Guide · Freight cost
Freight cost reduction: eight levers, and how to prove each one worked.
Most freight savings are lost to habit: the same broker, no comparison, no record. These levers fix that.
- Bid every load to more than one vendor, with a closing time.
- Compare with the last rate paid on the lane, from the ERP.
- Mix contract and spot: contract for steady lanes, bidding for the rest.
- Fill trucks: better load factor lowers cost per tonne.
- Bid return trips together with the forward trip.
- Cut detention at your own gates and docks.
- Drop unreliable vendors: failures cost more than savings.
- Measure participation: one bidder is not a market.
How to prove savings
Savings are only credible against a baseline. Use the rate last paid on the same lane and vehicle type, or the contract rate, and report the difference per load and per month. The freight bid savings calculator does the arithmetic.
Related: freight cost per ton, spot vs contract rates.
How AutoBid does it
AutoBid sends each load, created by hand or synced from the ERP, to the truck owners and brokers you choose on WhatsApp. Bids come back on WhatsApp; reminders go out every 10 minutes as the closing time approaches; if nobody has bid, bidding extends by 30 minutes automatically. The desk awards from bids ranked from lowest, with each vendor’s win rate and status, and the winner is notified on WhatsApp. Bid vs actual, vendor performance and WhatsApp delivery cost are tracked on the same record.
Questions
How can a company reduce freight cost?
Bid loads to several vendors, compare with the last rate paid, mix contract and spot rates, fill trucks, bid return trips, cut detention and drop unreliable vendors.
How do I prove freight savings?
Compare each award with a baseline, such as the rate last paid on the same lane and vehicle type, and report the difference per load and per month.
See it on your own data. AutoBid sends every load to your owners and brokers on WhatsApp, ranks the bids and keeps each vendor’s record. Book a 30-minute working session with an engineer.