The freight market coming out of the pandemic was a carriers market. Load refusal percentages were high as were freight rates. Carriers controlled the spot market and shippers started to rely more on freight brokerages to schedule and move freight. Since the Q3 2022, the spot freight market has softened and shifted back to the shippers. Freight rates are down, however it is expected that carriers will start refusing loads to shift the market back to them.
The proverbial pendulum swings from carriers to shippers and back at a constant. The uncertainty can wreak havoc on shippers – rates are not consistent or predicable so neither are costs, loads are not guaranteed and neither is on-time delivery, visibility of loads is poor. Shippers can offset the volatility of the freight market, by trusting a freight brokerage provider.
A freight brokerage connects willing shippers, with common carriers that they may not have known each other was willing to do business. The largest freight brokerages have many, sometimes thousands of carriers ready at a moment’s notice to move freight as needed, all over the world. For examples, Ryder works with more than 45,000 carriers to move more than $10.7B in freight annually. Because of this, companies that produce goods from a variety of industries rely on these brokers to assist with putting their products in their customer’s hands.
Download this whitepaper to learn the benefits of working with a reputable freight broker including:
- Predictive pricing data
- Capacity flexibility
- Load visibility and freight reporting
- Carrier matching
