Bumpy ride: Rising competition and volatile diesel prices have hurt industry profit, despite revenue growth

The Local Freight Trucking industry in Florida has experienced modest growth over the five years to 2017 as strengthening economic conditions have boosted demand for transportation services across many markets. The industry serves downstream buyers in the manufacturing, wholesale and retail sectors of the economy, all of which have swelled during the five year period. Industrial production has been volatile, but has grown overall, contributing to manufacturers' demand for the transportation of raw materials. Meanwhile, consumer spending in Florida has increased at a moderate pace, boosting demand for transportation of finished consumer products to distribution centers and retail outlets...read more.

Industry Statistics & Market Size
Revenue
$2bn
Annual Growth 12-17
1.1%
Forecast Growth 17-22
Profit
Employment
23,326
Businesses
18,268

Industry Threats & Opportunities

  • Strong economic growth in Florida will continue to boost demand for transportation services, supporting industry expansion
  • Revenue growth has been relatively slow due to the sharp decline in diesel fuel prices
  • Rising fuel costs will spur industry growth at a faster rate
  • Industry Report - Industry Analysis Chapter

    The Local Freight Trucking industry in Florida, which transports commodities and commercial goods either locally or regionally, has experienced a period of mild growth over the past five years. Moderate demand growth has spurred industry expansion, with the number of establishments growing at an annualized rate of 3.7% over the period, to reach 18,268 establishments in 2017. At the same time, however, a recent drop in the price of diesel fuel has reduced the amount of revenue that industry operators have collected through fuel surcharges. While this decline in prices has dampened industry growth, industry revenue is still expected to rise at an annualized rate of 1.1% over the past five years. This includes an expected 4.0% increase in 2017 to reach $2.0 billion...purchase to read more.

    Additional Insights for the Local Freight Trucking in Florida Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Local Freight Trucking in Florida Industry are

  • Market research and understanding
  • Access to quality personnel management
  • Having contacts within key markets
  • IBISWorld analysts also discuss how external factors such as Total vehicle miles in Florida and Industrial production index in the Local Freight Trucking in Florida industry impact industry performance..

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    What's in this report

    What is the Local Freight Trucking in Florida Industry?

    Operators in this industry provide general freight trucking services over short distances. General freight companies handle a variety of commodities, which are usually palletized and transported in a container or van trailer. Local general freight trucking companies commonly provide trucking within a metropolitan area that may cross state lines, and the trips are typically same-day return.

    Industry Products
  • Truckload transportation
  • Less-than-truckload transportation
  • Dry bulk trucking
  • Industry Activities
  • Local truckload delivery
  • Local less-than-truckload (LTL) delivery
  • General freight trucking on a local basis
  • Bulk mail truck transportation on a contract and local basis
  • Similar Industries
  • Local Freight Trucking
  • Long-Distance Freight Trucking
  • Local Specialized Freight Trucking
  • Tank & Refrigeration Trucking
  • Toll Roads & Weigh Stations
  • Local Freight Trucking in California
  • Long-Distance Freight Trucking in California
  • Local Freight Trucking in New York
  • Long-Distance Freight Trucking in New York
  • Local Freight Trucking in Illinois
  • Long-Distance Freight Trucking in Illinois
  • Local Freight Trucking in Texas
  • Long-Distance Freight Trucking in Texas
  • Long-Distance Freight Trucking in Florida
  • Local Freight Trucking in Massachusetts
  • Long-Distance Freight Trucking in Massachusetts
  • Local Freight Trucking in Ohio
  • Long-Distance Freight Trucking in Ohio
  • Local Freight Trucking in Pennsylvania
  • Long-Distance Freight Trucking in Pennsylvania
  • Local Freight Trucking in New Jersey
  • Long-Distance Freight Trucking in New Jersey
  • Long-Distance Freight Trucking in Georgia
  • Local Freight Trucking in Michigan
  • Long-Distance Freight Trucking in Michigan
  • Local Freight Trucking in Wisconsin
  • Long-Distance Freight Trucking in Wisconsin
  • Local Freight Trucking in Washington
  • Long-Distance Freight Trucking in Washington
  • Local Freight Trucking in Virginia
  • Long-Distance Freight Trucking in Virginia
  • Local Freight Trucking in Tennessee
  • Long-Distance Freight Trucking in Tennessee
  • Local Freight Trucking in North Carolina
  • Long-Distance Freight Trucking in North Carolina
  • Local Freight Trucking in Minnesota
  • Long-Distance Freight Trucking in Minnesota
  • Local Freight Trucking in Maryland
  • Long-Distance Freight Trucking in Maryland
  • Local Freight Trucking in Colorado
  • Long-Distance Freight Trucking in Colorado
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Total vehicle miles in Florida
  • Industrial production index
  • Consumer Spending in Florida
  • Freight transportation services index
  • Price of diesel

