The RPM shown on a loadboard usually describes the relationship between the offered rate and the loaded miles. But your vehicle does not only travel loaded miles. You may have to drive to the pickup location, reposition after delivery, or travel to another market before finding your next load.
What Is Deadhead?
Deadhead is mileage driven without a paying load. The most common example is driving from your current location to the pickup location after accepting a load.
Pre-Pickup Deadhead
The empty miles you drive from your current location to the load's pickup location.
Post-Delivery Repositioning
Empty miles you drive after delivery to reach another market or position yourself for the next opportunity.
Market Positioning
Mileage you intentionally drive to reach an area where you expect better freight opportunities.
Unplanned Empty Miles
Additional driving caused by limited freight, poor planning, changes in availability, or an unfavorable delivery location.
Advertised RPM vs. True Trip Economics
Consider a load paying $600 for 300 loaded miles. The advertised RPM is $2.00 per loaded mile. If you must drive 100 miles empty to reach pickup, the trip now requires approximately 400 miles of driving before considering any additional repositioning.
Advertised RPM
$600 ÷ 300 loaded miles = $2.00 per loaded mile.
Total Driving
100 deadhead miles + 300 loaded miles = 400 miles driven.
Effective Revenue
$600 ÷ 400 total miles = $1.50 per actual mile driven.
The Difference
The load did not change, but the economics look different once the deadhead is included.
How Much Deadhead Is Too Much?
There is no single deadhead percentage that works for every carrier or every market. A short deadhead can be perfectly reasonable for a strong load, while even a small amount of empty mileage can make a weak offer unattractive.
Strong Rate + Short Deadhead
Usually easier to justify because the paying miles provide enough revenue to absorb the empty trip to pickup.
Strong Rate + Long Deadhead
Can still work, but calculate the total driving distance and operating cost before committing.
Weak Rate + Short Deadhead
The small deadhead does not necessarily make the load profitable. The loaded revenue still needs to justify your time and costs.
Weak Rate + Long Deadhead
A combination worth examining carefully because both the rate and empty mileage are working against you.
Destination Matters Too
A load does not necessarily end when you arrive at the delivery location. What happens next can have a major impact on your trip economics.
Good Position
- Delivery is near an active freight market.
- You already know where your next load may come from.
- The destination fits your preferred lanes.
- You can continue working without significant empty mileage.
Difficult Position
- Limited freight is available nearby.
- Your next load requires substantial repositioning.
- The destination is outside your normal operating area.
- You may have to spend time waiting for suitable freight.
Calculate Your True Trip
- Start with your current location.
- Calculate the miles to pickup.
- Add the loaded miles to delivery.
- Estimate any repositioning required after delivery.
- Calculate your total expected driving distance.
- Estimate fuel and other operating expenses.
- Consider how much time the complete trip will consume.
- Evaluate the destination and your next-load opportunities.
A Practical Example
Imagine you are 75 miles from a pickup. The load pays $500 and travels 250 loaded miles. Your advertised RPM is $2.00 per loaded mile.
Pickup Deadhead
75 miles before the paying portion of the trip begins.
Loaded Distance
250 miles from pickup to delivery.
Total Distance
Approximately 325 miles before any post-delivery repositioning.
Effective RPM
$500 ÷ 325 miles = approximately $1.54 per actual mile driven.
Deadhead Is Not Always Bad
Some empty mileage can be a smart business decision. You may intentionally reposition toward a stronger market because the expected future freight can outweigh the cost of getting there.
Move Toward Freight
A reasonable repositioning trip can make sense when the destination offers significantly better freight opportunities.
Return Home
You may accept empty miles when returning toward home or another location that is important to your operating plan.
Follow Your Preferred Lanes
Some carriers intentionally position around lanes they know well because familiarity can improve their next-load decisions.
Avoid Chasing Freight Blindly
Repositioning should have a reason. Driving long distances based only on the hope that something better will appear can quickly become expensive.
Quick Deadhead Checklist
How many empty miles are required to reach pickup?
What is the total driving distance for the trip?
What is the effective RPM after deadhead?
How much will fuel and operating costs affect the trip?
How much time will the complete trip require?
Where will delivery leave you?
Is freight commonly available near the destination?
Will you need to reposition after delivery?
Does the load move you toward a market you want to work?
Does the complete trip still make financial sense?