New Armstrong report addresses carrier/freight broker mix
While very fragmented, the market has fostered the rapid growth of many new entrepreneurial entrants such as Coyote Logistics, Echo Global, and TQL.
Transportation in the NewsUber sets its sights on long-haul trucking and brokerage markets Good news for West Coast ports SeaLand adds the Port of Hueneme to WCCA service Port of Oakland helping shippers during Hanjin crisis U.S.-NAFTA freight sees 10 percent annual decrease in July, reports BTS More Transportation News
Transportation ResourceTop 25 Freight Forwarders - Is democratized data the secret to a successful freight forwarder? With the advent of Cloud-based instant quotation and booking systems, some shippers may begin to question the utility of traditional freight forwarders. Indeed, there is potential to see an industry-wide decoupling between these “data-unified” freight forwarders and the less profitable “data-fragmented” players.
Ever-evolving logistics management business models have driven significant change in the Domestic Transportation Management (DTM)/Freight Brokerage landscape, says Evan Armstrong, president of Armstrong & Associates, Inc. (A&A). In a new report he notes that affordable IT, economic forces, and governmental regulation has transformed the industry.
“The marketplace looks a lot different today than the ‘one person, one phone’ days of the past,” he adds.
While very fragmented, the market has fostered the rapid growth of many new entrepreneurial entrants such as Coyote Logistics, Echo Global, and TQL. This report details the growth of specific DTM/Freight Brokerage operating models and winning business practices, discusses broker roles and compensation, explores customer and carrier relationships, typical gross margins, and highlights recent DTM mergers and acquisitions activity.
Perhaps the most important aspect of the report is that quantifies what is winning in an increasingly competitive market and what forces have driven change.
Included in the report is detail and commentary on recent M&A activity and A&A’s exclusive Top 100 DTM/Freight Broker list.
Logistics Management will be examining these trends in a feature for our November print edition: Managing the right carrier/freight broker mix
About the AuthorPatrick Burnson, Executive Editor Patrick Burnson is executive editor for Logistics Management and Supply Chain Management Review magazines and web sites. Patrick is a widely-published writer and editor who has spent most of his career covering international trade, global logistics, and supply chain management. He lives and works in San Francisco, providing readers with a Pacific Rim perspective on industry trends and forecasts. You can reach him directly at [email protected]
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