The shipping world is currently in a state of “seasonal strangeness.” In our latest podcast episode, Spot Co-founder, Andrew Elsener, sits down with Senior National Account Directors Theo Mascari and Alex Buening to discuss the logistics marketplace and more.
From the surge in Florida floral volume to the “depleted profile” of the long-haul driver, this episode goes into the details of the current market dynamics.
The Long-Haul Crisis: It’s a Supply Side Problem
One of the most striking insights from the discussion is the state of long-haul freight. While demand hasn’t necessarily skyrocketed, the supply of drivers willing to stay on the road to fill the long-haul needs is a harder ask today than it used to be.
Fuel Tables: Gamesmanship vs. Reality
With diesel prices continuing to spike, fuel is the “hot topic” in every carrier conversation. However, the team uncovers an interesting trend: Gamesmanship.
The takeaway? Shippers who try to “game” the system by adjusting fuel tables (like extending gaps or capping maximums) often find that carriers simply adjust their line-haul rates to offset the difference. At the end of the day, it costs what it costs to move the truck.
Is the Annual RFP Dead?
Shippers have been conducting more frequent bids than ever.
The “Low-Cost Carrier” Trap: Alex and Andrew warn against “bid fatigue” and the danger of awarding loads to the lowest bidder in a tightening market. If a carrier offers a $50 savings but defaults when the market gets tight in the summer, those “savings” evaporate instantly.
Why You Need to Listen
This episode isn’t just about numbers; it’s about the Rules of Engagement. If you want to understand why your routing guide is failing, how Mother’s Day floral surges affect your capacity, and why small fleets react faster to market shifts, you can’t afford to miss this one.
If you thought the logistics market was finally settling into a predictable “new normal,” the last four weeks have served as a massive reality check. From regulatory shifts to fuel volatility, the industry is currently navigating a stretch that some experts are calling more tumultuous than in the early days of the pandemic.
In our latest podcast episode, Andrew Elsener, Co-founder of Spot, sat down with two of Spot’s Senior National Account Directors, Theo Mascari and Alex Buening to break down the rapid shifts in the March marketplace. Here are the key takeaways for shippers and carriers trying to weather the storm.
The Non-Domiciled CDL Regulation Factor
One of the most significant—and perhaps underestimated—drivers of this current capacity crunch is the enforcement of non-domiciled CDL regulations.
The biggest near-term shift in the freight market is a forced reduction in driver supply. Under the FMCSA’s Final Rule on non-domiciled CDLs, the current population of roughly 200,000 holders is expected to shrink sharply over time, with only about 6,000 new non-domiciled CDLs issued annually going forward. FMCSA estimates 194,000 current holders will lose renewal eligibility, while broader estimates put total market removals between 214,000 and 437,000 drivers.
“We’re seeing carriers getting notices via email saying they are either immediately shut down or ineligible for renewal,” Mascari noted. “These drivers typically handled the ‘less attractive’ freight—long-haul, multi-stop, and Midwest-to-Northeast lanes. As they leave, that freight is flooding the spot market.”
The “All-In” Fuel Crisis
Carriers are facing that tightening backdrop while also absorbing rapidly rising fuel costs. Diesel has climbed to about $5.37 per gallon, nearly $1 per gallon higher than before the recent oil shock, and some fleets report fuel costs rising 25% since late February.
For carriers, that translates into meaningful budget pressure:
- Monthly fuel spend rising from roughly $12K–$13K to about $15K
- An annual impact of roughly $100,000
- Fuel surcharge increases of about 10% in some cases
Even with surcharge adjustments, carriers are struggling to fully offset the increase, which is tightening margins and putting pressure on freight pricing. Fuel remains especially volatile because oil market disruptions can still push carrier costs higher quickly, even with strategic reserve releases of 172M barrels in the U.S. and 400M barrels globally.
Regional Hotspots: California in the Crosshairs
- While the Midwest and Northeast were recently hampered by weather, California is the new center of the capacity struggle.
- The transition from Yuma to Salinas produce seasons, coupled with the highest diesel spikes in the country and new EPA regulations (specifically the EPA 2027 standards), has created a “perfect storm.” Carriers are “pre-loading” or buying Class 8 trucks now to get ahead of the 2027 maintenance and cost increases, but this isn’t necessarily adding new capacity to the road—it’s just replenishing old iron before it gets too expensive.
Market Update.
