In 2015, CR England reported a gross revenue of over one billion dollars through their refrigerated carriers.
Do you want in on that profit?
I bet you do, and with a fleet of refrigerated vans, profit is not too difficult to obtain. Such fleets can add to your overall revenue in ways you may never have considered.
Here, we’ll discuss the three major advantages of these vehicles so that you can decide if a reefer van is right for you.
What Is a Reefer Van?
A “reefer van” is another term for a refrigerated van. These have gained traction in recent years. In fact, the government was recently debating providing toll-free access to these vehicles.
This is ideal for the industry since even a few hours’ delay can lead to spoiled goods.
Refrigerated vehicles have become vital to our economy, so much so it is estimated over 20,000 refrigerated trucks are necessary to provide perishable items for the country.
However, the beginnings of cold transportation weren’t quite as successful. It wasn’t until the “Ice Revolution” in the early 1800s that ice and other perishable goods became possible to transport, albeit with much waste.
Thankfully, we’ve come very far in terms of technology. Today, drivers are able to easily control the temperatures in their refrigerated vehicles.
Advantages of a Refrigerated Van
With constant fluctuations in trade, fuel prices and the automotive industry, it’s no wonder business owners are worried about profits. However, reefer vans do offer several advantages.
1. Higher Charge Rates
Say goodbye to only transporting dry goods. Now, you can transport a whole van-full (see what we did there?) of other products.
Flowers. Pharmaceuticals. Frozen foods.
The sky is the limit.
This permits your company to enter into new markets and obtain new clients. According to the Commercial Carrier Journal, in June of 2016, the average transportation rate per mile for reefer vans was $2.02. Dry vans averaged about $1.97 in 2016.
That may not sound like a huge profit margin, but when you take into account the extended lists of clients you can offer refrigerated van services to, it makes a big difference fast.
2. Flexibility
Owning a fleet of these vans opens up a whole new world of possibilities.
Many vans have multiple cooling temperatures, meaning that services can be offered to more clients and more products can be carried.
Furthermore, you will get better gas mileage and lower overall costs.
Finally, there’s the fact that average vans offer a temperature range between 32 degrees Fahrenheit and about 68 degrees. However, customization options allow that range to be increased.
We weren’t kidding when we said the sky is the limit.
3. High Demand
Worldwide, the demand for transportation of temperature-reliant goods is increasing. By 2019, it is expected that demand will increase by over 12%.
With a fleet of these vans, you won’t have to worry about demand slowing. In fact, we doubt you’ll have to worry about increasing clients at all.
Do You Have Questions?
We’re always more than happy to help! At Commercial Van Solutions, we specialize in refrigerated vehicles and are constantly in the know-how. Contact us today for an estimate or to discuss possibilities.
Don’t let the growing opportunities pass you by. Take advantage of the market while it is still hot . . . or, perhaps, it might be better to say “cold.”