What exactly is truckload-to-intermodal conversion and when should shippers consider it?

Truckload-to-intermodal conversion involves moving freight from over-the-road trucks onto rail in containers, with truck drayage at each end (pickup and delivery). Shippers typically convert longer-haul lanes to intermodal when transit time constraints allow, particularly on lanes like Chicago-to-Elizabeth where the cost reduction exceeds 20%. The conversion makes sense when the per-load savings justify any additional transit time.

How does SONAR calculate the conversion savings estimate?

SONAR compares the van flat rate to the intermodal contract flat rate on the same lane. The savings per load is simply the difference between these two rates. Total lane savings applies that per-load difference to the annual volume entered by the user. For the Chicago-to-Elizabeth example, the $592.96 savings per load is derived from the $2,813.88 van contract flat rate minus the $2,220.92 intermodal contract flat rate.

Does SONAR provide intermodal spot rates for all lanes or only high-volume corridors?

Intermodal spot rates cover approximately 100 high-volume corridors. Lanes outside this coverage set display intermodal contract rates for comparison purposes. This means all lanes can be evaluated for conversion potential, but spot rate volatility is only available for the most-traveled intermodal routes.

What specific data points help shippers assess the reliability of a rate quote?

SONAR provides confidence metrics including the number of observations supporting a rate (for example, 46 observations over 41 days for Chicago-to-Elizabeth), the range within which rates typically fall ($2,075 to $2,435 for that lane), and intermodal volume metrics (283 domestic containers on the lane). This context helps shippers evaluate whether a rate is statistically solid or based on limited data points.

How has the Chicago-to-Elizabeth intermodal market performed recently?

Intermodal contract rates on this lane increased 11.55% year-over-year and 7.66% month-over-month at the time of article publication. Despite these increases, intermodal remains 21.1% cheaper than van contract rates. The lane shows a High conversion potential rating with 283 domestic containers supporting traffic.

Technology & Innovation

Moderate

SONAR Adds Intermodal Rates to Help Shippers Find 20%+ Savings

Oct 8, 2026

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The signal

SONAR, a freight market intelligence platform, has integrated intermodal rates and truckload-to-intermodal conversion analysis into its Rate Intelligence tool. Users can now compare intermodal contract and spot rates directly against van pricing on the same lane, with automatic calculations of savings per load and total opportunity sizing. The feature launched in October 2026 and targets shippers, freight brokers, 3PLs, and carriers evaluating mode shifts.

On the Chicago-to-Elizabeth lane, for example, intermodal contract pricing runs 21.1% below van contract rates, representing approximately $593 in savings per load. This integration eliminates the need for separate data sources or manual spreadsheets when evaluating mode conversion decisions. The platform provides resolved lane details including suggested in-gate and out-gate ramps, rate and volume trends over 12 months, and confidence metrics based on the number of observations supporting each rate.

Supply chain professionals can now evaluate conversion potential directly within their existing workflow rather than gathering data from multiple sources.

#intermodal-rates

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#supply-chain-technology

Frequently Asked Questions

What This Means for Your Supply Chain

Simulation Suggestion

immediate

What if van spot rates drop 18% due to carrier overcapacity?

Simulate a softening truckload market where van spot rates decline 18% across major lanes due to temporary overcapacity or demand weakness. Recalculate conversion savings differentials and identify which lanes remain economically attractive for intermodal given the compressed margin versus truckload.

Run this scenario

Simulation Suggestion

this month

What if intermodal drayage costs increase 15% on key conversion lanes?

Assume intermodal drayage fees (in-gate and out-gate truck movements) rise 15% across all major conversion lanes due to regional driver shortages or fuel surcharges. Recalculate the per-load savings differential versus truckload on Chicago-to-Elizabeth, West Coast port pairs, and South Texas corridors to determine if conversion economics remain favorable.

Run this scenario

Simulation Suggestion

strategic

What if rail transit times extend by 3-5 days on major corridors?

Model a scenario where rail network congestion causes intermodal transit to lengthen by 3 to 5 days on lanes like Chicago-to-Elizabeth, Los Angeles-to-Dallas, and Houston-to-Atlanta. Assess impact on customer service levels and inventory carrying costs, and determine which lanes maintain conversion viability despite longer cycle times.

Run this scenario

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