Updated: Dec 27, 2022
If you're a new forwarder or contemplating starting a freight business, there is no better time to set sail. The global Digital Freight Forwarder market size expects to grow at a CAGR of 15.5% between 2021-2027.
The demand for forwarders is high because of their expertise in international trade and at the best rates. Importers and exporters are looking for speedy, cost-effective solutions to move their cargo locally and internationally. The freight forwarding market is already seeing players with technology solutions making advancements.
By adopting freight software, you too can grab the growth opportunities and get a headstart in the competition. To tap the growth opportunities, it's vital to know what today's shippers are unhappy about.
Post the Covid-19 period, it is safe to assume that most shippers have had an increased comfort with technology in their business. Based on their prior experience and technological advancement, let's see how their expectations have changed:
Faster response to quotations
Pre-Covid period: Shippers were fine with responses to a shipping quotes from forwarders that would take up even days
Today: Customers want instant rates visibility and likewise for revised quote responses
Pre-Covid period: Emails and phone calls for queries related to shipment booking were prevalent
Today: Customers prefer self-service portals for shipment booking with want live assistance from forwarders
Pre-Covid period: It did not matter to customers if they had to download a report and send it via another email client or track shipments from another portal
Today: A faster and unified shipping experience is the need of the hour. From tracking and making or verifying payments, customers want a single platform to save time and have more control
Why forwarders must turn to modern freight solutions to boost growth
Transparency, convenience, and faster processing times are the biggest expectations shifts by customers today. With cloud solutions and meaningful data insights, you're always in sight of your company's happenings and can plan for growth and brace for a slowdown. Cloud-based solutions increase data security and ease running your operations. Here are some of the benefits that come with adopting technology.
Staying updated about milestones
Confused customers or when they don't have enough information, question your information-sharing process. Cloud-based solutions organize data centrally and allow accessibility in real time. With up-to-the-minute data availability, send notifications directly to your customer's devices. Similarly, your managers and even customers can access information and reports from any device and location, be it an office, port, or home.
In freight forwarding, it's common to see payments (made and received) running late. Few customers don't pay on time because they're unaware of the payment schedule or it's just too tough to find the invoices due. To break this barrier, implementing technology is paramount. Technology helps make it convenient for you to reduce your follow-up effort, receive payments faster and build transparency with customers. Some of the features useful to facilitate payments using freight software like Logi-Sys are:
centralized payment system
accounts receivable and payables
bank integration for login-free access
auto-scheduling sending of invoices and reminders
Getting the documentation in order
Compliance in cross-border trade requires careful preparation of documents. Customs examines only about 3-5% of shipments. But if your documentation is not in order, you increase your cargo examination chances and its release may take longer. Incorrect preparation of documents causes problems like:
raised suspicions in the compliance process
delays with increased waiting costs
strained customer relations
Freight solutions eliminate or reduce manual entries in the documentation, and auto-calculate customs and duties, so you can avoid trouble with customs authorities and your customers.
See the complete picture with rich-data reports
Forwarders accurately aware of their operations, finance, and sales can get more done. On-demand and real-time reports help managers and decision-makers like you understand the company's strengths. Freight management software simplifies managers' tasks with reports like:
Sales lead-to-closure reports
Profit and loss statement
Daily Status Report
Statement of accounts
Customer-wise business report
Spot more growth opportunities and make the most of them
With clear visibility, your company's in control at the macro and micro scale. Trusted by logistics service providers in over 4500 logistics service providers, Logi-Sys makes fast growth possible with a comprehensive solution. As customers get more technologically aware, modern freight solutions help you keep up your service quality. Forwarders choosing to implement technology can understand customers closely and meet their expectations completely while rewarded with faster growth.