Page 23: of Maritime Reporter Magazine (May 2019)

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INSIGHTS: LOGISTICS

Source: Freightos website, while logistics service providers can the next 20 years; but everything around how use the Freightos Marketplace as a sales chan- the industry manages them has started to change nel. Large providers are also happy to receive and needs to continue changing in a big way.” new orders from new shippers with a very low cost of sale, an easy quoting process and a low Expanding user base customer acquisition cost. Schreiber also added that as Freightos evolves, One bene? t of the system is that Freightos is a broader range of importers and exporters tend partnering with incumbent carriers, forwarders to use the system “The initial user base centered and shippers to bring digitization. around the long tail of smaller importers and “The bene? ts are lower cost, better transpar- exporters,” he said.” E-commerce stood out as ency and a superior modern customer experi- a key market, belaying a rapidly growing mar- ence,” said Schreiber. “Our independent re- ket of ? rst-time importers that were graduat- search shows that 86 percent of forwarders see ing from local sourcing to international sourc- technology as their biggest lever for growth ing and, with time, Freightos has expanded to – this is way above the other tactics they’ve signi? cantly larger volumes. While ease of use discussed in the past, such as mergers and ac- and education was a hallmark value for smaller quisitions. shippers, we now attract larger shippers who “Freightos has been talking about online now bene? t not only from a digital experience freight forwarding for years,” he added. “A but also from more aggressive pricing. The in- shipper should be able to get his/her freight troduction of CMA CGM’s secured capacity is quote automatically online, self-service, just a game-changer; reliability is often more im- like you can book a hotel online. And for years portant than pricing for larger importers and ex- it has been just talk; but today you now have porters and marrying public reviews with guar- several big logistics providers offering price anteed capacity and competitive pricing means quotes on major trade lanes on their websites. increased interest from top-tier companies, al-

This is a big change, all within the span of one beit centered on their spot shipment volume.

to two years, and proof the big players under- “A good digital platform is never complete,” stand the freight experience must be online. he continued. “For our roadmap, we’re guided “Containers probably won’t be changing in by the need to provide an exceptional customer www.marinelink.com 23

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