What Is a Digital Freight Broker and Why Are Tech-Heavy Brokers Thriving?

One critical factor sets the modern freight broker apart from old-school brokers, and that is the use of mobile apps and online tools within the marketplace. Automated systems and tech-driven processes allow for faster and easier connections to shippers and drivers. Working with a digital freight broker can help improve shipping rates and profit margins. Brokers are among the most sought-after third-party personnel among shippers and carriers today. Brokers who embrace and utilize available technology and tools are thriving, especially in a market that is still adjusting and recovering from the past year of disruption and upheaval. 

Why Traditional Brokerage RFPs Waste Too Many Resources Dealing With Proposals and Bids

Freight brokers have a very close connection to shippers and carriers. For shippers, brokers work to offset the complexity of dealing with RPFs by locating drivers for their loads. For carriers, the broker can help find business leads to keep trucks full and drivers on the road. Traditional freight brokerages function by hiring individuals who then work to search RFP bids to match drivers to shipments manually. Such complexity takes time, and money, and resources, and man-hours. It ends up costing a lot and results in a great deal of waste. The digital freight broker approach of today turns this around. It takes advantage of real-time data, automated communications, extensive data analysis, unified platforms, and innovative technology to find more loads in less time and less waste.

Digital Freight Brokers Help Eliminate the Hassle With Digital Reporting and Connectivity Via Integrated Systems to Source Capacity With Less Effort

Fully connected and integrated systems make it easier for shippers and carriers to collaborate and take care of customer's needs with the integration of tools and dashboards. A digital freight broker's work process typically looks something like this: 

• A shipper needs to send out a load, but there are no available contracted drivers available, so they need to find someone to fill that need.
• The shipper accesses the freight broker's app, dashboard, or website and inputs all necessary details and specifics about the shipment. 
• The digital freight broker takes all that information and processes it automatically, using a unique algorithm to find nearby drivers with availability. 
• The digital platform then alerts the truck driver of the shipment, gives them all the details, and lets them accept or decline the order.
• With a match made between the shipper and driver, terms get virtually accepted, and the driver can start on the road and begin driving.

This process reduces wasted time and energy and helps fulfill more orders, improves freight matching, and keeps drivers on the road.

Tech-Heavy Brokers Immediately Scale Capacity to Boost Throughput and Keep Their Shippers Happy and to Maximize Profits

One primary concern for truck drivers today is figuring out what to do about return trip loads, which a digital freight broker can help with as well. Driving from Point A to Point B with a full load earns them money, but going back to Point A with an empty freight load leaves them spending money rather than making money. So, they find themselves forced to scramble to find whatever loads they can to fill their vehicle. Or, they end up delaying the trip home as they sift through postings and RFPs. This dramatically lowers the income for truckers and wastes a great deal of time. This is the kind of situation a digital freight broker can help to avoid. These tech-heavy brokers can quickly and easily scale capacity as needed to meet the needs of drivers and shippers alike to maximize profits for all involved parties.

Streamline Your RFPs With Digital Brokerages Tools

Digital freight brokers today are transforming the way shippers and carriers approach capacity procurement. They make it easier to review and accept bids and establish short-term and long-term contracts with drivers. Streamlining RFPs and bidding processes can provide a valuable advantage in today's competitive market where every order and every truckload matters. Take advantage of the tools and technology of the modern supply chain network by working with a digital freight broker today. Contact newtrul to find out more today.