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freight quote
how does freight quote work

A freight quote is an estimate of the cost of shipping goods from one location to another. It is typically based on the following factors:

  1. Shipment origin and destination: The distance between the pickup and delivery location is a major factor in determining the freight quote. Longer distances typically result in higher quotes.
  2. Shipment weight and dimensions: The size and weight of the shipment also play a significant role in calculating the freight quote. Heavier and bulkier shipments will generally cost more to transport.
  3. Shipment type: The type of goods being shipped can also affect the freight quote. Hazardous materials, for example, may require special handling and packaging, which can increase the cost of transportation.
  4. Shipping mode: The mode of transportation, such as truckload, less-than-truckload (LTL), or air freight, also influences the freight quote. Truckload shipping is generally the most cost-effective option for large shipments, while LTL is better suited for smaller shipments. Air freight is the most expensive option but also the fastest.
  5. Fuel prices: Fluctuations in fuel prices can also impact freight quotes. When fuel prices are high, transportation costs tend to rise.
  6. Carrier availability: The availability of carriers in the desired shipping lane can also affect freight quotes. If there is a shortage of carriers, shippers may have to pay more to secure transportation.
  7. Delivery timeframe: If a shipper requires expedited delivery, they can expect to pay a higher freight quote.
  8. Additional services: Any additional services, such as liftgate service or insurance, will also add to the freight quote.

Shippers can obtain freight quotes from various sources, including:

  1. Freight brokers: Freight brokers act as intermediaries between shippers and carriers, negotiating rates and arranging transportation. They have access to a wide network of carriers and can often provide competitive quotes.
  2. Online freight quote platforms: Numerous online platforms allow shippers to compare quotes from multiple carriers. These platforms can be convenient for comparing rates and finding the best deal.
  3. Direct contact with carriers: Shippers can also contact carriers directly to request freight quotes. This may be a good option for shippers who have specific needs or relationships with particular carriers.

When comparing freight quotes, shippers should consider the following factors:

  1. Total cost: The overall cost of the shipment, including the freight quote and any additional fees, is an important consideration.
  2. Carrier reputation: The reputation of the carrier is also important to consider. Shippers should choose carriers with a proven track record of reliability and customer service.
  3. Delivery timeframe: Shippers should ensure that the carrier can meet their desired delivery timeframe.
  4. Additional services: Shippers should confirm that the carrier can provide any required additional services, such as liftgate service or insurance.

By carefully considering these factors, shippers can make informed decisions about their freight transportation needs and secure the best possible rates and service.

what is a freight spot quote
what is a freight spot quote

A freight spot quote is a one-time price that a shipper pays to move a load (or shipment) at current market pricing. Spot rates are typically higher than contract rates because they are for immediate or short-term transportation needs.

Spot rates are determined by a number of factors, including:

  • The availability of carriers
  • The demand for freight
  • The origin and destination of the shipment
  • The type of freight being shipped
  • The size and weight of the shipment

Spot quotes are typically obtained through a freight broker, who will negotiate with carriers on behalf of the shipper.

Here are some of the pros and cons of using spot quotes:

Pros:

  • Flexibility: Spot quotes can be obtained quickly and easily, which is ideal for shippers with urgent or unexpected transportation needs.
  • Competitive pricing: Spot rates can be lower than contract rates, especially when the market is in favor of shippers.

Cons:

  • Uncertainty: Spot rates can fluctuate significantly, which can make it difficult for shippers to budget for their transportation costs.
  • Limited control: Shippers have less control over the carrier they are assigned when using spot quotes.

Overall, spot quotes can be a valuable tool for shippers who need to move freight quickly and on a budget. However, it is important to be aware of the potential drawbacks of using spot quotes before making a decision.