air freight vs expeditering
- Thread starter thebigD
- Start date
Expediting seems to be evolving to a point that any single or multi truck company that picks up and delivers freight of any kind, can call themselves expediters.
The company, that many in the trucking industry credit with developing the expedite concept in nationwide trucking, is Roberts Express. That company defined expediting as Door to Door, Exclusive Use, Time Critical freight transport. Their concept was so successful that many dozens of companies followed their business model and joined the rush for participation in a very lucrative section of trucking.
The Japanese practice of "Just-in-Time" vendor supply delivery helped that economy to minimize warehousing of raw materials. When that practice was adopted in the USofA, the established expedite companies reaped the benefits, particularly when need outpaced the supplies on hand.
So, what's the difference between expedite and air freight? There may be none. Many expedite companies specialize in rescuing freight from an air carrier because the customer can't wait for the scheduled delivery time. These might call themselves expediters because of their Door to Door, Exclusive Use, Time Critical freight transport service. Other trucking companies may serve one or more air freight carriers and deliver to one or more end users. These carriers might more appropriately be referred to as Pickup and Delivery (P&D) companies.
The company, that many in the trucking industry credit with developing the expedite concept in nationwide trucking, is Roberts Express. That company defined expediting as Door to Door, Exclusive Use, Time Critical freight transport. Their concept was so successful that many dozens of companies followed their business model and joined the rush for participation in a very lucrative section of trucking.
The Japanese practice of "Just-in-Time" vendor supply delivery helped that economy to minimize warehousing of raw materials. When that practice was adopted in the USofA, the established expedite companies reaped the benefits, particularly when need outpaced the supplies on hand.
So, what's the difference between expedite and air freight? There may be none. Many expedite companies specialize in rescuing freight from an air carrier because the customer can't wait for the scheduled delivery time. These might call themselves expediters because of their Door to Door, Exclusive Use, Time Critical freight transport service. Other trucking companies may serve one or more air freight carriers and deliver to one or more end users. These carriers might more appropriately be referred to as Pickup and Delivery (P&D) companies.
>Expediting seems to be evolving to a point that any single
>or multi truck company that picks up and delivers freight of
>any kind, can call themselves expediters.
I would suggest that the verb is not evolving but devolving. Trucking companies of all kinds have learned that "expedited" is a phrase that pays. Since no one has rights to the word, it is used by numerous companies to describe a variety of services.
From a customer's point of view, that is confusing. From a truck driver's point of view, it can be even more poblematic. Are you an expediter? Can you explain to your customers, family and friends exactly what that means?
For business planning purposes, it is important to know who you are and what you are doing in the industry. People who have well-defined businesses with clear goals tend to do better than those who drift from one opportunity to another, or even one load to another; without a clear understanding of what they are doing and why.
Terry defines expediting in a way that offers competitive advantage to expediters so defined. What we do is truly unique in the transportation industry. Our ability to instantly respond to a customer's need, dedicate the entire truck (van) to the load and provide fantastic customer service sets us above a whole bunch of others out there that would happily take the same customer's money.
We get the money because we are special. The more clearly we can communicate our expediting value proposition to our customers, the better positioned we will be in the marketplace.
>or multi truck company that picks up and delivers freight of
>any kind, can call themselves expediters.
I would suggest that the verb is not evolving but devolving. Trucking companies of all kinds have learned that "expedited" is a phrase that pays. Since no one has rights to the word, it is used by numerous companies to describe a variety of services.
From a customer's point of view, that is confusing. From a truck driver's point of view, it can be even more poblematic. Are you an expediter? Can you explain to your customers, family and friends exactly what that means?
For business planning purposes, it is important to know who you are and what you are doing in the industry. People who have well-defined businesses with clear goals tend to do better than those who drift from one opportunity to another, or even one load to another; without a clear understanding of what they are doing and why.
Terry defines expediting in a way that offers competitive advantage to expediters so defined. What we do is truly unique in the transportation industry. Our ability to instantly respond to a customer's need, dedicate the entire truck (van) to the load and provide fantastic customer service sets us above a whole bunch of others out there that would happily take the same customer's money.
