Are you a shipper who often finds yourself questioning whether or not to leverage the resources of a freight broker? Well, you’re not alone. Many shippers are unsure about the advantages of working with a freight broker, and the answer is never simple. It ultimately depends on several different factors. However, let me shed some light on what a freight broker does and how they can bring value to your shipping process.
First things first, a freight broker is a licensed individual or company that plays the role of a matchmaker between shippers and carriers. Their main objective is to help shippers find qualified carriers to haul their freight. They take charge of facilitating the movement of loads, handling communication between the carrier and shipper, and even tracking shipments. In short, they make the shipping process a whole lot easier for both parties involved.
Now, let’s address the elephant in the room. Yes, it’s true that truckload brokers need to make a profit off of the negotiated buy-sell spread. This refers to the difference between what the carrier charges and what the shipper pays to the broker. However, it’s important to note that good brokers actually add value to the transaction rather than detracting from it. The value they bring to the table must exceed their own margin, ensuring a win-win situation for everyone involved.
Despite this, brokers often receive a bad rap. However, there are four key benefits that shippers can expect when working with a truckload broker. Let’s dive deeper into them:
While working with a freight broker may not be essential for every shipper, it can certainly bring significant benefits to those who choose to leverage their services. The access to a vast network, negotiating power, enhanced efficiency, and risk mitigation are just a few of the advantages that shippers can expect when collaborating with a broker. So, the next time you find yourself pondering over whether or not to work with a freight broker, consider the potential value they can add to your shipping process.
Learn more about what makes Keller Logistics Group and its affiliates the best choice for your company’s 3PL logistics needs. Contact us to learn more about our services and request a no-obligation quote. Call 419-780-3767 or return our online contact form today.