At present, the industry of logistics management or freight forwarding seems to be in a few perils due to prevailing trends in the international trade. If it wishes to stay afloat and remain attractive amongst importers and exporters, the field must take substantial steps towards addressing the challenges that have surfaced in the recent times, such as the need to slash service charges in order to be competitive, evolving base of customers, etc.
Fortunately, there are certain imperatives that freight forwarding services can use for combating the current issues, and they have been described below in detail:
Capitalising On The Size
This is one of the most important steps, for reasons that are quite obvious. In general, larger logistics management businesses get much better rates from the carriers, can make advance booking of capacity, and are even provided with preferential treatment. In addition to these, size dilutes the fixed costs, since carrier management becomes scalable, and that too with customer service at times.
Customs Clearance Along With Shipping Solutions
There are quite a good number of shipping companies in Sheffield and other parts of UK bundling customs clearance with their regular freight forwarding services. Not only does it increase the chances of customers partnering with such a company more than once, but shippers also feel less worried about forwarding fee. Besides, the service provider gets a chance to know more about transportation needs & international flows of the shipper. This, in turn, can lead to opening up of extra business opportunities.
Development of IT Capabilities
There are certain freight forwarders who lack sophisticated IT capabilities or do not have well-run IT links connecting them with logistics providers. Rather than welcoming external aid to manage their operations, forwarders can utilise IT for distinguishing their offerings from that of their competitors.
Focusing On Being Sales & Customer Oriented
Normally, freight forwarders that have the best reputation in the industry are followers of a sales and customer oriented culture, since it is a fantastic way to secure as well a increase relations with suppliers. In order to adopt this culture, rising freight forwarders must provide clients a single point of contact and also be quick in resolving minor to major issues.
Thus, in order to overcome the trending difficulties, it is important for the whole freight forwarding industry to opt for the abovementioned measures.