At Spot, we understand the vital role that up-to-date information plays in navigating the dynamic logistics market. Each month, we bring you a comprehensive logistics market update. We dive into the latest trends, challenges, and innovations shaping the logistics sector. Join us as we empower you with the knowledge needed to make informed decisions in this fast-paced industry. Market Update.
Canadian Tariffs Surge: A Hidden Shock
While China has dominated the headlines, Canadian imports are bearing the brunt of new tariffs under the current administration:
•Average monthly tariffs in 2024: $34M
•March & April 2025 tariffs: $660M and $675M, a 19.5x increase
•June is expected to surge again due to 50% tariffs on steel/metal
Top affected categories
•Unwrought aluminum: $123.7M
•Auto parts: $67.5M
•Finished vehicles: $52.2M
Operating Costs: Inflation Without Pricing Power
- Stagflation Strains Margins: Carriers face the worst of both worlds, flat volumes and rates paired with rising costs. This stagflationary environment has forced many into cost-deferral decisions that may backfire long term (e.g., delayed maintenance, equipment replacement).
- Insurance a Top Pressure Point: Premiums are skyrocketing due to increased litigation and nuclear verdicts (claims >$10M). Carriers are also contending with cargo theft risks, including sophisticated scams like identity manipulation and double brokering.
Supply & Capacity: A Market in Contraction
- Carrier Exits Hit New High: In April 2025, 7,474 trucking companies exited the market, a 12-month peak and a 26% increase from March. Weekly revocation rates remain elevated, with more than 1,500 carriers losing authority each week.
- New Entrants Defy the Trend: Despite exits, new carrier authorities rose 48% month over month in April. Seasonal optimism and the lure of an eventual rate rebound keep new players entering the market, though many may be underestimating the financial headwinds.
Market Update.
In the dynamic world of logistics, understanding market shifts and their implications on supply and demand is crucial. In this episode of More Than a Broker, Spot Cofounder Andrew Elsner engages with our Senior National Account Directors, Alex Buening and Theo Mascari, to explore how external factors are reshaping the logistics landscape.
The podcast also addresses the implications of regulatory changes, particularly the English Language Proficiency (ELP) guidelines and the non-domicile driver rule. These regulations have impacted driver availability and capacity, prompting shippers to reassess their strategies. The team discusses how these changes have led to changes in the spot market, affecting the overall supply and demand dynamics.
As the episode concludes, the experts reflect on how the logistics landscape is evolving. They agree that the focus on strategic partnerships with carriers is critical, as companies aim to streamline operations and reduce the number of vendors. The discussion underscores the importance of adaptability in a rapidly changing environment, with technology and regulatory factors playing key roles in shaping the future of logistics.
In summary, the logistics industry is currently navigating a complex landscape influenced by a variety of factors. From market shifts and capacity challenges to regulatory impacts and the need for strategic partnerships, it is clear that staying informed and adaptable is essential for success. As we move forward, embracing technology and fostering strong relationships within the supply chain will be vital in overcoming the challenges ahead.
Logistics Lessons in this Episode:
- Rapid Lane Shifts: Customers are demanding extreme flexibility and quickly reassigning lanes due to volatile market conditions.
- Technology as Table Stakes: Advanced reporting and technology are now mandatory requirements for securing business partnerships.
- Mini Bid Necessity: Mini bids are increasingly used to swiftly cover needs and mitigate risks following carrier failures.
- Strategic Partner Consolidation: Shippers are narrowing their focus to fewer, more reliable supply chain partners.
- Capacity Constraints: Regulatory changes are consistently impacting driver availability and tightening market capacity.
- Structural Market Reset: The logistics industry is experiencing a fundamental structural reset, not just a cyclical recession.
- Volatile Spot Rates: Supply constraints can cause freight rates to surge even amidst broader economic slumps.
- Evolving Broker Value: The role of the logistics broker is rapidly transforming to meet complex, evolving market demands.
- Pricing Optimization: Shippers are actively utilizing variable pricing models to achieve maximum cost efficiency.
- Tightening Market Forecast: Future projections anticipate a tighter market environment and potential rate increases.
In this episode of More Than a Broker, three members of Spot’s Red Technologies team sat down to discuss the integration of AI in logistics, focusing on its definitions, importance, and the journey of implementation at Spot.
