The Path to Preferred Shipper Status
January 22, 2015 Transplace

The Path to Preferred Shipper Status

With capacity tightening and shippers finding it increasingly harder to secure freight, many are looking for ways to become a preferred shipper. In the past, shippers have had more leverage due to an abundance of capacity being available in the market, and carriers had to compromise – doing anything to get loads. But now, due to factors such as changes to industry regulations and the lack of available drivers causing a tightening of capacity, carriers are being more selective and strategic about what shippers they work with – even going so far as to giving shippers a scorecard. According to Ben Cubitt, senior vice president of engineering and consulting for Transplace, carriers are scoring shippers on a number of factors including:

  • Financial attractiveness
  • Fair accessorials
  • Profile of freight
  • Shipper treatment of carrier
  • Increased opportunities

In order to be a preferred shipper to carriers, shippers need to understand what drives carrier efficiency, what’s going to make the driver more efficient and ultimately, what’s going to make the network more efficient. Adds Ben, “There’s a shared responsibility to make the supply chain network more efficient and you can’t ignore the carrier.”

Check out the video below to hear what best practices Ben had to share on how to reach preferred shipper status.

Want to learn more? Take a peek at our infographic on the 4 key areas of focus for attaining preferred shipper status here or read about the 12 steps to become a shipper of choice here.

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