by Brian Everett, on May 30, 2025 9:19:38 AM
Operating private fleets is a significant initiative by many companies in their operations and supply chains. A significant number of employees who help these fleets moving are women who bring talent in various roles every day, ranging from executive management to operations, safety, diesel mechanics and professional drivers.
In fact, a majority of the top 20 private fleets in North America are current or recent members of the Women In Trucking Association (WIT), including Walmart, PepsiCo, Sysco Corp., Performance Food Group, U.S. Foods, McLane Co., Tyson Foods, Amazon, Clean Harbors, Gordon Food Service, Dollar General, Dot Foods, and Coca-Cola Bottling.
According to Tom Moore, CTP, Executive Vice President of the National Private Truck Council (NPTC), there are several reasons why companies operate private fleets.
“Top reasons include improved customer service, control of transportation costs, and enhanced control over their supply chains,” he says. “Maintaining your own fleet gives you the power to manage all aspects of your transportation operations, from scheduling and route planning to driver selection. Owning your fleet puts you in a position to adapt to changing market demands, customer needs, and the unexpected.”
Moore cites other reasons that include: hedging against outside carrier capacity; specializing in products and/or equipment; mitigating liability, safety and risks; providing branding and marketing opportunities; and generating profits.
“Another advantage private fleets have is lower turnover,” he says. “Private fleets report a turnover of around 20% compared to a large for-hire fleet, which can run 85% to 100%.” Add to these statistics that women in particular prove to be very loyal, long-standing employees if the position they’re in brings them satisfaction, the corporate culture is female-friendly, and compensation and benefits packages are competitive, according to some of the criteria involved in the Top Companies for Women To Work in Transportation recognition program by Redefining the Road, the official magazine of WIT.
More Companies Are Going Private
The volume of domestic tonnage has been significant in recent years and is growing significantly, says Moore: “To put it into perspective, overall trucks haul 72.4% of domestic tonnage and account for 80% of transportation revenue. Private fleets represent 46% of truck tonnage and 49% of revenue.”
The growth of private fleets is significant in recent years as shippers prioritize reliable capacity and costs, and attempt to avoid the service disruptions that plagued them leading up to and during the pandemic, according to Moore: “The pandemic years taught shippers many things about capacity and managing shipping costs. That has resulted in shippers doubling down on private fleets to safeguard against uncertain futures. Companies that historically were opposed to having in-house transportation are now embracing the private fleet model.
We’re now seeing companies with long-standing commitment to their private fleets adding drivers and equipment.”
He says that according to NPTC’s most recent Benchmarking Survey Report, which involved 122 private fleet respondents with data collected during the first part of 2024, the industry saw a 7.5% year-over-year increase in shipments handled by private fleets. Volumes and freight value also increased 8.6% and 7.2%, respectively. Private fleet growth is expected to continue, with 72% of respondents planning to increase drivers, equipment or shippers in the next five years.
The author of the report since 2007, Moore says that while private fleets handle 75% of outbound shipments, the inbound share of freight in the U.S. handled by private fleets has stabilized in the low to mid-30% range, after peaking at 43% during the pandemic. While private fleets continue to dominate outbound logistics, the inbound market is more mixed, with some segments being handled by third-party carriers or vendors.
Currently, of the more than 2 million registered carriers at the Federal Motor Carrier Safety Administration (FMCSA), 47% are private carriers.
There Are Benefits, But Also Challenges
The top four challenges for private fleets are driver-related issues, safety (accidents and injuries) and internal staffing, and costs, according to the report. Other challenges include volatile fuel costs, difficulties in backhauling, customer service, and managing capacity.
As with for-hire carriers, private fleet owners report their greatest challenge revolves around an aging workforce, difficulties in recruiting and hiring, high turnover rates, poor retention, and the overall driver shortages. “The average fleet reports that they review, screen, and interview 16 candidates to fill one driver’s position,” says Moore. “That’s up from 10 candidates reported last year.”
While safety on the road is one of the highest priorities for any trucking operation, interestingly private fleets in the United States have had a lower record accident rate since 2011, which is three times better than the trucking industry overall. In 2023, private fleets reported 0.47 recordable accidents per million miles. Safety factors that impact accident rates in private fleet operations include driver behavior, technology such as telematics and GPS tracking, and being consistent with safety rules.
The Path Forward for Private Fleet Success
There sometimes can be a misunderstanding of how a private fleet works in contrast with a contract carrier or for-hire carrier partner.
Typically a private fleet is a significant, long-term commitment with fixed costs. With a for-hire or 3PL relationship, the beneficial owner of freight (shipper) only engages for what is required, when it’s needed. For many shippers that have some component of their supply chains reliant on a private fleet operation, it’s an ongoing assessment with many complicated factors. These can include changes in their business model, shifts in market demand, and “fixed cost” factors such as equipment purchases, setting up and staffing a fleet management team, dedicated technology resources, operating costs, fleet maintenance, insurance, regulatory costs and compliance, and more.
Large enterprises in particular often use a mix of private fleet, common carriage and dedicated fleet capacity for their supply chain operations. According to industry observers, this likely won’t change any time soon. But if recent trends continue, the use of private fleets will continue to increase as they support complex supply chains.
Databook: Important Benchmark Data Stats
Below are some key benchmark data points for the NPTC’s Benchmark Survey Report which may be of high interest to supply chain executives with food manufacturers, retailers and distributors.
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