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Bigger players enjoy greater growth
Page 40
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THE ROAD HAULAGE market grew overall by 5.5% last year but only 5% of companies achieved the same rate of sales growth as in their previous financial year, according to Plimsoll's latest market report, which tracks the top 2,000 companies in the road haulage sector.
Plimsoll rates the five best trading partners in the industry as Bibby Distribution, Christian Saivesen, Excel Freight Management, Freightliner and Tradeteam, thanks to their combination of ambitious sales growth and financial stability.
Almost one in three companies analysed showed a drop in sales, by an average of 14%; but two thirds grew by an average of 11%. It is much harder for smaller firms, though the largest players enjoyed an average growth rate of 6.4% whereas other companies managed only 2.3%.
As well as careful cost management, these firms are probably achieving higher growth through acquisition, diversification into value-added services and seeking a broader client base with wider needs than just transport.
Senior analyst David Pattison says: "It could well be that none of these companies is your direct competitor but do not dismiss them out of hand. They are telling you something about the future direction of the road haulage industry."