Top 10 Challenges for Freight Brokers in 2022

The logistics industry is developing so fast. While the number of businesses going online is increasing every day and with that there is an increased demand for freight brokers to help them with their transportation needs. In 2022, freight brokers and forwarders have to be ready to face number of challenges. Ten of the challenges are as follows:

• Fierce competition.

Everyone who has ever tried to find a freight broker knows for sure that the spectrum of available options is amazing. 

• The limited number of orders.

While the number of forwarders is huge, it becomes a real problem to grab an order. Moreover, nowadays many businesses shut down due to economic situations.  

• A lack of experienced drivers.

You may be surprised to get to know that it’s quite difficult to find a really good driver who knows the most optimal routes and is able to deliver goods intact.  

• A shift towards sustainable logistics.

Being eco-friendly is extra trendy today. No wonder, the logistics industry does everything possible to follow this trend and reduce the carbon footprint. At the moment, it’s a rather complicated task.  

• The implementation of innovative technologies.

The faster the orders are processed, the more satisfied clients will be. As a result, the chances to get new orders are higher. Innovative technologies are the best helpers of freight forwarders. They allow brokers to get rid of extra boring and repetitive tasks.  

• The necessity to cut transport costs.

Everyone wants to save money. No wonder, freight forwarding companies are trying to reduce transportation costs as much as possible. The main challenge the experts should face is the necessity to combine low prices with high quality. By the way, it’s possible only in a few cases. 

• The shift in the cargo type.

LTL deliveries are becoming more and more popular among entrepreneurs. Only a few large concerns keep on ordering huge transportations. 

• The use of intermodal transportation.

 It’s not a secret that sea transportation is considered to be one of the most outdated methods to transfer goods from place A to place B. Trucks are not always able to reach the needed destination on time. Intermodal transportation seems to be an ideal solution for a wide range of users. 

• Paperworks.

No one forwarding company is able to exist without overwhelming paperwork. There are lots of forms and documents that should be filled in and processed. Papers take lots of time. 

• Climate conditions.

This point seems to be so unusual but climate changes have a huge impact on logistics. There are copious rules and regulations that forbid drivers to drive when the air temperature is high. Thus, the delivery terms are to be longer and the customers are to be less satisfied. The same is true about various natural disasters. They are able to break deadlines. Both carriers and shippers bear the losses. 

So, 2022 is going to be a rather interesting but arduous period for both carriers and shippers. No wonder, it’s of prime importance to find your ideal logistics partners to savor the smooth functioning of your business no matter how large it is.