New model for drop gives shippers scalable asset capacity, carriers ability to strategically grow their business
Transfix, a leading transportation solutions provider reshaping the future of freight through its digital platform and best-in-class carrier network, today announced it has surpassed 400% annual growth for the Transfix Drop freight business, as shippers capitalize on this reliable solution for sourcing flexible capacity in an unpredictable market.
With the introduction of Transfix Drop, the industry welcomed a superior, differentiated service model that ushered drop into the digital age. Historically, drop freight has been serviced primarily by dedicated fleets, large asset carriers, or regional mid-sized carriers, which are inefficient for shippers to manage and difficult to scale. Powered by proprietary data science capabilities, Transfix has created a first-of-its-kind, aggregated, national network of mid-sized carriers to provide high-quality asset capacity that leverages underutilized assets. Shippers now have a turnkey solution through Transfix that enables them to build custom, scalable drop programs with the added advantages of real-time visibility and actionable data insights. Carriers, in turn, can better utilize existing capacity to increase consistency and scale their business through Transfix’s network of leading shippers.
The nation’s top retail, e-commerce, and CPG brands already rely on Transfix’s extensive drop expertise, including Target, Unilever, Staples, BJs, and Wayfair. A testament to both Transfix’s superior approach to carrier quality, capacity matching, and commitment to service, the company has moved tens of thousands of drop loads in 2020 alone, with a 98%+ acceptance rate and 98% on-time delivery.
“Drop is a core component of nearly every major shipper’s supply chain. But despite its importance, brokers have historically struggled to create smart, scalable solutions that work for both shippers and carriers,” said Lily Shen, CEO, Transfix. “The right technology and team have allowed us to rapidly scale our live business with enterprise clients. Now, we’ve rewritten the drop playbook to fill a real market gap, providing shippers with the reliability of asset carriers and the flexibility and intelligence of tech-enabled logistics solutions.”
Key benefits of Transfix Drop include:
Wayfair turned to Transfix to improve on-time delivery for their customers while also eliminating the administrative overhead required to source, manage, and track hundreds of asset-based carriers. Transfix worked in partnership with Wayfair to understand the company’s operational needs and find unique transportation solutions tailored to their network, facility, and lane-level requirements, ultimately saving the business more than $500,000 in annual costs and freeing up two hours per day.
“Transfix has found a unique way to add value in our drop-heavy network. Independent trailer pools that utilized one-off power units were not reliable. As markets tightened, service dropped. On the other hand, Transfix’s carriers faithfully show up and deliver,” said Alex Whigham, Senior Manager, Carrier Performance Management & Strategy, Wayfair.
The exponential growth of Transfix Drop comes amidst a year of continued expansion for the company, following recent momentum that included the launch of its Core Carrier Program, a new novel software solution called Fleet Planner, and a strategic partnership with project44 that will bring new, innovative, joint solutions to market. This program represents just one more step forward in Transfix’s mission to deliver smarter, simple, sustainable solutions for shippers and carriers that redefine the future of freight.
About Transfix
Transfix is a leading transportation solutions provider whose digital brokerage capabilities and logistics software offerings are helping reshape the future of freight. The company combines deep industry expertise and a best in class carrier network with cutting edge technology. The result? Competitive pricing, superior service and reliability, and unmatched intelligence for optimizing the supply chain from start to finish. Today, the world’s most recognized brands rely on Transfix’s trusted carrier network, including six of the top ten retailers and five of the ten largest food and beverage brands in America. Transfix was named one of Forbes’ “Next Billion-Dollar Startups” and is headquartered in the heart of New York City. For more information, visit www.transfix.io.