What exactly is shipping auction?

What exactly is shipping auction?


Shipping auction refers to the procedure of submitting requests to the proposals of potential carriers. Bidding has a big history and when truckers and shippers indulge in freight negotiation, it is a win-win for both the parties. A typical example is Shiply where shippers, shipping companies and truckers parley up in business, also where you can browse delivery work at the best rates to you.

Unluckily, shippers cannot solely solicit bids to their advantage or they may face backlash from truckers. Eventually auction permits truckers to understand their position in the market and to maintain a long-lasting trucker-shipper relation.

How does auction adds strategic value to truckers and shippers?

Auctioning can add great strategic value to the company of the shippers. As it includes re-entering bargains and working with more than one carrier option, it makes the shippers acknowledge the advantages of a more expanded carrier network.

Rather than concentrating majorly on individual segments, carriers can wholly expand their reach.

Also, healthy shipping auction practices help truckers to avoid the dangers of bankruptcy, given the legacy of carrier company in 2019, like the NEMF Bankruptcy, hence all shippers should work to enhance auctioning.

Shipping auction gives a fair chance to both shippers and truckers to find deals which are suitable as per their requirements and preferences. While on one hand, it helps the shippers to get the minimum cost for their shipment, it also helps the carriers to find work as per their preference, meeting their requirements.

Some of the best practices that allow auctioning to build strategic value are:

  1. Always be on the lookout for new shippers and carriers on board.
  2. Use filters to serve carriers better.
  3. Complete transparency between shippers and carriers
  4. Hold events to attract new shippers and carriers to the platform.

When should the shipper accept bids?

It is suggested to entertain bids which make the most sense for your shipment. You will be flooded with truckers offering their prices, but you should not just keep price in your mind. It is equally important to keep the duration of delivery in mind, distance the carrier will travel to reach you as well as the vehicle the trucker owns. Once you are well-aware of all these factors, you can make your decision and accept the bid.

Who all compete in the shipping auction process?

Right from fleet owners to truckers and owner operators, anyone can participate in the bidding procedure. No matter what vehicle size you own or what route you prefer, you can easily find a load for you. It means you don’t have to deadhead to your destination.

Of course, shippers will accept your bid depending on their preferences and requirements, but as a trucker, you can definitely bid. Make sure you price your bid competitively and keep bidding till the auction ends.

You can sign up on different load boards to participate in shipping auctions. Shiply is your one-stop solution to bid on different shippers according to your preferred route, area and region. You can participate in as many auctions you want and work flexibly as per your convenience. So just sign up here without any registration fee and avail all the benefits.

Posted in Law
Author Image
Mike John

Leave a Reply

Your email address will not be published. Required fields are marked *