First and Final Mile Solutions for Air and Ocean Freight Shipments

Shipco introduced their U.S. domestic product in 2014, which immediately became a value-added solution for customers who had voiced a need for first and final mile services as part of their less-than-containerload (LCL) and air freight transportation moves.

While Shipco provided door pick-ups and deliveries from Container Freight Station (CFS) locations in the U.S.A., the pricing was not available online. Starting in 2014, Shipco introduced Transportation Management System (TMS) technology so customers could instantly obtain less-than-truckload (LTL) pricing, regardless of the time zone in which they were working.

“Shipco’s unique pricing strategy compliments how LCL and air freight cargo is rated in the industry. LCL cargo is primarily rated based on a shipments’ measurement, whereas LTL pricing, is based on a shipments’ weight and freight classification. As Shipco bases its freight classification on a shipment’s density, it mitigates the risk of reclassification of LCL shipments,” explains Ryan Murphy, Vice President - U.S. Inland & E-Commerce at Shipco Transport.

The Role of Technology

In the digital age, technology serves as a driving force behind the evolution of first and final mile solutions. Advanced tracking systems and real-time communication platforms empower logistics providers to monitor shipments and proactively address any issues that may arise along the way.

Shipco currently can integrate their TMS with clients’ rate repositories and ERPs such as CargoWise One, as well operating systems developed internally by their clients. They utilize middleware provided by Chain IO which reduces the time to complete integrations and mitigates the resources required from their clients to complete the integration.

Shipco works with over 40 LTL carriers that have local, regional, and national coverage. They use a transportation management system (TMS) to identify the lowest-cost carrier with the best transit time to and from a CFS location or airport. The service is supported by customer service teams in Chicago, Los Angeles, and New York. Shipco’s coverage includes the lower 48 US States and Canada.

In addition to LTL service, Shipco has a brokerage desk that can provide pricing to their clients for shipments requiring a dedicated truck or specialized equipment.Overcoming Challenges

While first and final mile solutions offer numerous benefits, they are not without challenges. These challenges can be overcome by leveraging technology and implementing innovative strategies, ensuring the efficient flow of goods across domestic landscapes. One such solution Shipco offers is using drop trailers.

“Shipco understands driver detention is one of the most significant costs to our LTL carriers. Our strategy is to put more drop trailers in place at our primary CFS locations to mitigate the amount of time drivers are not on the road. We currently have a total of 13 drop trailers with regional carriers in Compton, Chicago, New York, and Miami,” details Murphy.
Tailored solutions are an integral aspect of how Shipco operates; while ensuring the smooth handling of shipments. “We understand that our client’s needs are ever-changing, just like the dynamic market we operate in. That's why Shipco makes it our mission to be a trusted partner, proactively delivering tailored solutions that keep pace with these evolving requirements,” says Nishi DeMond, General Manager, Domestic.

Looking Ahead

As the global economy continues to evolve, the importance of first and final mile solutions in domestic transportation is poised for unprecedented growth and advancement. In today’s rapidly changing landscape where the unexpected can happen at any point, having a stable partner to rely on becomes that much more vital.

Shipco’s team of domestic transportation experts are equipped with industry knowledge, tools and insights to provide not only solutions, but also strategic advantages so their clients remain ahead of shifting market dynamics.

Interested to know more? Contact Shipco’s experts at DomesticSales@shipco.com, or visit www.shipco.com.