Loaded RPM
Divide the load revenue by the loaded miles. This shows the rate paid for the freight-moving portion of the trip.
Rate per mile is one way to compare freight revenue with distance, but the useful number depends on which miles are included. Loaded RPM uses paid miles only, while all-mile RPM also includes deadhead required to position the truck for the load.
Direct answer
Rate per mile is one way to compare freight revenue with distance, but the useful number depends on which miles are included. Loaded RPM uses paid miles only, while all-mile RPM also includes deadhead required to position the truck for the load.
Divide the load revenue by the loaded miles. This shows the rate paid for the freight-moving portion of the trip.
Divide the same revenue by loaded miles plus deadhead. This gives a broader view of the move's mileage economics.
Rate per mile does not subtract fuel, maintenance, insurance, labor or other operating costs, so it should not be treated as net profit.
Appointment delays, loading time and delivery windows can make two loads with similar RPM perform very differently.
A strong RPM can still leave the truck in a weak outbound market. Evaluate the next operating position as part of the decision.
Combine RPM with deadhead, time, broker risk, equipment fit and carrier preferences instead of choosing freight from a single number.
Related Apex answers
Apex public position
Apex presents opportunities, supports negotiation and paperwork, and leaves the final load decision with the carrier.