Director of Red Technologies Ben Garvin led a conversation with Alex Johnson, Director of Development Operations, and Tyler Hampton, Director of Data Science and Engineering, that focused on the significance of intelligent automation, the workforce skills gap, and the evolving nature of jobs driven by AI. They share insights on successful case studies, common pitfalls in AI adoption, and the future roadmap for AI innovations at Spot, highlighting the collaborative culture that drives their technological advancements.
About Red Technologies
Red Technologies, a wholly owned subsidiary of Spot, was founded by Andy Schenck and Andrew Elsener in 2019. Through their experience in the 3PL space and building a network of close relationships with carriers and shippers, Andy and Andrew realized that having the right technology in place would increase efficiency and streamline communication for their customers and their customers’ operations. Rather than implementing an out-of-the-box solution, they developed proprietary software, MySpot, a transportation management system (TMS) that provides complete visibility into customers’ supply chain operations.
Reasons to Listen
- AI is about building systems that can understand and act on information.
- Intelligent automation is crucial for enhancing business processes.
- AI will not replace jobs but will change how they are performed.
- Developers must maintain a holistic understanding of their work despite AI tools.
- A single source of truth for data is essential for effective AI implementation.
- Focusing on one problem at a time leads to better AI solutions.
- AI can significantly improve customer service and operational efficiency.
- Collaboration between tech and business teams is vital for successful AI projects.
- The future of AI at Spot includes innovations in customer support and pricing models.
- Continuous feedback from users is essential for refining AI tools.
In this episode of ‘More Than a Broker’, Spot Co-Founder Andrew Elsener is joined by Dr. Zac Rogers, PhD., Associate Professor of Operations and Supply Chain Management at Colorado State University, for a discussion on the evolution of supply chain education, the significance of the Logistics Managed Index (LMI), and the impact of economic indicators on transportation and logistics.
The conversation examines the impact of the COVID-19 pandemic on supply chains, the implications of tariffs on the market, and the ever-changing dynamics of retail peak seasons.
The pair also touches on the future of reshoring and nearshoring, the importance of data and analytics in logistics, and conclude with insights on the logistics industry’s future.
About Dr. Zac Rogers
Dr. Zac Rogers is an Associate Professor of Operations and Supply Chain Management at Colorado State University. His primary research interests include the financial impact of supply chain sustainability, emerging logistics technologies, supply chain cybersecurity, and various other emerging issues in purchasing and logistics.
Dr. Rogers’ work has appeared in multiple academic journals, corporate white papers, trade publications, and conference proceedings. He is also a frequent speaker at both academic and practitioner-oriented conferences. Dr. Rogers earned his B.S. and M.B.A. degrees at the University of Nevada, Reno, and his PhD in supply chain management from Arizona State University. Before returning to academia, Dr. Rogers worked as a purchasing agent for a large hotel and resort, and as an operations manager for Quidsi, a subsidiary of Amazon.
Reasons to Listen
- Supply chain education is still a relatively new field.
- The Logistics Managed Index (LMI) predicts economic activity through transportation metrics.
- COVID-19 caused unprecedented changes in supply chain dynamics.
- Tariffs have a significant impact on supply chain costs and strategies.
- Retailers are experiencing a bifurcated peak season due to inventory management.
- Reshoring and nearshoring are becoming more prevalent in supply chain strategies.
- Data and analytics are crucial for optimizing logistics operations.
- The logistics industry is evolving rapidly, requiring constant adaptation.
- Understanding economic indicators can help predict market trends.
- Collaboration and innovation are key to navigating supply chain challenges.
In this episode of More Than a Broker, Spot Co-Founder, Andrew Elsener, sits down with John Gatesman, CEO and Founder of Gatesman, an award-winning ad agency, as the pair compare insights into the logistics and marketing industries.
Gatesman shares his journey from aspiring to be a truck driver at a young age to becoming a successful entrepreneur. He emphasizes the importance of creativity, adaptability, and building strong client relationships in a rapidly changing business landscape.
The conversation also explores the impact of technology and AI on marketing, the importance of hiring for culture, and the lessons each has learned throughout their entrepreneurial journeys.
About John Gatesman
Under John Gatesman’s leadership, Gatesman has grown to become one of the most successful independent agencies in the Northeast, having been named one of the nation’s fastest-growing companies for nine consecutive years. Gatesman has also been recognized as one of the top 100 independent agencies nationwide and as one of the Best Places to Work for eight straight years.
