This commentary appeared in the print edition of the Jan. 6, 2020, Journal of Commerce Annual Review and Outlook.
Concerns over global and national commerce continue to cast a shadow of uncertainty for carriers. And if recent history is any indication, uncertainty will remain as we head into an election year. However, change brings opportunity for carriers to focus on delivering quality service, positioning their business for success. While some carriers will lower prices and ultimately choose to sacrifice quality, we see the positive impact in continuing to focus on service and meeting the ever-evolving needs of the customer in an on-demand economy, as opposed to focusing on macro-level issues over which carriers have little influence.
We are seeing rapid changes in customer expectations around freight visibility that will continue to impact how carriers invest in technology. Developing a platform where the customer can see the location of their shipments, when it will arrive, and when to expect potential delays will be critical to meeting customer expectations. In addition, providing this level of track-and-trace ability requires significant investment in technology throughout the shipping process. Supply chains and delivery windows are tightening, and the number of deliveries that require appointments will continue to grow — all of which increases the need for a dependable logistics partner.
Now that the ELD compliance mandate has passed, carriers will need to utilize this new technology to capture important analytics to help optimize the movement of its fleet. Carriers who take advantage of the benefits of ELDs will reduce costs in their operations and be able to pass the savings along to their customers.