Wabash National Corporation introduced its "Trailers as a Service" (TaaS) program in 2022, and three years later, the company announced an expansion: splitting the original TaaS service into two independent products and adding a new short-term service called "TaaS Pools".

Wabash is primarily known as a trailer manufacturer. Mike Petit, the company’s Chief Growth Officer, stated in an interview with FreightWaves that the original TaaS product will be renamed "TaaS Plus."

The newly launched "TaaS Pools" is a fresh addition under the TaaS brand.

Petit explained the core value of TaaS, mentioning that compared to traditional leasing models, TaaS services "embed more trailer management and maintenance functionalities."

"We will ensure the normal usage duration of the trailers, confirm that breakdowns are repaired, and clarify damage responsibilities for reasonable recourse," Petit stated. "These services are not available in traditional leasing—where customers are responsible for maintenance once they take possession of the asset."

Petit noted that a major advantage of TaaS Pools is deploying trailer assets across various regions in the U.S. Customers with short-term usage needs can access trailers through this program without having to choose between TaaS Plus or traditional long-term leasing options.

Popular Business: Parts and Services Sector The launch of the TaaS program and the subsequent introduction of TaaS Pools are parts of a series of business adjustments by Wabash. These adjustments also include the establishment of a "Parts and Services" business sector—seen by Wabash's management as the company's growth engine. Amid ongoing pressures from a downturn in the freight industry, Wabash, like many peers, faces challenges, while growth in the parts and services sector offers support.

In July, during the second-quarter earnings call, CEO Brent Yeagey highlighted the performance of the parts and services sector, stating it "has brought greater balance and resilience to Wabash's overall business portfolio as the company scales."

Petit remarked that the establishment of the parts and services sector and its supporting network "is the backbone of the TaaS business, ensuring that trailers can receive timely repairs and parts replenishment."

According to Petit, the currently operational TaaS trailer count is around 1,000 to 1,200 units. "We are taking a 'crawl, walk, run' approach to TaaS business expansion," he said. "Obviously, the current market environment is weak, but we are also ensuring that we have sufficient operational capacity and a professional talent pool."

Petit mentioned that TaaS Pools is currently "in the verification stage." In several large metropolitan areas, multiple shared pools containing "about 10 trailers" have been deployed, awaiting customer utilization. "As market acceptance increases, we will further scale up," he added.

The Role of TrailerHawk To strengthen its talent pool, Wabash acquired technology company TrailerHawk earlier this year— the TaaS business operates based on the platform developed by this company. Upon completion of the acquisition, Wabash stated in a pre-prepared announcement that acquiring TrailerHawk "will enhance the company's TaaS service capabilities, helping logistics providers improve freight safety, visibility, and operational efficiency."

Petit stated that post-acquisition, Wabash "gained an embedded professional team to help us scale the TaaS program." He predicts that next year will be a key inflection point for TaaS business acceleration.

"I believe that in the future, the total number of trailers in the TaaS Pools could reach 10,000 to 20,000," Petit said, adding that the timeline to achieve this target depends on whether the product portfolio can be rationalized and the team can accurately address core customer needs.

Third-Party Logistics (3PL) as the Core Target Market of Shared Pools Petit explicitly noted that third-party logistics (3PL) firms are the core target customers for the TaaS Pools. He explained that customers can access "on-demand asset pools" through this program—these trailers may be parked at the shipper's site, ready for customer calls.

Petit clarified that the initially launched TaaS Plus features "a fixed monthly fee model, allowing customers to hold specified trailer assets long-term," whereas "TaaS Pools is more oriented towards on-demand asset services."

He further compared scenarios when customers might choose between TaaS Pools and TaaS Plus: "If a customer's transportation route needs to temporarily increase or decrease capacity due to some reason, then TaaS Pools would be the more appropriate choice," Petit noted. "This model offers greater flexibility."

However, "if a customer clearly needs regular transportation between two cities, then TaaS Plus would better meet that demand."

Industry Environment and Company Performance Similar to other companies involved in the truckload and less-than-truckload (LTL) markets, Wabash's performance data reflects the industry headwinds it faces.

For instance, Wabash's trailer shipments in the second quarter totaled 8,640 units, down from 9,245 units during the same period last year.

The decline in shipments also affected Wabash's stock price performance. On December 11, Wabash (NYSE: WNC) reached a 52-week high of $20.63; on April 30 this year, the stock price fell to a 52-week low of $6.78; and while it rebounded to $11.73 on September 17, by Thursday's close, it had dropped back to $8.90.