John identified and led the successful acquisitions of digital firm Quest Fore in 2014 and Nobel Communications in 2017, which expanded agency operations into Chicago and the Midwest. His passion and devotion to his clients, along with his relentless pursuit of their success, continue to be the driving force behind Gateman’s agency’s mantra, “Good Enough Sucks.”
John’s leadership has guided and cultivated teams across a diverse array of notable brands, such as UPMC, Northwell Health, Coen Children’s, Del Monte, PPG, Disney, and many more. He began his career with Ross Roy Group after being selected as one of only six people nationally for its Executive Management Training Program. He then moved on to management positions at Ogilvy, Doner, and Ketchum before joining BNY Mellon as Senior Marketing Director and later Brunner as VP of Client Services, ultimately founding Gatesman in 2006.
Reasons to Listen
- Creativity can come from anywhere in a business.
- Starting a business requires a leap of faith and self-belief.
- Anticipating change is crucial for business success.
- Hiring for culture is as important as hiring for skills.
- Entrepreneurship is about responsibility and accountability.
- Building lasting client relationships is key to success.
- The importance of execution in service delivery cannot be overstated.
- Reflecting on past mistakes can guide future decisions.
- The future of marketing lies in embracing technology and AI.
In this conversation, Spot Co-Founder and More Than a Broker host, Andrew Elsener, is joined by Phil Daniels, entrepreneur and President – Indiana Region at ArkMalibu.
Phil shares his journey from a traditional banking career to entrepreneurship, discussing the challenges and triumphs of starting and growing businesses throughout his career. Phil speaks on the importance of company culture, the emotional aspects of selling a business, and the significance of having a supportive board to assist with business decisions.
The discussion also covers the transition into healthcare analytics, the process of raising capital, and the ongoing evolution of software production.
Additionally, Phil reflects on his personal growth, including writing a book, his current role in investment banking, and becoming a sommelier.
About Phil Daniels
Phil Daniels is President – Indiana Region at ArkMalibu. As a four-time founder and five-time operator, Phil has notable operating experience across financial services, marketing, B2B technology and digital health. He also has subject matter expertise in go-to-market and culture development.
Phil operated an advertising agency and marketing services platforms that has served over 300 brands that include Salesforce, McLaren Automotive, Nestle, and Chase Bank. His agency background also includes executing the integration of a platform roll-up strategy.
Phil also founded Springbuk, an enterprise health intelligence and analytics platform that serves Fortune 1000 employers and beyond. As a Board Member to the SaaS platform, Phil continues to influence the software company’s marketing, customer acquisition and product development efforts.
His experience raising capital to operate and scale business keeps him as an active advisor to multiple institutional funds including Rally Ventures, Ivy Ventures, Heartland Ventures, and Prolific Capital.
Phil’s brand strategy and consumer behavior expertise can be found in the recently published book, “Spiritugraphics, the Influence of Faith on Consumption and Why It Matters to Your Brand.”
Reasons to Listen
- Phil discusses how transitioning from a corporate job to entrepreneurship can be daunting but rewarding.
- As intimidating as it can be, leaping into entrepreneurship can be, Phil shares that having a supportive partner can ease the burden.
- Hear how company culture is crucial for attracting and retaining talent.
- The pair converses about how hiring the right people is essential for business growth and maturity.
- Phil highlights how founders should recognize when it’s time to step back and let others lead an organization.
- Discover how building a strong network and community can facilitate business success.
- Raising capital requires persistence and a clear understanding of the market.
- Listening to customer feedback is vital for product development.
- Personal identity and purpose can be challenged after selling a business.
In this episode of ‘More Than a Broker’, we had the distinct pleasure of hosting Greg Enas, an individual whose professional journey is as unique as it is inspiring. His story begins in the tumultuous 1960s in Berkeley, California, a childhood shaped by social upheaval and a working-class neighborhood that fostered resilience. From these formative years, Greg embarked on a career path that took several unexpected, yet profoundly impactful, turns, ultimately leading him to a distinguished 30-year tenure at Eli Lilly and Company.
Throughout our conversation, Greg generously shared invaluable insights into the essence of leadership, the relentless pursuit of innovation, and the fascinating, ever-evolving world of pharmaceuticals. His narrative offers a rare glimpse into the strategic thinking and personal dedication required to navigate complex industries and build a lasting legacy.
About Greg Enas
Greg Enas is currently a Venture Catalyst as the founder of Innovatov LLC, where he assists leaders across both for-profit and not-for-profit sectors in creating better enterprises, communities, and environments, allowing the world to be part of something greater than itself.
