How retailers with transport fleets can leverage backhauls to boost efficiency and revenue
The importance of optimizing capacity and tapping into backhauls is well-known among carriers, and there’s no reason why retailers with their own fleets can’t also benefit.
Several factors in recent years have driven significant advancements in capacity optimization within the road transport industry. Rising cost pressures, along with the need to enhance sustainability, have led carriers to do everything possible to keep their trucks fully loaded for as long as possible.
To achieve this, carriers are utilizing various digital tools to plan return routes and pick up backhaul loads on the truck’s journey back to base. This ensures the trucks generate income instead of running empty and, when such optimizations are implemented at scale, also benefits the environment as a whole.
Why capacity optimization is still an issue
While taking advantage of backloads is nothing new for fully established carriers, the issue of underutilized trucks remains widespread.
Why retailers should tap into backhauls
One area where trucks could arguably be used more efficiently is the retail sector, where many major players operate their own fleets. Often, retailer-owned trucks return empty after delivering goods to stores or cross-docks, leading to inefficiency and increased operational costs. At the same time, suppliers fail to use the retailer’s trucks for their outbound logistics, missing a chance to optimize transportation costs and reduce emissions.
Additionally, coordinating logistics between retailers, suppliers, and transportation fleets presents its own set of challenges. The complexity of these processes becomes even more apparent with the need for efficient scheduling and minimal delays.
The solution? Transform retailers’ fleets into carriers for their own suppliers
CargoON’s Retail & Trade unique approach to tackling these challenges is a solution that transforms retailers into logistics carriers for their suppliers. The digital platform allows suppliers to place transportation orders directly with the retail client. The retailer’s fleet, already returning to the logistics hub after deliveries, can then be utilized to pick up goods from these suppliers.
The system provides retailers with their own fleets the ability to effectively operate as carriers for their suppliers. This approach allows them to fully utilize their fleets on both outbound and return journeys.
Additionally, CargoON’s Dock Scheduler tool enhances efficiency by optimizing loading and unloading times at both supplier and retail client facilities. This reduces waiting times and keeps transportation schedules tight, further boosting overall operational efficiency.