We get the money because we are special. The more clearly we can communicate our expediting value proposition to our customers, the better positioned we will be in the marketplace.
greg334
Veteran Expediter
“I would suggest that the verb is not evolving but devolving. Trucking companies of all kinds have learned that "expedited" is a phrase that pays. Since no one has rights to the word, it is used by numerous companies to describe a variety of services.
No Phil I don’t agree for what it is worth, I think the word is ‘evolving’ is correct in the context of Terry’s statement. We are seeing a consistent evolving of the niche industry, even a blurring of the lines between traditional transportation and specialized transportation within some companies. By any title you want to call it, we are faced with the same thing not unlike the IT industry had with the influx of “MS FrontPage†web design ‘professionals’ who displaced people that were real programmers and solution providers. This industry is in flux, be it by external forces, i.e. shifting in the manufacturing base of the country or from the changes with companies positioning themselves to better leverage services to capture more revenue.
“From a customer's point of view, that is confusing. From a truck driver's point of view, it can be even more poblematic. Are you an expediter? Can you explain to your customers, family and friends exactly what that means?â€
Who really cares? I mean and not to be trite about it, but the customer looks at services to fulfill their needs, not titles or names. My neighbors don’t care what I do, they see the big FedEx truck parked in front of my house and see that brand, even though one of them is a FedEx CC customer and knows that FedEx works for his company.
“For business planning purposes, it is important to know who you are and what you are doing in the industry. People who have well-defined businesses with clear goals tend to do better than those who drift from one opportunity to another, or even one load to another; without a clear understanding of what they are doing and why.â€
Yes, it is important to know who you are and goals are important too but so is a realistic look at what you enter into. I mean that simple planning goes a lot farther than complex planning that some think that they have to do in order to succeed, as my accountant has always said if you are dumb enough to spend more time trying to figure out the industry you are in as such a low level player instead of actually making money you will pretty much fail – or in other words, don’t worry about what the trends of the industry and trends of the customer’s industries, worry about the things that you can control and let the company you work for worry about what they need to do to make money.
“Terry defines expediting in a way that offers competitive advantage to expediters so defined. What we do is truly unique in the transportation industry. Our ability to instantly respond to a customer's need, dedicate the entire truck (van) to the load and provide fantastic customer service sets us above a whole bunch of others out there that would happily take the same customer's money.â€
Yes but here is where the evolving takes place, more companies are looking at the business model of FedEx CC and adapting it to their business model. Many air expediters I ran into at Metro were the same as what I was doing, one shipment – one customer at a reduced rate. They too have the ability to respond to customers needs, but lack a network of trucks – operating locally or in some cases regionally.
What now sets us a part is not much, exclusive use, yea maybe but it has to do more with leveraging a brand like FedEx. For example I was a major customer the other day picking up a very big piece of metal – 8000 lb block of it. The guy who was in charged told me that he had to fight for FedEx to pick this up because another expediting company proposed shipping it at 40% less than what was quoted and the powers to be didn’t care who took it they looked at the bottom line. This guy fought for FedEx because of the reputation and knowing that we will not be messing around. Could this company take care of them just as well? Yep no issue with that but it was the brand that booked that shipment.
“We get the money because we are special. The more clearly we can communicate our expediting value proposition to our customers, the better positioned we will be in the marketplace.â€
Yes Phil, you are special. You have a very good presents when you arrive and the equipment that you can leverage for more opportunities as a solution provider.
No Phil I don’t agree for what it is worth, I think the word is ‘evolving’ is correct in the context of Terry’s statement. We are seeing a consistent evolving of the niche industry, even a blurring of the lines between traditional transportation and specialized transportation within some companies. By any title you want to call it, we are faced with the same thing not unlike the IT industry had with the influx of “MS FrontPage†web design ‘professionals’ who displaced people that were real programmers and solution providers. This industry is in flux, be it by external forces, i.e. shifting in the manufacturing base of the country or from the changes with companies positioning themselves to better leverage services to capture more revenue.
“From a customer's point of view, that is confusing. From a truck driver's point of view, it can be even more poblematic. Are you an expediter? Can you explain to your customers, family and friends exactly what that means?â€
Who really cares? I mean and not to be trite about it, but the customer looks at services to fulfill their needs, not titles or names. My neighbors don’t care what I do, they see the big FedEx truck parked in front of my house and see that brand, even though one of them is a FedEx CC customer and knows that FedEx works for his company.
