What is the optimum number of freight forwarders for chemical exporters?
Chemical companies are big time exporters of full container loads(FCLs), roughly ranging from 50 containers to as high as 350 containers per month managing 40-60 trade lanes in a month. An individual freight forwarder in today's competitive world of shipping and rates can only be numero uno in 5, maybe 10 lanes. So such a company needs to deal with as many forwarders as possible which it is unable to do. Do you know why?
Let us take a specific example.
A chemical company, one of the leading giants of oleochemicals exporting 150 containers in a month with 45 trade lanes.
Before it started using GoComet, for every enquiry it had to pursue the forwarders on calls and mails for rates, which then had to be compiled, then compared, then negotiated and this whole loop was repeated until maximum cost saving and lowest freight was realised. Alas, this was not the case. It was sheer human labour at every round of negotiation, only so much could be achieved. The result was that profits of the company were limited as rates were compromised and not the best. This was a precarious situation to be in for the company.
What do you think happened next?
GoComet came to the rescue and pulled it out of its deep well of losses. There was a massive paradigm shift with the interactive platform replacing the age old manual process. The company started dealing with 80 freight forwarders for every single shipment, leaving no scope for compromise. All comparisons and negotiations became automated.
But could automation happen overnight?
The implementation of GoComet is very fast, owing to its simple and intuitive user interface. After 20 days from the start of the implementation, 96 % of the shipments were being processed on the GoComet platform. For the subsequent months 100% of the shipments were processed through GoComet.
Outcome came nice and easy.
The outcome was either the new forwarders made the old trusted forwarders more competitive or they repetitively out performed and got business. The end result for the company was that lowest freight was achieved and cost savings were maximised.
Some say GoComet does magic. Here's the secret.
The negotiation on GoComet is done through a reverse auction process which enabled the company to save an extra 3.36% (30.2 lac) #1 of their total freight in the last 2 quarters of the financial year 2017 - 2018 as compared to the first 2 quarters.
Are you stuck in such a scenario? Are you paying too much for your export freight? Are you using the optimum number of freight forwarders you ought be using? Try GoComet today and find out.
Today chemical exporters like VVF, Galaxy Surfactants, Navin Fluorine use GoComet. Well why wouldn't they? Money saved is money earned.
#1: Savings calculated as difference between freight rate from before and after using GoComet platform, after normalizing against Market benchmark from Shanghai Freight Index, World Container Index and Baltic Freight Index, Actual data obtained from customers
Gocomet is the world's best freight quote comparison platform. Our only job is to save your money. Our enterprise SaaS product is used by manufacturing companies to drive sharp reverse auctions bringing out the best possible end to end rates for international shipments.