Shipper of Choice: Another Take

In today’s rate environment, many manufacturers and retailers believe they have solved their transportation problems because they’re getting high routing guide compliance and meeting their budgets. Is this the same false sense of security that accompanied the downturn in 2019 or do they have eliminated the problems in their network? “Shippers are misinformed or unsure of what it means to be a ‘shipper of choice.’ Ultimately, this can lead to inefficiencies, cost overruns and service erosion over time.” - Gartner The larger swings in price and performance over the past 5 years have led many shippers (Manufacturers, retailers, and distributors) to reshape their strategies in a number of ways. This has resulted in false positives when reviewing strategies for their effectiveness. The gap between spot market  (what a carrier/trucker/broker can get in the open market) and contract rates (what they’ve agreed to in advance during a shipper’s bid process) is currently about 20%. In actual dollars, it’s $2.06 vs. an all in contract rate of $2.54 on a national basis. The ~$0.50 gap has been about the same for the past 12 months even as both spot and contract rates have been coming down. Providers that failed a shipper in 2021 but have performed well in 2023 are playing the market, they haven’t had an epiphany. “Logistics leaders must strategically align with carriers and implement the programs, segmentation strategies and digital investments required to become a shipper of choice.” - Gartner Comparing your historical data to market comps is the best place to start Routing guide compliance, Acceptance at contracted rates, On-time service levels, meeting your budgets are the ultimate...

Why Tracking Apps Benefit Drivers

Truck driving as an industry has changed a lot over the years. One of the most recent changes involves customer requirements when it comes to tracking shipments. Customers have always wanted to know where their freight is and liked to be notified of any delays when occurring. About 10 years ago, to track, you had to call up a driver or dispatcher and ask them where the truck was. Although most trucking companies were pretty good at giving accurate updates, some were not. Miscommunications between drivers and dispatchers were common. In other cases drivers would be unresponsive and this led to a lot of misinformation and supply chain disruptions. Thankfully today with our Sleek Fleet App it is pretty easy for just about any shipment to get accurate tracking data. This has led to fewer appointments being missed and has also made it easier for customers to get a heads-up when a shipment is going to be late for whatever reason. While certain carriers require their drivers to allow tracking, there are still a lot of drivers that I talk to that don’t understand why they should have to download an app for tracking. I hear truck drivers say things like “I’ve been around for 30 years and have never been late…why do I have to download an app?” or “It should be illegal for you to see where I am.” One thing that I think the industry has failed to do as a whole is to explain to drivers why it benefits them to get on board and allow tracking on their shipments. First off, when a driver uses...