What Is Freight Matching?
Carriers and brokers are the two things that will come to your mind when we talk about trucking industry. The role of the broker is to look for a freight and match that freight with trucks. After that the trucks will then carry the freight to destination. The process is simple enough. But, the real challenge in this process has always been connecting those individuals with the freight to those individuals with trucks who will carry it to the destination.
Before, brokers and carriers usually develop a one-on-one relationship with each other and made these relationships into a business network. With this kind of relationship, the brokers can make sure that they can rely on the carriers in their network to safely deliver the freight to its destination and on time. The carriers can also assure that they would get paid for doing their job. That is to say, these type of networks proved to be effective because they have trust with each other. Brokers and carriers first did business together in person, over the telephone and later by fax and e-mail. This method of doing business is effective but it takes lots of time, and especially money.
Then, here comes the Internet. Later on, almost all people use the Internet to get information, purchase and sell goods and services. You can save time by doing business online. Soon, the loadboards were created. Loadboards were Internet websites that let companies advertise their freight and trucks with the other people of the transportation community. Because of this, companies could rapidly increase their network and their businesses, at the same time, save more time and money.
Loadboards started becoming popular, but eventually, a number of negative issues arose. There were so many users connecting that it became very hard to determine exactly who the companies are dealing with. Brokers then began to worry about their freight not being delivered safely and on time. The carriers also worried that they might not receive the right pay for their job. People were not sure anymore if they were working with companies they could trust. The social media apps such as Twitter, Facebook, Instagram, and YouTube started letting people use the ability of the internet to connect with other people while maintaining the capacity to develop and grow trusted network of friends, colleagues, and business partners.
What happens if you combine both the powerful loadboard technology and integrate social media components? The outcome would be a system that let users create their own community built from trusted networks.
This led for the new Freight Matching Communities to emerge. Freight matching communities combines the ability of freight matching technology with the power of a social networking.
Like a group on LinkedIn or Facebook, users first post their excess freight and trucks within their exclusive trading community which they can set up using the carriers and brokers they know and relied on.
If the user did not end up finding a match in their private community, the posting will become available for the other members of the Community. If the posting still does not find a match, it will then become available to other users on their public Freight Matching loadboards.
Freight Matching Communities is the next thing of loadboard technology.