Pricing for auto transport is one of the more mysterious aspects of auto shipping for customers and auto transporters alike. Customers are often confused by the wide range of price quotes that they receive, and some auto transporters are also somewhat mystified as to how to price certain moves. Thus, our goal for this article is to explain pricing as to help you make the best choices in auto transport.

It is first necessary to establish that auto shipping prices are based on the market. Aside from the actual costs of production, which includes mileage of the journey, the total weight of a drivers payload, the locations of pick up and drop off, etc., the market determines the price. At any given time, there is a certain supply of drivers and trailers and a demand for auto shipping. Exactly where the supply of drivers meets the demand for auto shipping is where the price should be. Certain seasons of the year affect the supply of drivers and trailers and the demand for vehicles in different regions.

Understanding how the marketplace works should give you an idea of how much your auto shipping should cost. What may seem to you as being a wild fluctuation in price from one month to the next is in reality a totally rational occurrence. Take, for example, car shipping from the Northeast to the Southeast. This is one of the busiest routes in the industry at certain points in the year, and is one of the slowest at others. The reason for this has to do with the Snowbird season.

The vacationers that leave the colder regions of the country to the warmer ones during the winter are known as Snowbirds. The Snowbird Season is always accompanied by increased rates and decreased availability for the route Northeast-Southeast Route (I-95 Southbound.) Supposed you need to move your vehicle from New York to Florida during the month of November. You should expect the price for this route to practically double from just a month or so before. We'll often here from customers that are upset because we cannot honor a price from the previous month during the snowbird season.

But take a moment to consider why this is the case. Previously, it was explained that auto shipping prices were based on supply and demand. Each year during snowbird season, the demand for auto transport skyrockets. American Auto Transport alone moves double or triple our normal volume along the snowbird routes during this season. Demand greatly outstrips demand at this time, and the scarcity of drivers leads to a rise in prices. Conversely, the Southeast to Northeast routes are extremely cheap during this time because there is a glut of drivers with empty trailers that need to go back to the Northeast. If you view the price fluctuations through the supply and demand lens, then the rationality behind it becomes apparent.

Knowing this, one needs to be weary of auto transporters who claim to offer relatively low prices in the face of a majority of relatively high ones. The simple truth is that auto transporters do NOT control the price, the marketplace does. If you encounter an auto transporter who claims to be able to move your vehicle for $400 from New York to Florida at the height of Snowbird Season, you should know right away that he is being disingenuous. One way to gauge what an accurate price for auto shipping is to average out all of the quotes that you receive. Deviating from the mean price by more than $100 or so is a recipe for disaster.

Again, despite what other auto transporters tell you, deals that seem too good too good to be true usually are. One way to imagine the auto transport industry is like stock brokering. Like stock brokers, auto transporters generally do not have control over what they are selling. Stock brokers don't sell stocks directly; rather they act as an agent for you and buy a stock from a stockholder on your behalf for a commission. Auto transporters operate the same way; rather than sell you their own service, they arrange auto shipping with a service provider on your behalf.

Now imagine that you want to buy a stock. You, as a consumer, cannot simply walk into the New York Stock Exchange and buy the stock yourself. What you need to do is hire a stock broker to buy the stock for you and then take a commission. This is a similar situation to that of auto shipping. Drivers do not work directly with their customers, rather they have an auto transporter do that work for them and then the transporter takes a commission.

Suppose the stock that you want to buy costs $500 a share. If you want to buy that stock, then you'd better have $500 plus the cost of the commission to do so, as a stock broker has to buy that stock for you from the stock holder. This is also true of auto shipping. If you want to move your vehicle from one place to the other, then you'll need to pay the price that the market determines or your vehicle won't be moved.

Now, there are some cases where an auto transporter will offer you a below market price, you'll take him up on it, wait a few weeks, and then have your vehicle picked up. If this has happened to you and you're reading this, you're probably thinking "A-Ha! You can move a vehicle for below market price! I knew it all along--this is collusion!" Trust us on this one: the auto transport industry does not collude. What most likely occurred was a case of falling prices. When the reservations were initially made, the cost of transport was higher. Over time, however, that price fell and the vehicle was able to be moved. So if you do decide to go with the lowest price, understand that a) you will have to wait until the cost of shipping falls to have your vehicle transport, or b) your vehicle simply won't move at all.

On the other hand, paying a premium for auto shipping can help you get a quicker service. At the end of the day, what moves vehicles are incentives. Just like anyone else in the market place, a driver wants to do what is in his best economic interest. Suppose there are 3 of the exact same model of vehicles priced at $300, $325, and $350, and the drivers costs total $250. He only has one spot left on his truck and he must choose only one to move. He'll obviously select the highest priced vehicle to load on this trailer. It doesn't matter what his costs are, he wants to do the job that makes him the most money. If you amplify the complexity of this process, you'll have the auto transport market place in a nutshell. Money moves cars, not promises. From this, one can extrapolate that those customers and auto transporters that offer the best incentives to drivers are those who get their vehicles picked up first!

American Auto Transport hopes that this has given you a better insight as to how the basics of auto shipping pricing work. We want you to know as much as possible about auto shipping so that you can make the best choices. By making the best choice, you get the best bang for your buck and you promote the companies that operate the right way. So when you're thinking about selecting an auto transport, be wise. Remember to choose a transporter that is open and honest with you. Choose an auto transport who wants to work with you and for you, not against you. Choose a company that you can trust. Choose American Auto Transport. Call us today at (954) 745-8950 and make your auto shipping reservations with the industry's best.