from Trucks to Rail - Third quarter financial reporting by rail and trucking companies suggest that freight is shifting from highways to railways. The four leading railroads in the US all reported third quarter results that outperformed Wall Street predictions. Most leading trucking companies didn't fare as well: YRC Worldwide saw a 10 percent drop. Both rail and trucking companies have benefited from recent drops in fuel prices, but industry watchers predict that more freight will move to the rails if fuel prices go back up.

Competitive Landscape

Demand is driven by consumer spending and manufacturing output. The profitability of individual companies depends on efficient operations. Large companies have advantages in account relationships, bulk fuel purchasing, fleet size, and access to drivers. Small operations can compete effectively by providing quick turnaround, serving a local market, or transporting unusually sized goods. Average annual revenue per employee is $135,000.

Full Industry Overview For Trucking

Trucking Industry Forecast

from Hoover's/D&B subsidiary First Research

The output of US trucking transportation is forecast to increase at an annual compounded rate of 4.5 percent between 2008 and 2013.

Trucking Growth Steady

First Research forecasts are based on INFORUM forecasts that are licensed from the Interindustry Economic Research Fund, Inc. (IERF) in College Park, MD. INFORUM's "interindustry-macro" approach to modeling the economy captures the links between industries and the aggregate economy.