Importance of On-Demand Trucking and Shipping in Freight


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On-demand trucking is the process of finding capacity for “on-demand” shipments rather than through pre-negotiated contracts. For example, when a shopper takes advantage of a load matching platform to find out rates, it is known as On-demand freight. This type of trucking helps carriers fill empty miles, and shippers find the truck they want when their regular lanes aren’t enough.

The transportation market is increasingly pushing technology-advanced options for moving products, goods, and people to keep up with demand. Consumers are accustomed to free one-day shipping and detailed tracking information to follow each step of their package.

These expectations are becoming increasingly difficult to achieve as COVID-19 disrupts supply chains worldwide. Businesses struggle to adapt to new rules and regulations, shipping delays, and material shortages. Consumers are stocking up on essential products like toilet paper, hand sanitizer, and flour, making it difficult for stores to stock their shelves.

Any business that wants to meet these needs and navigate the pandemic’s changes needs to outperform its traditional operations. On-demand trucking is a viable solution to meet all these needs.

Trucking companies can use this to find additional products that need to be transported to the area to remove unneeded empty back holes and provide reliable coverage when businesses need it most. It’s a win for everyone involved!

What is driving the growth of trucking on demand?

It should not surprise that there is such a huge demand for on-demand trucking. Unpredictable market conditions, changing import/export levels, and new technologies all combine to accelerate the transition to on-demand trucking:

Market volatility

Trucking capacity/availability is severely restricted. In recent years, a shortage of trucks and drivers for hire and high freight demand has been accompanied by growing demand.

Electronic logging device (ELD)

Federally mandated ELDs closely monitor and supervise drivers to ensure they comply with hourly service (HOS) law, which can affect driver productivity.

Increase contract rates

Trucking rates continue to rise while capacity is tight, forcing shippers to move parts of their cargo to intermodal transport, or “rail.”

New trucking Apps

New on-demand trucking apps are coming into the market. Uber Freight’s app works like its ride-sharing service. Conway and Amazon both have apps that target freight on-demand and match trucking companies with shippers who need to move.

Rising interest rates

Higher rates mean higher costs to transport goods, so shippers are offered the best service by choosing their best transportation options.

How does on-demand trucking work?

The future of on-demand trucking service apps is bright for freight and transportation management and load matching:

Offers a wide network of real-time carriers

These were not the old days when you had to contract with carriers to lock capacity for each of your months or years ago. On-demand trucking applications and spot markets allow shoppers to connect with thousands of independent “owner-operator” drivers with empty truck space to sell in real-time to cover last-minute or unusual loads.

Take advantage of technology to handle settlements

Real-time freight visibility is important, but driver certification and ensuring timely, accurate freight pickup and delivery and disposal processes are equally important.

Having a Transportation Management System (TMS) connects directly to the asset (driver) through a platform that provides access to drivers and ensures driver certification and compliance, as well as manages settlement through payment configurations like Uber. Ways to make your business easier and more streamlined.

Focuses on achieving general or “specific” capabilities depending on the transaction

Unlike dealing with larger, asset-based carriers, the Uberization of freight means that shippers can connect with drivers who offer increased capacity and even special freight treatment—such as refrigeration-back- On the hole, which makes it a win-win for shippers and carriers.

Importance of on-demand trucking

Despite the constraints of traditional supply chain management, many technology stacks are changing how on-demand shipping and trucking operate in this industry:

Tracking on the go

Implementing latest trends into the delivery process enables you to track shipments in real-time. You can optimize the delivery route and customize the delivery schedule through the Courier application. It enhances the customer experience and improves the efficiency of your delivery processes.

Access to Data Analytics

You can use the data collected by your technology-based tools to make informed decisions. Real-time analytics can be used to gain insights and solve customer problems effectively. There is no need to rely too much on manual calculations to develop insights.

Smart Route Planning

Optimize the performance of your delivery team with logistics application-based route planning. You can manage the delivery by specifying the shortest and most efficient route. Agents save fuel costs by placing more orders in less time.

The current situation will also help you find the COVID-19 containment zones to keep your delivery agents safe and inform the customers in case of any delay in delivery.

Efficient Order Management

On-demand courier app development ensures that the platforms have an intuitive built-in interface. You can easily schedule pickups and monitor the delivery of your packages from a single dashboard. Efficiency also reduces the number of missing packages and courier thefts.

Benefits of an on-demand logistics app

Considering that today’s customers have become tech-savvy, it is not surprising that they want sophisticated features in every service. The logistics and courier industries are no exception!

To provide a fast, affordable and efficient delivery service, businesses can rely on-demand freight transportation applications and take advantage of the following benefits:


On-demand logistics is dynamic and facilitates its management through applications. Your customers can order, schedule, and track the delivery of products. They are stress-free when they know where their shipment is in real-time.

You can also coordinate with delivery agents and backend teams through the app, thus reducing friction and miscommunication. Having current delivery information can help you provide better customer service.


Streamlining your courier business operations through a dedicated application improves your ROI. Automation facilitates resource optimization and reduces the need for third-party integrations. You can deliver more in less time by improving the efficiency of your business.

Also, contrary to popular belief, the cost of developing an app is not as high as it seems. Consult a development company to understand the cost of the project better.

Advanced Security

Data security is of utmost importance to logistics companies and their customers. Robust on-demand applications provide a high level of security for all your data. You can breathe easy knowing that your sensitive information is adequately protected in the cloud.

Easier Supply Chain Management

Effective tracking process facilitates convenient communication between delivery persons and backend teams. Real-time information sharing helps streamline your supply chain operations.

Easy Warehouse Management

Optimized on-demand applications put warehouse management at your fingertips. You can keep stock of your inventory as per stock and demand. It helps you manage overhead costs and reduce unnecessary waste.

Effective Fleet Management

Real-time fleet tracking empowers all courier service providers to manage their vehicles properly. Backend teams can engage with the delivery person and drivers during the dispatch cycle until the delivery cycle.

24X7 Connectivity

The consistent connectivity allows you to coordinate with drivers for diversions, changes in weather conditions, short routes, and traffic jams. Logistics apps also alert you for preventive maintenance of your vehicles.

Final thoughts

Technology is constantly evolving, and the distance between shippers and truckers will get closer as the on-demand trucking marketplace becomes more connected. As the on-demand culture grows, the tendency to reach out to large brokers with high volumes is expected.

Shahid Mansuri
Shahid Mansuri co-founded Peerbits, one of the leading mobile app development company, in 2011. His visionary leadership and flamboyant management style has yield fruitful results for the company. He believes in sharing his strong knowledge base with leaned concentration on entrepreneurship and business. Being an avid nature lover, he likes to flaunt his pajamas on beach during the vacations.


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