“For business planning purposes, it is important to know who you are and what you are doing in the industry. People who have well-defined businesses with clear goals tend to do better than those who drift from one opportunity to another, or even one load to another; without a clear understanding of what they are doing and why.â€
Yes, it is important to know who you are and goals are important too but so is a realistic look at what you enter into. I mean that simple planning goes a lot farther than complex planning that some think that they have to do in order to succeed, as my accountant has always said if you are dumb enough to spend more time trying to figure out the industry you are in as such a low level player instead of actually making money you will pretty much fail – or in other words, don’t worry about what the trends of the industry and trends of the customer’s industries, worry about the things that you can control and let the company you work for worry about what they need to do to make money.
“Terry defines expediting in a way that offers competitive advantage to expediters so defined. What we do is truly unique in the transportation industry. Our ability to instantly respond to a customer's need, dedicate the entire truck (van) to the load and provide fantastic customer service sets us above a whole bunch of others out there that would happily take the same customer's money.â€
Yes but here is where the evolving takes place, more companies are looking at the business model of FedEx CC and adapting it to their business model. Many air expediters I ran into at Metro were the same as what I was doing, one shipment – one customer at a reduced rate. They too have the ability to respond to customers needs, but lack a network of trucks – operating locally or in some cases regionally.
What now sets us a part is not much, exclusive use, yea maybe but it has to do more with leveraging a brand like FedEx. For example I was a major customer the other day picking up a very big piece of metal – 8000 lb block of it. The guy who was in charged told me that he had to fight for FedEx to pick this up because another expediting company proposed shipping it at 40% less than what was quoted and the powers to be didn’t care who took it they looked at the bottom line. This guy fought for FedEx because of the reputation and knowing that we will not be messing around. Could this company take care of them just as well? Yep no issue with that but it was the brand that booked that shipment.
“We get the money because we are special. The more clearly we can communicate our expediting value proposition to our customers, the better positioned we will be in the marketplace.â€
Yes Phil, you are special. You have a very good presents when you arrive and the equipment that you can leverage for more opportunities as a solution provider.
Jefferson3000
Expert Expediter
Having been involved with the air freight side of the freight industry, I would say that the difference is, not all of air freight is expedited freight, but some of it is. In air freight, the expedited freight side is generally used by the terms EUV, or exclusive use vehicle. Sometimes the air freight folks still call them hotshots. Certainly expedited carriers will find freight forwarders as some of their clients.
As far as terms go, I find that "expedite" or "expedited" are terms that are being handled much more loosely these days. Part of this stems from companies attempting to assure that the freight will arrive on the customer's schedule and not the carrier's. Just look at the term "EXPRESS". That used to hold a similar connotation to expedite. How many carriers, with one truck or a fleet, have the word express in it? It is a constant claim to make that your company can get it there faster than the other guy, hence the name.
As for the original question of the difference in expedite versus time sensitive air freight, I would point out that, although you see Panther and others picking up at the airport, these trucks are primarily OTR in lifestyle, rather than an o/o serving a particular terminal day in and day out.
Drive Safe!
Jeff
Driver for 15 years
O/O for 13 years
OOIDA #829119
As far as terms go, I find that "expedite" or "expedited" are terms that are being handled much more loosely these days. Part of this stems from companies attempting to assure that the freight will arrive on the customer's schedule and not the carrier's. Just look at the term "EXPRESS". That used to hold a similar connotation to expedite. How many carriers, with one truck or a fleet, have the word express in it? It is a constant claim to make that your company can get it there faster than the other guy, hence the name.
As for the original question of the difference in expedite versus time sensitive air freight, I would point out that, although you see Panther and others picking up at the airport, these trucks are primarily OTR in lifestyle, rather than an o/o serving a particular terminal day in and day out.
Drive Safe!
Jeff
Driver for 15 years
O/O for 13 years
OOIDA #829119
Jeff's comment about carriers including Express or Expedite in their company name or as a division, prompted me to look thru a list of carriers that use words in their names that are synonomous with service that is faster than normal OTR or LTL transportation. Here is a list of words spotted in carrier names:
Asap, rocket, rapid, rush, on-time, Just-in-time, zip, turbo, speed, rushway, vital, instant, priority, lickety-split, direct, quick, critical, emergency, bolt, flash, velocity, fast.
