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Procurement Market Intelligence Report

Towing Services
Sourcing Guide & Market Trends

Comprehensive intelligence for making smart purchasing decisions

Learn about actual and potential costs

How much should I pay for Towing Services?

What is the average price of Towing Services?

This procurement report includes pricing information to help you purchase Towing Services. Our analysts provide a benchmark price and a price range based on key pricing factors to help you understand what you should be paying for this specific product or service. To see the average price for this and hundreds of other products and services, subscribe to ProcurementIQ.

Has the price of Towing Services been rising or falling?

Analysts look at market data from the previous three years to determine an overall price trend. You can use the recent price trends to help you understand price volatility and plan your budget.

I’m not ready to purchase Towing Services yet. Will I pay more if I wait too long?

We forecast the next three years of price movements by looking at factors likely to affect the market's supply chain, such as inputs, demand and competition. You can then use the price forecast to figure out the best time to purchase.

What other costs are associated with purchasing Towing Services?

Our analysts calculate the total cost of ownership and assign a level of low, moderate or high, depending on things like customization, integration and installation. Use this information to budget for Towing Services with a reduced risk of unexpected costs.

See how we display average pricing information, trends and market data.

Find the vendor to meet your needs

Where can I purchase ?

The towing service market is highly fragmented, with 8,980 suppliers currently operating in the United States. Most towing service suppliers are small, employing fewer than 10 people and operating within a localized area. A few large regional suppliers operate in this market, and the few national players are comprised of... Subscribe to learn more.

Questions to ask potential suppliers

How can I gain leverage during negotiations?

Experience and Expertise

How long have you provided these products to your longest-tenured client?

What qualifications does your staff have and what measures do you take to keep those qualifications up to date?

What industry do you most commonly supply this product for?

To what extent will ordering multiple products from your firm allow me to save on costs?

What is your repeat business rate for businesses in my industry and how does that compare to your overall rates?

Supply Chain Risk

Over the past three years, what percentage of your revenue has been dedicated to raw input materials? How has that changed?

Has the availability of raw materials tightened due to the coronavirus outbreak?

Over the past three years, what percentage of your revenue has been dedicated to labor?

How have fluctuations in input prices affected the prices of your products during the past three years?

How do you mitigate sudden price increases in raw materials?

When input prices rise, how much of the cost is absorbed by you and how much is passed onto buyers?

How, if at all, has your supply chain been affected by import tariffs levied in 2018?


How do you manage regulatory change? Do you have regulation advisers or methods to track regulation?

How have changing regulations influenced your pricing now and how will the changes affect prices over the life our proposed agreement?

What ongoing training procedures do you provide for your staff?

Have you ever been found to be noncompliant with regulatory frameworks?

Amid widespread health concerns during the COVID-19 pandemic, what contingency plans are in place to mitigate risk to your clients and employees? Do you offer clients any flexible exceptions, such as contract suspensions?

Pricing Structure

Do you charge buyers a base fee or a per-mile rate? If you charge both, please explain the circumstances for using each method.

What additional charges do you impose on buyers?

Do you offer flat-fee pricing structures for high-volume customers?

Is your pricing structure in line with market standards?

Has your pricing structure changed amid the coronavirus pandemic due to a drop in demand for your services?

Customer Service

How many years have you been in business? Explain any supply interruptions or management changes that have occurred in the past three years.

Do you employ dedicated customer service personnel? If so, how many?

What is your contract renewal rate? Have you ever had a contract terminated early?

How do you track customer service? Do you use customer feedback to improve your business?

Are you deploying fewer workers or operating at a lower capacity as a result of the pandemic?


What is your average response time after an initial request from a customer? Has this changed due to the pandemic?

Do you employ a communication system between your drivers and your dispatcher? What kind of communication system do you use?

How large is your fleet of trucks? Do you have a truck available to take new calls at all times?

How many locations do you operate in? Has the pandemic heavily affected the areas you serve? How does this affect average response times?


How do you stay one step ahead of your competition?

Can you describe the competitive environment in your local area? Who are your primary competitors?

Do you match your competitors' prices?

Have you adopted any new strategies or equipment after observing other suppliers in the towing market?

Are you experiencing fluctuations in demand as a result of the coronavirus pandemic? What measures are you taking to handle fluctuations in demand?

Related Suppliers

Do you have a working relationship with a preferred auto repair shop? Does this relationship afford vehicle owners discounts on repairs and replacement parts?

Do you accept towing requests for major auto clubs, such as AAA? Do you offer reduced rates for auto club members?

Do you generate a significant portion of your business from supply contracts?

List other related businesses with which you have a mutually beneficial relationship.


What is the average age of the trucks in your fleet?

How often do you upgrade your fleet with new equipment and more advanced technology?

Are your communication systems up to date? When was the last time you upgraded your communication or dispatch system?

How do you stay informed about the latest trends in towing equipment and technology?

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Key elements for every RFP

What should my RFP include?

Project Budget

Buyers should request a detailed breakdown of the rates applied to the buyer for the tow services.

Buyers should indicate their expectations for payment schedules and methods.

Buyers should request a breakdown of any additional fees that may be applied, such as fuel surcharges.

Selection Criteria

Buyers should prioritize the vendor’s experience when evaluating potential suppliers.

Buyers should consider the vendor’s equipment and ability to meet the buyer’s needs with regards to the types of vehicles they can tow and capacity.

Buyers should consider the vendor’s certifications and compliance record.

Buyers should reference the Buying-Decision Scorecard section of this report for key criteria to consider when evaluating providers.

Project Schedule

Buyers should state the deadline for bids.

Buyers should indicate when the vendor will be selected and when award information will be available.

Buyers should indicate their desired start date for services.

Evaluate major factors to mitigate risk

How risky is the supply chain?

Supply chain risk is medium overall in the towing services market. Risk in this market primarily stems from fuel dealers due to highly volatile gasoline and diesel fuel prices. Moderate supply chain risk weakens buyer power because it leaves buyers vulnerable to price spikes and supply disruptions. To combat this... Subscribe to learn more.