The end of 2017 was a whirlwind for the transportation and logistics industry. Major hurricanes hit the United States shores shaking up routes and demand. The beginnings of driver shortages hit several companies, increasing capacity constraints across the country. Add to it the implementation of the ELD mandate and together it mixed for huge uncertainty for the trucking space. However, as 2018 kicks off freight demand continues to increase allowing private fleets and third-party logistics firms to be bullish. Rates are on the rise and major trucking companies are pushing rate hikes.
Even with this positive outlook, optimizing pricing for the right customer at the right time can be tricky. When demand is on your side, it’s even more imperative that transportation and logistics companies aren’t leaving money on the table. Successful trucking companies are able to price quickly, transparently, and optimally for their business. This can be harder to manage as volumes increase.
Some questions Transportation and Logistic providers need to be asking themselves:
- Am I competitively pricing my services without slowing down the process?
- Am I enabling my sales and pricing team with the right customer data?
- Are they able to quickly use that data to make better pricing decisions?
Many providers still rely on conventional methods of pricing, like spreadsheets or manual price lists, but in the modern commerce era, this approach simply is not enough. This is especially true in a bullish economy. To win against your competition, you have to price not only fast, but smarter. This means consistency across the process, better reporting, and successful price negotiations.
Recently, PROS published four best practices we’ve learned from conversations with our customers and industry experts. To learn more, you can check out our tip sheet, Pricing Strategy: Tips for Modern Commerce Companies.
About the AuthorMore Content by Zeke Ziliak