An Industry On The Verge Of Change
In many respects, this should be a good time for the logistics industry. There’s unprecedented volumes of global shipments, growing international trade, more flexible supply chains, and easier sourcing than ever before (Alibaba, anyone?). And yet, logistics providers are challenged by rising shipper expectations and dropping margins.
The surest bet to escape this is technological innovation. For some time now, LogTech startups have taken the lead. Recently logistics providers have been overcoming their reticence, working in cooperation with logistics technology visionaries. Notable examples include K+N’s partnership with a tech accelerator, DB Schenker’s exclusive agreement with uShip, and here at Freightos, automating freight rate management for several enterprise forwarders.
So, in news that can only be good for logistics, today’s announcement marks a new era – LogTech players like Freightos and WebCargoNet joining forces.
Freightos’ focus has been on the shipper-forwarder relationship, both through AcceleRate which provides multimodal freight rate management and door to door freight quoting, and through the recently released online freight marketplace. WebCargoNet’s focus has been more on the carrier-forwarder relationship and has also placed more focus on air freight.
Beyond breakneck growth, both companies share a number of similarities. Both focus on relentless optimization of pricing and routing with powerful, big data technology. More tellingly, both share the same mission – making global trade frictionless.