E-Commerce Is Booming How Businesses Are Keeping Pace With Load Broker Software

Written by Business Success on . Posted in 360 load board, Broker system, Tms with load board integrations

What’s the most difficult aspect of transportation today from a business standpoint?

If you mentioned keeping track of shipments and maintaining customer satisfaction, you’re already moving in the right direction. With e-commerce seeing a massive surge in popularity and businesses always on the hunt for more cost-effective methods of shipping cargo, learning about different types of transportation broker software can save you a lot of time. Even the most efficient business model still has room for improvement, after all, and the biggest benefit of freight management software is reducing the margin for human error.

Learn more about managing LTL shipments and the growth of e-commerce by reading below.

The LTL market is flourishing. Recent estimates have determined it’s reached $35 billion and is showing little sign of slowing down, particularly when it comes to the intersection of e-commerce and local businesses. Back in 2013 trucking transported nearly 15 billion tons of cargo. The Bureau Of Labor Statistics reported that, by the time 2040 comes around, that number will increase to nearly 20 billion tons. This sets a serious precedent for quality and what your customers come to expect when browsing online for their next favorite brand.

While air transportation and ocean cargo still have their place regarding heavy machinery and sensitive materials, trucks remain one of the most utilized and appreciated forms of transportation. Today trucks carry the largest share of freight by value, tons and ton-miles for shipments moving less than 750 miles. When it comes to tons and ton-miles, specifically, rail remains the preferred method. It can vary between 750 and 2,000 miles and remains both cost-effective and fast for today’s demanding world. It’s estimated over 12 million trucks, rail cars and locomotives move goods across the transportation network.

The United States alone is a powerhouse of transportation technology. The Federal Motor Carrier Safety Administration sees nearly six million commercial motor vehicle drivers operate in the United States. The U.S. Department of Transportation has also estimated the value of freight to see a significant increase. Back in 2007 it averaged at just over $880 per ton, with this number expected to rise to nearly $1,400 per ton by the time 2040 arrives. Different types of transportation broker software are needed not just to keep everything organized, but manage fluctuations in pricing.

E-commerce is one area you need to keep a careful eye on. Customers today expect a lot out of their shipping resources, particularly when it comes to quality and speed of delivery. American e-commerce revenue is at $400 billion and climbing steadily, irregardless of whether it’s full truckload, less-than-truckload or parcel. The president of SJ Consulting Group, Satish Jindel, has reported the length of haul has declined significantly over the last few years. This is likely due to more businesses relying on point-to-point transportation to both save on costs and encourage an eco-friendly approach.

The types of transportation broker software that will benefit you most depend on a few details. Do you rely primarily on LTL shipments or are you still using a mixture of different carrier services? Are you dealing with a lot of inventory shrink? The latter issue is a major reason why businesses are attempting to find unique types of transportation software, since over 600 cargo-theft incidents were reported in the first three quarters of 2016. Letting technology carry the bulk of your day-to-day activity will help immensely with saving money and increasing customer satisfaction.

Transportation is moving at the speed of light. Keep up with load broker software in 2018 and onward.

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