FreightWaves recently spoke with Wabash’s Director of Strategic Programs, Glen Stewart, about the company’s trailers-as-a-service (TaaS) offering, designed to help increase asset uptime.
According to the company, it has secured a nearly 100% recovery rate for its customers’ damaged trailers in 2024. “If damaged, trailers are repaired immediately or a loaner can be provided,” a Wabash spokesperson told FreightWaves.
In the interview, Stewart discusses this offering and the future of the OEM market.
The questions and answers have been edited for clarity and length.
FREIGHTWAVES: What does TaaS offer?
STUART: TaaS includes the entire life cycle of the trailer. This means providing not only the trailer itself but also care management services including maintenance and uptime management.
Our goal is to ensure our customers have minimal downtime and are always on the road. We strive to be a one-stop shop where customers can rely on us to promptly address any issues that arise.
Also, by providing access to state-of-the-art trailers and comprehensive maintenance services, TaaS reduces the burden on drivers, allowing them to focus on core tasks such as pre- and post-trip inspections, leading to safer equipment on the road.
FREIGHTWAVES: Why do you think we’re just now starting to see this model being invested by OEMs?
STUART: However, the importance of the drop-trailer model has always been evident
with a slow rate of adoption in our industry. However, the emergence of COVID-19 acted as a catalyst, accelerating the adoption of this model.
Shippers have been forced to rethink their logistics strategies to ensure efficient delivery of goods to end users amid pandemic-related disruptions. This shift in mindset has prompted 3PLs and brokerages to innovate and offer value-added solutions beyond live loads, leading to a resurgence in the popularity of drop-trailer models.
As a result, we are witnessing an ideal shift in industry approach, with more stakeholders recognizing the benefits of subscription-based trailer services like those offered by Wabash.
By signing up to our TaaS program, customers not only gain access to trailers but also benefit from comprehensive maintenance support and an ecosystem of services. Our focus extends beyond short-term profits as we envision transforming the market and driving long-term value creation for all parties.
FREIGHTWAVES: How does this service ensure you reduce lost time from asset drops?
STUART: Our primary goal is to take a proactive approach to trailer management, ensuring that, first, our customers receive top quality assets that minimize the risk of breakdowns and downtime.
We prioritize thorough inspections and maintenance checks, even before trailers are shipped for use. Using our technology platform, telematics and continuous monitoring, we aim to proactively identify and address any potential issues, ensuring the reliability and efficiency of our customers’ operations.
Understanding the lean operational nature of 3PLs and brokerages, we integrate our program into our clients’ businesses through our managed care model.
Under this model, customers have access to our dedicated operations team with expertise in fleet and maintenance operations. This eliminates the need for customers to invest in building and managing their own operational infrastructure.
FREIGHTWAVES: How do you think this deal might pan out?
STUART: I envision a future where electric-only freight solutions become more and more common.
An emerging trend is the growing involvement of owner-operators in this space, driven by a desire to minimize costs and streamline operations. Many owner-operators prefer to focus solely on driving their trucks without the added responsibility of owning and maintaining trailers.
In addition, there is a significant change in the expectations of truck drivers, who are increasingly looking for flexibility and work-life balance similar to remote work. They aspire to complete their deliveries efficiently and return home on time.
In this context, TaaS is emerging as a solution that addresses these evolving driver needs.
In addition, we are building a complete ecosystem around our trailer services.
With the recent launch of our spare parts e-commerce website, we have introduced a platform where customers can easily order spare parts as required. In addition, our extensive national dealer network is equipped to handle maintenance work and provide loaner trailers when necessary.
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