Smarter Shipping, Volume 25: Will 2024 Be the Year of Freight’s Comeback?
Hello and welcome to Volume 25 of "Smarter Shipping" with Intelligent Audit.
Let's see what is happening!
In this edition of "Smarter Shipping," we'll cover the following:
Will 2024 Be the Year of Freight’s Comeback?
After a challenging year of bankruptcies, closures, layoffs, and labor troubles, some analysts see reason to hope for a comeback, per new reporting from FreightWaves . With hope in their eyes, some freight experts are asking, “Will 2024 be the year of the comeback?”
But it’s not all starry-eyes and big hopes. Matheson Flight Extenders, a leading contractor for the U.S. Postal Service, has announced plans to cut 1,000 jobs and close facilities across three states, and some experts are casting doubt on supply chain decarbonization plans. On the brighter side, Intelligent Audit’s Joe Wilkinson has some words of wisdom for parcel shippers , and parcel start-up Better Trucks is shaking up the last-mile game in key Texas markets.
Whether grim tidings or good, here are the news items and trends shaping the industry that’s always moving.
Will the Freight Market Rebound in 2024?
According to data collected by FreightWaves , the freight market reached its bottom on May 14 and has been on a steady climb since then. Despite many industry experts predicting otherwise, this data stokes some hopes for a noticeable peak season for motor carriers. While they might get some relief,? overcapacity in the market might continue to impede the industry’s recovery.?
As carriers gain the upper hand over shippers in early 2024, FreightWaves CEO Craig Fuller offers some advice for shippers looking to prepare for a shift in the freight economy: “They should prepare now by benchmarking their freight costs against data, locking in contract rates, or using index-linked contracts to manage rate/capacity risk.”
Join Us: Celebrating Game-Changers in Tech & Logistics!
We're unveiling a can't-miss webinar: "Beyond the Glass Ceiling: Women in Tech & Logistics."
Meet our stellar panel:
With the brilliant Grace Sharkey ?????? Grace Sharkey from Freightwaves guiding the discussion, here’s a taste of what you’ll experience:
?? Inspirational Tales: Discover the paths of these trailblazers, from challenges to victories.
?? Networking: Connect with industry leaders and like-minded peers.
?? Engage & Learn: Understand unique hurdles and the strategies employed to overcome them.
?? Empowerment: Leave ready to make an impact in the industry.
Hosted by VIZION , the goal is fostering diversity and strengthening connections for women in Tech and Logistics. Let's collaborate to push for a diverse and inclusive industry landscape.
Ready to be part of the dialogue? See firsthand the women driving progress in Tech & Logistics.
?Join us to both learn and shape a brighter industry future. Reserve your seat today!
IA at Parcel Forum, September 11-13th | Nashville
The Intelligent Audit team are thrilled to be attending Parcel Forum in Septemeber in Nashville at the Gaylord Opryland, September 11-13th!
Say "Hi!" to the IA team at booth #712!
Attend Intelligent Audit's CEO, Hannah Testani 's presentation, "The Power of Pristine & Structured Date: How to Make Machine Learning Your Strongest Tool" on September 12th at 12:20 PM CST.
To book a meeting ahead of Parcel Forum, click here .
Tammy Tippins from IA featured in Flexport Shuffle At the Top: Clark Out, Peterson Back In
After being valued at $8 billion in 2022, Flexport's valuation is believed to have dropped. Amidst leadership changes and reports of Clark's firing, Flexport bought Deliverr from Shopify and later laid off 500+ employees. Industry experts comment on global freight forwarders' challenges, emphasizing efficient freight movement and market adaptability. Clark's exit raised concerns about Flexport's future.
White Paper:?Using Business Intelligence to Optimize Your Parcel & Final Mile Network
Transportation procurement is experiencing unprecedented challenges. The recent boom in e-commerce, coupled with heightened consumer demand, has resulted in significant shortages. Ports are overwhelmed, leading to high rates and stretched capacities. Major firms, like General Mills and Bed Bath & Beyond, have cited escalating transport costs as barriers in their quarterly reports. Furthermore, national parcel carriers are introducing new costs and surcharges.
The challenges from 2021, characterized by disruptions and heightened shipping expectations, have forced shippers to revisit their carrier strategies. The crux now lies in leveraging shipping data effectively. By doing so, shippers can compare costs across modes, discern parcel carriers' long-term strategies, anticipate potential challenges like unexpected rate hikes, and ensure hidden costs, such as accessorials and surcharges, remain justifiable. With market volatility pushing rates up, it's crucial for shippers to understand their networks deeply and ensure carriers fulfill their commitments. Continue reading to delve deeper into these industry shifts and how they might impact future strategies.
The latest insights from the?Intelligent Audit Resource Hub
Carrier Diversification 101: Building Resilience Through Multiple Carriers
The Teamsters-UPS near-strike exposed businesses' vulnerability due to dependency on a single carrier, emphasizing the need for carrier diversification. This strategy, vital for supply chain resilience, involves spreading logistics across multiple carriers to improve flexibility, service levels, cost-efficiency, and risk mitigation. Challenges like cost management, meeting market expectations, and ensuring timely deliveries underline the importance of diversification. Steps towards this strategy include assessing current relationships, defining criteria, and systematically researching and implementing new carriers. Expert guidance, like from Intelligent Audit, helps businesses navigate diversification and future-proof their supply chains against disruptions.
That's it for this edition of "Smarter Shipping" from Intelligent Audit! Make sure to subscribe to follow each edition.