What’s Driving Digital in Freight Forwarding?
Digital is disrupting all sectors in all industries, and freight forwarding is no exception! From startups to suppliers, and even customers, everyone is making use of digital technologies in an effort to develop new business models and survive in today’s tough economy. Not only do these new models have the power to improve customer experience but they also streamline processes and eliminate unnecessary operations. They also have the potential to push traditional forwarders out of the dominant positions they have held for so long.
With this in mind, traditional forwarders will be forced to digitize if they wish to survive. If they don’t, they won’t see the cost savings that the new business models will, which means they won’t be able to compete. So, what’s driving this digital rush?
The Need to Automate Manual Processes
When compared with other industries, the freight forwarding industry has an unusually high number of manual processes, and many companies are still reliant on personal handoffs, emails and faxes when it comes to sending and receiving shipping documents. A task as simple as this, when done manually, can be costly, inefficient and time consuming. Businesses who automate this process can save time, money and are likely to have businesses that operate better.
The Need to Improve Customer Experience
Whether you are in the freight forwarding industry or not, if you have ever had to experience an offline quotation and booking process (or anything offline for that matter) you’ll know what a tiresome and lengthly process it can be. According to a study done by Freightos, a shipper who requests a quote from a forwarder can wait as long as 100 hours to receive it – that’s a long time! Keeping track of orders in real time is another issue that is made nearly impossible without technology, and this is a must for customers.
There is so much that technology can do for the freight forwarding industry, and with continuous development, it’s important to digitize now in order to survive and thrive in the future. Failure to digitize now could mean a business won’t be around for much longer.