Sarah Barnes-Humphrey and Joe Lynch discuss transforming the shipper, freight forwarder relationship. As the founder of a company designed to connect shippers and freight forwarders, Sarah understands the dynamics of the shipper, freight forwarder relationship.
Key Takeaways: Transforming the Shipper, Freight Forwarder Relationship
Small and Mid-Market Shippers and Freight Forwarders Struggle with the Quoting Process
- The relationship between small and mid-market shippers and freight forwarders is often strained.
- Small and mid-market shippers who are importing and exporting goods typically don’t have the resources, volumes, and expertise of larger shippers so they require extra support from freight forwarders. Freight forwarders often find themselves spending additional time on smaller accounts and making less money.
- Small and mid-market shippers often need a freight quote as part of their sales quote to their customers. Freight forwarders are wary of working hard on quotes that they may never move.
- Small and mid-market shippers can also be wary and untrusting of freight forwarders because getting a quote is complicated and the quotes contain lots of line items and potential penalties.
- Additional resentment from freight forwarders occurs when they find themselves submitting a lot of quotes and not winning very much business.
An Online Transportation Platform Specifically Designed for Freight Forwarders and Small to Mid-Market Companies Streamlines the Process and Eases the Tension
- Shipz offers an online transportation platform that streamlines the quoting, booking, and payment processes while removing many of the factors that were aggravating for shippers and freight forwarders.
- Shipz provides shippers a benchmarking tool (business intelligence) for estimating shipment pricing based on average cost for that origin/destination. With solid business intelligence at their disposal, shippers have confidence when working with freight forwarders, plus they don’t have to pester freight forwarders for estimated pricing.
- Shippers can also get a quote from multiple freight forwarders quickly and easily. The Shipz system compares the quotes “apples to apples” which saves time and money for both freight forwarders and Shippers.
- Freight forwarders using Shipz gain access to serious shippers who don’t neccessarily needs lots of quotes for their sales process because they have access to business intelligence pricing tools (price benchmarking based on average priced paid).
- Freight forwarders using Shipz quote on more business and win more business because the system provides competitive feedback in a way that doesn’t violate anybody’s confidential pricing.
- Lastly, freight forwarders using Shipz get paid fast, because no freight forwarders wants to be a bank.