Ecommerce Retailers: Thinking of Integrating With Your 3PL? Read This.

In Wednesday’s blog, Logistics in 2016: The Year for Online Supply Chain Optimization, we talked about the constantly changing demands and challenges supply chains face and how industry technology evolves with them. We also explained the effect big-name technology companies like Amazon and Uber have on the logistics industry.

While phrases like disruptive technology and uberization glamorize the industry, it’s important to remember the “little guys” of logistics technology as well – most importantly, integration technology.  

3PLs are oftentimes referred to as change agents within their customers’ businesses. They must flex with the changing demands and challenges their customers face. This is especially true when it comes to integration technology. Although, with popularity among different platforms changing every year, and those platforms updating sometimes every month, it can be difficult for even logistics providers to keep up.

For example, when FreightCenter completed market research to determine which ecommerce platforms were most useful to its customers Magento, WooCommerce and GoDaddy were found to be the most popular. We developed SaaS-based options around those platforms which allowed our customers that used those platforms to easily integrate their ecommerce sites with our technology.

“Today is a whole different story. With platforms like Shopify, Volusion and Bigcommerce gaining in popularity, it has become difficult to determine which platforms we should devote our resources to,” says FreightCenter’s Senior Marketing Manager, Terese Kerrigan.

The popularity of platforms isn’t the only concern; however, keeping up with each platform’s updates is a battle within itself.

“The main issue we face is having the staff to dedicate towards keeping the ecommerce tools up to date,” says FreightCenter’s Software Support Specialist, Justin Raynor. “When an ecommerce platform releases an update, it can break our web-service connection string which can then prevent our clients from receiving rates.”

FreightCenter is one of the few logistics providers that has its own in-house software development team. Justin supports the team of six in determining necessary updates to FreightCenter’s integration software and is responsible for ensuring customers receive quality product. He’s the first point of contact for customers interested in integrating with our technology.

His number one tip for ecommerce retailers wanting to integrate with their 3PL’s technology?

“Do your research. Know exactly what product and services you require.” You can then take this information to your 3PL and they can help you decide which integration is most useful and whether or not they can support it.  

What ecommerce platforms do you use? Do you have experience integrating your platform with your 3PL’s technology? Share your thoughts.

A Chance to Learn from Transportation Industry Experts

A recap of Matthew Brosious’ experience at SMC3’s 2016 Jumpstart conference

Who are you and what is your role at FreightCenter?

My name is Matthew Brosious. I am the CEO and President of FreightCenter. I give directives to the company every day to make sure everyone is in line with our goals and give clear direction on growth.

Why did you choose to go to SMC3’s Jumpstart conference?

There was a lot of merit to it. I didn’t see the value of it at first, but of all the conferences I’ve been to this was one that got past all of the smoke and mirrors the most and just got to the point. Freight is a relationship based industry. If I didn’t believe it before it was definitely reinforced when I went there. SMC3 is a great way to meet the industry’s decision makers - get into their inner circle. Everybody who makes the decisions in the freight industry is at that conference.  At some of the other conferences like NASSTRAC you’ll get to see the presidents and their VPs, but they’re more along the lines of that of public relations – you know they’re there to smile and shake hands. But, at SMC3’s Jumpstart you’re getting the VP of Operations, the person who heads up pricing, the people  who decide if you’re going to work with this company or not. So it’s hands down the best conference to attend.

What was the focus of the SMC3’s Jumpstart Conference?

From SMC3’s perspective: they want to talk about the changing industry and the upcoming trends to prove that the industry is going forward. There’s always a level of intense motivation there, like a ‘hey, this is going to happen so you’re going to want to get together and understand these rules,’ kind of thing.

Can you explain what SMC3 does?

SMC3 is a third-party company and industry association.  Carriers submit their rates, transit times, service days and such to SMC3 and then the shippers and 3PLs, like us, can utilize that information so that we can better run our businesses. Without the ability to get that information it’s virtually impossible to work with carriers. Yes the carriers do have APIs that would allow us to go directly to the carrier for rates, so theoretically we could cut out SMC3. The problem is the APIs are not reliable.

So attending the conference helped you come to that realization then?

Yes, after talking to our carriers and competitors at the conference it’s obvious APIs are nowhere near advanced as they need to be and  it doesn’t look like they will get to where they need to be for at least a minimum of five years. I wanted to think that we could work directly with our carriers using APIs; however, for rating purposes it seems like working with a middle-man like SMC3 is the better option.

Can you explain how rating through an API differs from rating with a third-party like SMC3?

