How to tell if it’s time to upgrade your truckload shipping strategy.
March 11, 2019
Preparing for potential shifts in what the market demands is crucial to success in the freight industry. Developing and maintaining a shipping strategy that provides a high level of foresight into truckload shipping fluctuations is easier said than done, but we are focused on helping you get there.
The freight industry is demanding more from your truckload strategy than ever before. As a part of C.H. Robinson, one of the world’s largest freight service providers, Freightquote believes that building your best strategy requires an awareness of what the industry is demanding to help keep up with purchases and deliver the goods on time.
Let’s explore the current standing of truckload shippers and how to know whether it’s time to reconsider your truckload strategy.
Where truckload shippers stand today.
If we take a look ahead, the industry appears to be in good shape for both full truckload shippers and LTL shippers. With that said, the industry experienced significant fluctuations in supply and demand during 2018. Shippers should be learning from their experiences and use that information to assist with preparing for instances of unpredictable fluctuations when formulating a plan for the next year.
Additionally, plans should be in place for the more predictable seasonal demand spikes as well. Examples include the buildup to a new school year in September or throughout the fall as the holidays are approaching.
The capacity crunch appears to be behind us, but the shifting market that was responsible for it will continue to ripple through the industry. With this in mind, optimizing your strategy by pulling insights from past shipping trends and anticipating shifts can present you with new opportunities to capitalize on savings.
The industry is evolving, and shippers need to do the same. Having the ability to anticipate demand and optimize your capacity is a precursor to making the best transportation decisions possible. Moving forward, uncovering new opportunities for efficiency will be the difference in freight shipping as the margin for error continues to shrink.
What your truckload shipping strategy should do for you.
When choosing a method of shipment, you should be working within your deadline, budget and freight requirements. These aspects should be defined within your truckload shipping strategy. The strategy should be fluid and flexible enough to continue evolving along with market demand while reacting to any obstacles or trends.
The freight shipping industry is seeking stability as it comes off a rollercoaster of a year in 2018, one that has left some shippers questioning the validity of their strategy. Ultimately, your strategy should help identify what your best options for moving freight are while optimizing your business decisions along the way.
When done effectively, the savings will be noticeable and a crunch similar to what we have seen in the past will come as less of a surprise. Instead, it could produce an opportunity to shift your strategy and provide what the market is demanding.
How to know when it's time to upgrade your strategy.
Over the course of any given year, your shipping strategy will have to shift according to both predictable and unpredictable changes in supply and demand. If you are noticing gaps in your strategy, or you find yourself being caught by surprise when the market abruptly shifts, you aren’t going to effectively maneuver through the truckload market as it changes. Doing so requires a strategy that is flexible, reliable and data-driven. Now, ask yourself, do those characteristics apply to you? If not, a freight audit might be best for your business.
Executing a freight audit is one of the most effective ways to realign your shipping strategy if it stops producing adequate results. If your business is reorganizing, restructuring or growing, an audit will be necessary, but there are benefits to reviewing your shipping strategy beyond simply reacting to organizational changes. An audit will help guide your next move and provide visibility into the viability of your broader business goals while helping to maintain your flexibility in the face of rising rates.
The truckload shipping market is subject to new obstacles on a yearly basis, and Freightquote is dedicated to helping your business navigate fluctuating rates as well as supply and demand by providing the resources and powerful self-service tools that you need.
We have outlined the common indicators that your shipping strategy is due for an update and why maintaining an up-to-date strategy is so important as the freight industry faces a new year with new challenges. Having the ability to avoid, or overcome, any obstacles will help you shift alongside the industry, opening the door for new business opportunities and more savings.
If you are interested in taking that next step, learn how Freightquote can help revamp your strategy and optimize your existing processes.
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