Which do you prefer Traditional or Digital Freight Forwarders
7 factors that decide who is better: Traditional or Digital Freight?
When it comes to freight forwarding, shippers have the option to choose between traditional and digital freight forwarders. While both types of freight forwarders offer similar services, such as transportation and logistics, they differ in terms of how they operate and the technology they use. Here is a comparison of traditional and digital freight forwarders to help you decide which one is the best option for your business.
Traditional Freight :
Traditional freight has dominated the trade practice in the industry for a long time and has a wealth of experience in logistics and transportation. They offer a wide range of services, including Multimodal Transportation, Warehousing, Customs Clearance, and Insurance. They also have a wide network of contacts and relationships with shipping lines, airlines, and other logistics providers. They tend to work with a personal touch, long term corporate relationship, providing one-on-one customized solutions to their clients, which can be beneficial for shippers who prefer to work with a dedicated representative.
Digital Freight:
Digital freight, also known as online freight, is relatively new to the industry, but they are quickly gaining popularity due to its effective use of technology. They use digital platforms and automation to streamline and optimize the freight forwarding process. They offer real-time visibility, automated documentation, and other features that can help shippers to take decisions based upon data visible in real-time can manage their cargo more efficiently. They also can services and offer more flexibility and customization in terms of shipping options, which can be beneficial for shippers who need to move cargo quickly and efficiently.
When deciding between traditional and digital freight, it's important to consider the following factors:
Experience: Traditional Freight Forwarding Service Providers have a wealth of experience in logistics and transportation. If you prefer to work with an experienced provider, a traditional freight forwarder may be a better option.
Personal touch: Traditional freight forwarders tends to work with a personal touch, long-term business relationships, and providing one-on-one service to their clients, which can be beneficial for shippers who prefer to work with a dedicated representative.
Technology: Digital freight use digital platforms, process automation, and innovation to streamline and optimize the freight forwarding process. If you prefer to have the instant price, carrier availability, real-time visibility and automated documentation, a digital freight forwarder may be a better option.
Flexibility: Digital freight offers more flexibility in terms of shipping options and services. They can provide multiple carrier options and offer more flexibility in terms of choosing a preferred shipping mode, which can be beneficial for shippers who need to move cargo quickly and efficiently.
Cost: Digital freight may be more cost-effective than traditional freight forwarders, as they can automate many processes, reducing human intervention, which can lead to cost savings.
Data and analytics: Digital freight forwarders can provide access to data and analytics that can help shippers to make more informed and data-based decisions about their cargo. This can include information about transit times, shipping costs, and cargo volumes, insurance which can help shippers to optimize their logistics operations and improve their overall logistics setup.
In conclusion, both traditional and digital freight forwarders have their unique advantages and disadvantages. Traditional freight forwarders have a wealth of experience in logistics and transportation, and they tend to work with a business relationship. Digital freight forwarders, on the other hand, use digital platforms and automation and innovation to optimize the freight forwarding process, they offer real-time price, real-time visibility, automated documentation, and other features that can help shippers to manage their cargo more easily. Ultimately, the decision of which one to choose will depend on your specific business needs and preferences.