E-commerce is experiencing unprecedented growth, both in the United States and around the globe. Giants like Amazon, Alibaba, and Walmart are fiercely competing to provide fast and efficient services that not only meet but exceed the expectations of online shoppers.
Drayage acts as the critical link between ocean carriers and e-commerce fulfillment centers.
As the demand for drayage services continues to surge, there’s a significant opportunity for carriers to capitalize on this trend. However, given the time-sensitive nature of e-commerce, it’s crucial to be prepared if you get the green light!
Key Considerations for Drayage Carriers Entering the E-Commerce Space
Real-Time GPS Tracking
Think of the drayage carrier as the lead runner in a relay race, where your performance influences the team’s success. Fulfillment centers expect carriers to have reliable GPS tracking systems in place, which not only fosters trust but also enhances customer service and improves outcomes. Real-time visibility is essential for monitoring the status and location of containers at all times. When choosing a GPS tracking solution, look for features like end-user visibility, analytics for forecasting potential delays, and seamless integration with your Transportation Management System (TMS). Here are some GPS tracking options to consider:
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Project44
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FourKites
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Transporeon
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Fleet Complete
Route Optimization Software
Depending on the size of your fleet and delivery territory, route optimization software can lead to significant savings in time and fuel costs. Not only does this improve efficiency, but it also reduces carbon emissions, enhancing your sustainability efforts. Consider these route optimization tools:
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Route4ME
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OptimoRoute
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Verizon Connect
EDI (Electronic Data Interchange)
Let’s face it, many small carriers still cling to outdated paper processes instead of embracing modern online systems. Incorporating a solid EDI system is essential for achieving operational efficiencies, cost savings, and stronger relationships with e-commerce fulfillment centers or other logistics partners. EDI facilitates the automated transfer of information such as purchase orders, invoices, and shipment notices. When working with e-commerce providers, consider these EDI solutions:
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SPS Commerce
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TrueCommerce
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Clearinghouse EDI
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IBM Sterling
Adapting Equipment Offerings
E-commerce shipments vary widely in size, from small electronics to oversized furniture. For instance, during the COVID-19 pandemic, furniture became the top import at the Port of Miami, a trend that persists today. As more consumers are getting comfortable purchasing larger items like furniture online, drayage carriers should consider expanding their capabilities to handle oversized or overweight cargo. Without a doubt, this added flexibility will make your services more appealing to e-commerce fulfillment centers.
Conclusion
As the e-commerce landscape continues to evolve, drayage carriers have a unique opportunity to thrive by embracing technology and adapting their services. By investing in the right tools and remaining flexible, you can position your business for success in this fast-paced industry.
As you continue to implement technological advancements, if you aren’t already, consider sending daily personalized updates to your customers. Everyone appreciates that human touch, and a simple email each day providing the status of their containers can alleviate anxiety and strengthen relationships.
There is no question, that standards set by e-commerce providers will create a ripple effect, compelling drayage carriers to enhance their business systems and strengthen their operations.
About the Author:
Derick McQuaide is a Business Development Executive for Accurate Trailers, a South Florida-based drayage carrier.
