Innovations are essential to any industry in order for them to thrive, evolve, and meet continually changing consumer expectations. With more and more disruptive companies entering the global market, the general consumer is becoming increasingly familiar with convenience and efficiency. They expect a product to not only provide value, but just as importantly, they expect it to arrive quickly and at the best price available online.
With rapid-fire deliveries being a demand, rather than a simple desire, the freight industry is undergoing some serious changes and innovations to make it happen. One of the most significant innovations is the digitalization of freight forwarding processes. New startups have the ability to shake up the playing field for both shippers and freight forwarders. Unbound by the old ways of thinking, these new companies can hit the ground running. This is a good thing for innovation as it allows flexibility, creativity, and competitiveness within the industry which can benefit traditional companies significantly.
“It’s because they’re addressing pain points that affect everyone in their industry. In the marketplace of ideas, innovation often yields maximum benefit to all stakeholders: businesses, consumers, and investors. So if you ever hear, ‘That’s the way it’s always been’ as a reason for why an industry operates as it does, you can safely guess a startup is coming along with a major innovation in tow.” says CoLoadX.
“The logic is simple: if innovators like Amazon, Convoy, Transfix, and others are focused on solving “last-mile” delivery problems, then it’s obvious that someone is going to have to solve the “first-mile” problems of logistics,” they added. Shippers and manufacturers need to get their product out quickly. Not only does this require a more efficient supply chain, but it also creates a happier end customer. Take a look at the European construction companies, for example. Their supply chains have been changing and, more than ever, they need to have access to materials in a timely manner to do their jobs. They don’t necessarily have the luxury of waiting for a truck to come whenever available to deliver materials.
Bottling companies and breweries also bring about different challenges. Beer needs to be shipped carefully to avoid spoilage. Retailers need to be able to send back expired bottles to ensure freshness. Therefore, with today’s technology, logistic service providers can help companies track such sensitive activities quicker, more efficiently, and without incurring high costs.
Industry Pain Points
In order for the industry to run more efficiently, addressing pain points are essential. Digital solutions enable traditional freight forwarders to address some of the industry’s troubles and help their customers perform more efficiently. Some of these pain points include:
- Time and money lost on brokering capacity and rates
- Manage peak seasons
- Finding carriers for orders that their trusted carrier network is unable to cover
This is, of course, by no means an exhaustive list. There are a number of industry-wide pain points such as visibility, flexibility, and agility that will always need to be improved upon!
Merging the Old and the New
It might seem like the disruptive digital companies, are out to wipe out the traditional forwarder, but that couldn’t be further from the truth. After all, with the rise of freight forwarding, it will stand to reason that business will be easier to drum up. In fact, InstaFreight was specifically designed to fix the above pain points and create smoother processes in a sensitive and logistically focused industry.
- Traditional freight forwarders can find extra capacity whenever they need 24/7
- May capitalize on technologies’ miscalculation of freight rates and access well-paying jobs
- May find loads to better utilize their trusted carrier network
- Can step into new businesses such as B2B or B2C consolidated cargo movements
- Can utilize extended consolidated cargo network
- Improve customer satisfaction by using high tech technologies to better track and trace deliveries
- Can pass on/enjoy benefits such as payment of invoices within 72hrs
InstaFreight’s solution provides the much-needed visibility in all freight movements. It also takes on the administrative tasks that are involved allowing businesses to focus on their core business, serving their customers.