  • Current Performance
  • Demand drives industry growth
  • Operating costs contain expansion
  • Chart: Revenue Growth

  • Industry Outlook
  • Fuel prices recover
  • Competition persists
  • Table: Local Freight Trucking in Florida Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Local Freight Trucking in Florida Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Construction
  • Manufacturing
  • Wholesale Trade
  • Retail Trade

  • Key Selling Industries
  • Auto Parts Wholesaling
  • Automobile Wholesaling
  • Gasoline & Petroleum Wholesaling
  • Tire Wholesaling

  • Products & Services
  • Truckload transportation
  • Other
  • Less-than-truckload transportation
  • Dry bulk trucking
  • Chart: Local Freight Trucking in Florida Industry Products and Services Segmentation

  • Major Markets
  • Wholesale trade
  • Manufacturing sector
  • Retail trade
  • Chart: Major Market Segmentation for the Local Freight Trucking in Florida Industry

  • Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitWagesPurchasesRent, utilities, depreciation and marketingOther
  • Chart: Cost Structure Benchmarking – Sector vs Local Freight Trucking in Florida

  • Basis of Competition
  • Internal competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Local Freight Trucking in Florida Industry

  • ArcBest Corporation, Landstar System Inc., Ryder System Inc., Southeastern Freight Lines Inc., United Parcel Service Inc.,
  • Table: ArcBest Corporation - financial performance
  • Table: Landstar System Inc. - financial performance
  • Table: Ryder System Inc. - financial performance
  • Table: Southeastern Freight Lines Inc. - financial performance
  • Table: United Parcel Service Inc. - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Local Freight Trucking in Florida Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Local Freight Trucking in Florida Industry
    Includes:
  • Industry Revenue (2008-2022)
  • Establishments (2008-2022)
  • Businesses (2008-2022)
  • Employment (2008-2022)
  • Wages (2008-2022)
  • Total vehicle miles in Florida (2008-2022)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Fuel Surcharge
  • An additional charge introduced by transportation operators to cover the cost of fuel.
  • Just-In-Time (Jit)
  • A strategy implemented to improve profitability by reducing inventory and purchasing raw materials for the immediate term only.
  • Less-Than-Truckload (Ltl)
  • Truck shipments between 100 and 10,000 pounds.
  • Owner-Operator
  • A person who owns and operates the business. Many truck drivers in this industry are self-employed owner-operators.
  • Truckload
  • Truck shipments that weigh more than 10,000 pounds and are generally carried by semitrailers.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Industry Market Report on Local Freight Trucking in Florida is a comprehensive guide to market size and growth prospects. Ensure due diligence in your research with our strategic analysis of the factors influencing companies, including new product developments; economic, lifestyle and demographic influences; distribution and supply chain factors; and pricing issues.

    IBISWorld industry market research reports enable you to:
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    This report on Local Freight Trucking in Florida:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Local Freight Trucking in Florida market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Local Freight Trucking in Florida, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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