Metrics from Tabi Connect’s Tabi Pricing Pressure Index highlight a broker-favored spot freight market where improving supply-side economics are allowing brokers to win more freight at stronger economics compared to last year.
“The market is stabilizing, yet beneath the surface, competition is intensifying,” says Ricky Gonzalez, CEO of Tabi Connect. “Awarded margins are expanding, but that’s being driven by tighter pricing and faster reactions to market shifts. Brokers who can stay disciplined on pricing while moving quickly will be best positioned to protect margins in this environment.”
Key takeaways:
· The report reveals broker-awarded margins on spot loads running at 18.3%, five percentage points above the 13.5% dataset average, with brokers retaining more per load than typical, alongside a 3.5% month-over-month increase in spot quote volume.
· This index signals a market environment that became more broker-favored compared to the previous month. In fact, the four-week average continues to run above the eight-week average, pointing to a sustained improvement beneath the surface rather than short-term noise. Quote volume rose month over month, pointing to growing underlying demand as more freight moves to spot.
· Today's quoting behavior signals a market growing more competitive. Brokers continue to price above market benchmarks, with a four-week average quote spread of approximately 12.1%. However, that spread narrowed month-over-month, from 12.7% to 10.3%, meaning brokers are quoting closer to market to stay competitive: a shift that reflects all submitted quotes (not necessarily awarded).
· Brokers are demonstrating an enhanced capability to secure freight at better economics, as evidenced by awarded margins on spot loads rising 1.6 points month over month to 18.3% on a four-week basis, despite continued competitive pressure. Current margins remain well above the 13.5% dataset average (Jan. 25 to present), indicating continued strength in broker profitability relative to historical norms.
