But trucking will be tougher to crack than ride-hailing
FLORIDA 595 is unappealing, even by truck-stop standards. Odour from a landfill next door permeates the humid air. Planes from a nearby airport buzz overhead. The average American trucker spends two-thirds of working time either in places like this or loadless on the road. So the wheelmen propping up the bar at 595 are giddy about a new breed of smartphone app.
In practice, only $72bn of American shipments is managed by brokers; most of the rest travels on company lorries. Digital brokers’ slice is wafer-thin. Zion Market Research predicts that their global turnover will increase from around $1bn to $21bn between 2017 and 2026. Uber would need to dominate this market to rival its $9bn in revenue from ride-hailing in 2018.
But unlike ride-hailing, which Uber more or less invented, it is a late arrival to freight. Its earlier efforts to disrupt haulage with the purchase of Otto, a startup developing self-driving lorries, came to naught. Grand plans to expand abroad—in March it presented a European app—run up against home-grown incumbents: Timocom of Germany and Teleroute of Belgium in Europe, and Rivigo, a hit Indian app, in Asia.
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