How to reduce HGV agency markup without losing reliable cover
A practical way for transport managers to compare cover routes, protect service levels, and make the real cost visible before changing supplier.
Start with the outcome, not the headline rate
The cheapest-looking hourly rate is not always the cheapest completed shift. A useful comparison includes the driver or supplier pay, agency or platform fee, internal administration time, failed-cover risk, and any minimum-hours or cancellation exposure.
Build the comparison around a real four-week sample. Use the same shift types, start times, licence classes, locations, and notice periods for every route. That prevents an easy daytime shift from being compared with emergency night cover.
Record five numbers for every cover route
Cost per completed shift is usually more useful than cost per booking. It makes failed cover and no-shows visible instead of hiding them behind a low quoted margin.
- Requested shifts: every requirement sent for cover, including unfilled requests.
- Filled shifts: requirements where a suitable driver was confirmed.
- Completed shifts: confirmed drivers who actually started and completed the agreed work.
- Total cover cost: supplier pay plus the separate agency, platform, or managed-service fee.
- Internal handling time: calls, document chasing, timesheet corrections, and payment queries.
Pilot one lane, depot, or shift pattern
Do not move all flexible cover at once. Pick a bounded requirement that matters but will not endanger the operation if the pilot needs founder support. Agree the escalation route, response time, driver requirements, and what counts as filled before the first request.
For Drivano, the initial route is founder-supported Managed Flex Cover in a limited geography. Public billing is gated while the operating model is completed, so prospective hirers should request a written pilot scope rather than assume a live per-shift price.
Use a clear stop or expand decision
- Expand when completed-shift reliability and total cost beat the existing route over a meaningful sample.
- Hold when supply is promising but document or response-time gaps still need correction.
- Stop when the pilot creates more operational handling, weaker evidence, or unacceptable cover risk.