28 May Is “Customer Routed” Freight Costing You Time and Money?
Customer Routed Freight
What does it mean when a potential customer (a manufacturer or distributor who has freight to move) explains that their freight is customer routed?
- In many cases, it’s a simple brush off. The person on the other end of the phone simply doesn’t want to talk. We get it.
- However, sometimes it means that for whatever reason, this manufacturer or distributor allows their customers or vendors to route all of their freight.
Let’s discuss Scenario #2–when a manufacturer or distributor allows customers or vendors to route all of their freight.
How Customer Routed Freight Costs You Time and Money
- When your customer or vendor is routing your freight, they are adding the cost of the freight to the total product. Often this is a set amount that doesn’t correspond to the real transportation cost. The carrier rate is baked into the cost, so you have no way of knowing the actual cost.
- When your customer or vendor routes your freight, you have no control over the shipment. This lack of control puts you at a disadvantage. For example, carriers show up when your customer tells them to–not when it’s advantageous for you because the carrier isn’t working for you.
- When your customer routes your freight, you might be working with unsafe carriers. You do not know if the carrier your customer hired passed inspection. You do not know how many times a carrier was put out of service or how many violations they have committed.
Why working with a 3PL (third party logistics) like AM Transport saves you money and time.
- When you work with AM Transport, you have the opportunity to work with our reliable and consistent core carrier base. We vet the carriers so you don’t have to. We negotiate the contracts and we understand ever-changing government regulations. Working with a 3PL moves you one step further away from the risk associated with the transportation of freight.
- AM Transport has the capabilities to do a cost analysis for your lanes. That means we’ll ensure you’re getting the best rate and the best service. Too often, your customer or vendor will rate shop for the lowest rate, and you receive poor communication, dropped loads, and service failures.
- The team at a 3PL like AM Transport Services, works for you and keeps your customers happy. We make appointments, track shipments, notify customers of delivery, pay carriers and invoice customers. We have been in the transportation industry for 30 years, and we know what we’re doing.
- In logistics communication is key. When you work with AM Transport Services, you gain the full power of our customer service team, available 24/7/365 days a year. We answer our own phones, so you’ll never be put on hold or have to punch your way through a phone system. And our integrated technology and online portal means that information is always at your fingertips.
Are your customers or vendors really routing your freight?
If so, you should give the folks at AM Transport Services a call. We offer a variety of solutions for every transportation need or problem. We are a full-service 3PL, offering freight management, great technology, consistent truck capacity and stellar customer service. Don’t spend more money and time than you have to. Give us a call today.