Fleet Management News & Business Info | Commercial Carrier Journal
Issue link: http://read.dmtmag.com/i/625735
48 commercial carrier journal | january 2016 T he value of some businesses in the "sharing economy" is aston- ishing. Wikipedia defines this space as the peer-to-peer-based sharing of access to goods and services, coordinated through community-based online services. Airbnb, an online service that people use to reserve overnight lodging from others who rent out their homes and apartments, is worth more than $25 billion. Online ride sharing service Uber is worth more than $50 billion. Entrepreneurs and investors see similar opportunities to strike it rich by simpli- fying complex freight transactions. In the past year, a number of companies have created new online services that connect shippers and brokers with carriers to optimize freight transactions. While the idea of online load boards is nothing new, what is changing are the connectivity options and tools to simplify and accelerate decision-making for all parties involved. Here are five areas where changes are happening quickly. Online community Online load boards traditionally have not handled functions such as freight tracking and billing that happen after rates are negotiated. Some new online services can manage these transactions end to end. Omnitracs Sylectus has a protected load board called the Alliance network used primarily by expedited carriers. The load board is integrated with its Alliance Pro transportation management software system for carriers, allowing them to dispatch a "virtual fleet" from their peers as if they were their own assets. V3 Transportation, a Cleveland-based provider of expedited freight transporta- tion, has seen rapid growth by using Al- liance Pro. The company started in 2013 and grew its customer base by 47 percent in 2014 and its revenue by 73 percent. The 85-truck fleet is able to operate as a national carrier by tapping its own net- work of more than 200 partner carriers Five ways load boards have evolved into integrated online communities By aaron huff Brokers that have a technology advantage have a real value to shippers. – Abtin Hamidi, Cargo Chief co-founder