Convoy, a nationwide digital freight network, today announced another first in the trucking industry: 100% automated brokering of loads to carriers, comprised of matching and pricing, on lanes in top freight markets including Atlanta, Boston, Dallas, and Los Angeles, among others. In February 2019, Convoy announced 100% automated load matching. With today’s milestone, the company has now achieved 100% automated load pricing, completing full automation of the brokering process.
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Traditional brokering process compared to Convoy’s 100% automated brokering (Graphic: Business Wire)
When matching a load to a truck, brokers and asset-based carriers manually negotiate the pricing for each load, typically via phone or email. This inefficient process takes hours to complete and contributes to higher prices for shippers as well as more hassle for drivers and carriers.
In contrast, Convoy’s digital freight network combines its dense network of carriers with the use of machine learning models to fully automate the process of matching and pricing a truck to a load, which can happen in minutes, not hours.
“100% automated brokering is a significant milestone that enables Convoy to operate more efficiently, leading to reduced costs for shippers and full trucks for carriers,” said Ziad Ismail, Convoy’s Chief Product Officer. “With automation reducing manual work, Convoy’s operations team can focus on establishing new markets and expanding our carrier base to meet our growing demand.”
AUTOMATION ACCELERATES THE MARKETPLACE FLYWHEEL
As freight volume increases across Convoy’s digital freight network, carriers get more load options, better routes, and fewer empty miles, allowing them to earn more. At the same time, as more carriers work with Convoy, capacity increases and costs decrease for shippers. Now, automated brokering accelerates this flywheel effect to further benefit both sides of the marketplace.
“This breakthrough on automated platform pricing by Convoy on high-density cargo lanes is significant and definitive towards achieving a future of truly automated touch-of-a-single-button-type brokering.” said Silpa Paul, Team Lead of Commercial Vehicle Research and Consulting at Frost and Sullivan. “Digital freight providers have been around for years but where they have struggled is precisely in automating pricing. Most have had to create a system of customer account executives with call support to actually complete the brokerage process. Thus, they have been operating more or less like traditional brokers.”
Since its founding in 2015, Convoy has developed and refined machine learning models to automate otherwise manual processes. This November, Convoy announced it has raised $400 million to accelerate the development of first-to-market products and technologies focused on improving efficiency in trucking. 100% automated brokering is the latest example of Convoy’s progress in this effort.
Convoy is the most efficient digital freight network. We connect carriers to shippers to move millions of truckloads, saving money for shippers, reducing hassle for carriers, and eliminating carbon waste for our planet. We use technology and data to solve problems of waste and inefficiency in the $800B trucking industry, which generates over 76M metric tons of wasted CO2 emissions from empty trucks. Shippers like Anheuser-Busch, CHEP, and Waiākea trust Convoy to lower costs, increase logistics efficiency, and achieve environmental sustainability targets. For more information, visit www.convoy.com.