Greg attended Biola University in California, where he earned a BS in Mathematical Sciences, and later headed to the opposite coast to attend the Medical College of Virginia at Virginia Commonwealth University, where he earned a Ph.D. in Biostatistics.
From 1982 to 2011, Greg served at Eli Lilly and Company in Indianapolis, Indiana. He started as a senior statistician and was promoted into management in Statistical and Mathematical Sciences, Decision Sciences, and US Regulatory Affairs. He was responsible for external negotiation with governmental regulators and internal leadership for building capabilities and capacity for growth and impact.
Greg is also the co-founder of Citizen 7, a crowdsourcing organization that brings together men of various backgrounds to unite around different initiatives in the city to heal and grow the good in Indianapolis. Greg was also the founding Board Chair of The Oaks Academy from January 1998 to December 2006.
10 Reasons to Listen
- Inspiring Career Journey: Learn how an unexpected turn from an aspiring doctor to biostatistician led to a remarkable 30-year career at a pharmaceutical giant.
- Inside Look at Eli Lilly’s Evolution: Get a unique perspective on how a major pharmaceutical company transformed from punch cards to pioneering AI in drug development.
- Navigating Corporate Crises: Hear firsthand how Greg and his team tackled major challenges, including the early controversies surrounding Prozac, and helped save the company.
- The True Cost of Drug Development: Gain a deeper appreciation for the immense time, effort, and billions of dollars required to bring life-saving drugs to market.
- Insights into Pharmaceutical Regulation: Understand the complex process of getting drugs approved by health authorities like the FDA and the strategic work involved.
- Redefining Leadership: Discover Greg’s unconventional, yet highly effective, leadership philosophy, including his unique approach to flipping the organizational chart.
- Mentorship Matters: Learn about the profound impact key mentors had on Greg’s professional and personal life, from his math professor to his father.
- Developing Future Leaders: Hear practical advice on how to identify, develop, and empower young talent, even if it means sacrificing short-term gains for long-term success.
- Beyond the Bottom Line: Explore Greg’s perspective on measuring success in management, emphasizing ethics, humility, and a willingness to sacrifice for the collective good.
- Having a Career NorthStar: Be inspired by Greg’s dedication to making a difference, from his corporate career focused on human health to his current role as a community builder in Indianapolis.
Greg Enas’s journey is a testament to the power of adaptability, mentorship, and a commitment to ethical, servant leadership in driving both personal and organizational success.
In this episode of ‘More Than a Broker’, Spot Co-Founder Andrew Elsener interviews Brian Schutt, an accidental entrepreneur who shares his journey from corporate America to starting a successful HVAC business, Homesense Heating and Cooling, and expanding to other business ventures.
The conversation explores the challenges of entrepreneurship, the importance of hiring the right people, and the lessons learned from building a business from scratch. Schutt emphasizes the significance of persistence and the realities of navigating a competitive market. The discussion also touches on the concept of working “on” versus “in” the business and the necessity of embracing constraints as a catalyst for creativity and growth.
The pair also discusses their journeys in building a brand centered on trust and integrity, the challenges of achieving a work-life balance as entrepreneurs, and the evolution of their business models. Elsener and Schutt share valuable insights for aspiring entrepreneurs, highlight common pitfalls to avoid, and reflect on Schutt’s recent experiences navigating the sale process of his business.
About Brian Schutt
Brian is the Co-Founder of Homesense Heating and Cooling, a Co-Founder at Refinery 46, a Civic Renewal Fellow with the American Enterprise Institute, and a Board Member at Orr Fellowship and the StartedUP Foundation. Brian writes for the Indianapolis Business Journal and serves as the Innovation Advisor for the Wayfinders Impact Studio Cohort.
10 Reasons to Listen
- Elsener and Schutt recount the early days of their businesses, describing how the journey of entrepreneurship often starts unexpectedly.
- Building a business requires persistence and adaptability.
- Hear how hiring the right people is crucial for long-term success.
- Working on the business is as important as working in it.
- Navigating a competitive market requires a unique strategy
- As successful entrepreneurs, Elsener and Schutt explain how crucial the need to test ideas in the market is before going all in
- The importance of building a brand on the foundation of trust
- A brand’s first customer is its team with a focus on their well-being
- Schutt stresses the need for follow-through over time in order to retain employees
- The duo discusses how the sales process can be educational and should be approached with clarity