An API is a point-of-time rating. So, it’s like a real-time rate quote that changes as rates fluctuate. But, when you use SMC3 you build a contract to which a rate base gets get applied. That rate base is good for a determined amount of years and it’s all tracked. So, I could go back and compare and analyze how our freight prices are going up or down. With an API there’s no tracking of price changes and there’s no way to verify any discrepancies. More than anything SMC3 keeps everyone more honest.

We were all about the APIs. We were pushing for 100 percent API rating integration. After learning what I did at the conference I think for now we’ll just use the API for transit, tracking and images.

Were there any other realizations or things you learned from the conference?

I asked a competitor how he handled their customer complaints regarding billing adjustments and he was taken aback. His company almost never dealt with billing adjustments! That was because (1) they didn’t leave room for their customers to make those kinds of mistakes when booking the shipment and (2) any additional charges were communicated to the customer ahead of time.  Last year we acquired 171,000 new registered users but our repeatable shipments every month didn’t go up. This means that every time we brought on a repeatable customer, we lost a repeatable customer. It nets the same. Clearly, it came down to the procedure of how we’re handling the overall customer experience. Communication is the key.

Why do you think it’s important for business owners in the transportation industry to attend conferences like SMC3’s Jumpstart?

Foremost, without a doubt: knowledge is power. You need to plan ahead. And, how can you have a plan if you’re not caught up to speed on the industry?  Not only that, but you can’t separate yourself from your competitors if you have no idea what direction the industry is going in.

2012 Internet Retailer Convention and Exhibition in Chicago

   Come visit us at booth #741 and discover the best option for shipping freight.

We’re so eager to show off our 3PL software and freight transportation system at this year’s Internet Retailer Convention and Exhibition (IRCE). The event is being held in Chicago from June 5-8 and is the largest E-commerce exhibit in the world. Over 8,000 attendees are expected at the McCormick Place West, the largest conference center in the U.S.

Our Web-enabled freight software and services are available to business owners via our proprietary TMS and API technology, which when used in tandem or separately have simplified the way more than 600,000 accounts ship LTL and truckload freight. We’ve developed our transportation management software to enable online retailers and enterprises access to an extensive network of LTL and truckload freight carriers. For those who will be attending the show, we invite you to stop by booth #741 so we can show you how FreightCenter.com can save you time, increase efficiency and lower your transportation spend.

About IRCE 2012

This year marks the 8th annual IRCE show, which has significantly grown in size and reputation since 2005. A total of 570 e-retailers, including an astounding 90% of all U.S. e-commerce solution providers, will be exhibiting the latest Internet tools and trends. Some of this year’s 175 speakers include the CEOs of Wal-Mart, Barnes & Noble, and OKCupid. The special guest speaker will be Fareed Zakaria, the New York Times bestselling author, editor at large for Time magazine, and host of CNN’s “Fareed Zakaria GPS.”

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3PL Software Reduces Labor for Online Businesses

We have the answer to your shipping woes!

Web-based businesses look to 3PL software, like freight tools powered by FreightCenter.com, to cut costs and labor by developing freight shipping solutions that are easy for them to install and for their customers to use. At FreightCenter.com, we offer instant rate comparisons from multiple top carriers as well as a variety of LTL and truckload logistics services and 3PL business software.

While some companies may be familiar with the shipping industry, they may be unaware of the plethora of equipment options, accessorials and details that affect their transportation spend and reduce the efficiency of their operations. Factors such as weight, carrier-defined shipping zones, insurance rates and market conditions can contribute to potential hikes in the final shipping cost.

FreightCenter.com has an entire team comprised of logistics experts who know the ins and outs of shipping freight so we can help you navigate freight like you never have before.

While our e-commerce customers are generally interested in our API and carrier EDI services, we also offer a proprietary TMS(transportation management system) that manages specific freight requirements and handles rating, booking and billing. Users can manage their shipping account online, track the status of their shipment and review past orders. The software was developed in house, which makes it unique. Did you know that some 3PL software providers do not have complete control over IT? Simply better and smarter, the FreightCenter.com TMS is a leading freight management system on the market, complete with the ability to handle both LTL and truckload freight and leverage our best rates or import your own carrier contracts and discounts.

When a company needs to make heavy or oversized shipments, having a resource that expertly handles all of the rating, booking, scheduling, billing and settlement tasks can significantly reduce the amount of labor needed to run your business.

For most businesses, freight shipping is a requirement of doing business.  However, the hassles previously associated with the process are now unnecessary.FreightCenter.com has stayed ahead of the curve when it comes to 3PL software technology and customer service.  What does that mean for you? Less time spent managing freight and more time to deal with other important aspects of your business.