Many carriers using those words are exclusively expedite carriers, some are P&D, others are OTR and/or LTL. As Greg pointed out, service is key to survival in trucking and the value added service provided by the true expedite carriers keeps the customer coming back with more business.
Asap, rocket, rapid, rush, on-time, Just-in-time, zip, turbo, speed, rushway, vital, instant, priority, lickety-split, direct, quick, critical, emergency, bolt, flash, velocity, fast.
Many carriers using those words are exclusively expedite carriers, some are P&D, others are OTR and/or LTL. As Greg pointed out, service is key to survival in trucking and the value added service provided by the true expedite carriers keeps the customer coming back with more business.
Come to think of it, we do air freight too but Diane and I have called it expediting. The air freight folks might take issue with our choice of words. The runs that pick up at an airport and deliver to a local terminal or consignee meet Terry's definition of expediting. Is it air freight too?
Example 1: FedEx Custom Critical Air Expedite division calls with a load offer. We go to the FedEx facility at Memphis where a fork lift brings us a container that just came off a plane. We deliver it to a FedEx Express facility nearby.
Example 2. FedEx Custom Critical Air Expedite calls wit a load offer. We go to a FedEx Express facility in Phoenix that has trucks backed up to it on one side and jet planes parked next to it on the other. We pick up a skid and deliver it to a local business a few miles away.
Example 3. Dispatched by FedEx Custom Critical White Glove Services, we pick up a piece of art work and courrier escorts (followed truck in limosines) on the north end of Las Vegas Blvd (the strip). We transported it a few miles to the Las Vegas airport, drove the truck onto a runway where a jet waited to receive it (photo below).
Is this air freight, expedited freight, or both?
The terms FedEx sometimes uses to describe what we do might be better. They say we are in the critical shipment business. Though, CriticalShipmentFreightTransport.com doesn't have quite the same ring to it as "EO" does it?
The more I think about this, the more "Critical Shipment" makes sense.
Example 1: FedEx Custom Critical Air Expedite division calls with a load offer. We go to the FedEx facility at Memphis where a fork lift brings us a container that just came off a plane. We deliver it to a FedEx Express facility nearby.
Example 2. FedEx Custom Critical Air Expedite calls wit a load offer. We go to a FedEx Express facility in Phoenix that has trucks backed up to it on one side and jet planes parked next to it on the other. We pick up a skid and deliver it to a local business a few miles away.
Example 3. Dispatched by FedEx Custom Critical White Glove Services, we pick up a piece of art work and courrier escorts (followed truck in limosines) on the north end of Las Vegas Blvd (the strip). We transported it a few miles to the Las Vegas airport, drove the truck onto a runway where a jet waited to receive it (photo below).
Is this air freight, expedited freight, or both?
The terms FedEx sometimes uses to describe what we do might be better. They say we are in the critical shipment business. Though, CriticalShipmentFreightTransport.com doesn't have quite the same ring to it as "EO" does it?
The more I think about this, the more "Critical Shipment" makes sense.
I believe the air freight line is very blurred. Critical shipments is probably the best wording. Pretty much why Panther bought Integres.
A large percentage of their business is critical air freight shipments and logistics.
Davekc
owner
22 years
PantherII
EO moderator
A large percentage of their business is critical air freight shipments and logistics.
Davekc
owner
22 years
PantherII
EO moderator
This is an interesting topic.
The Air Freight market has evolved over the last 25 years as much as anything.
There was a time when EMERY was the largest Air Freight carrier. They could serve Toronto (YYZ) directly so had (IIRC) three runs a day from Buffalo with tractor trailers.
FedEx made the biggest changes; the idea that you could ship your small package or envelope and have it delivered before 10:30 the next day was revolutionary!
Freight Forwarders offered a cheaper way to fly cargo by booking guaranteed space on Airlines and then preparing consolidations to make use of that space. They only moved it from Airport to Airport relying on local delivery companies to get it to the final consignee.
The difference between Expediting vs Air Freight vs Express Freight?
Expediting is exclusive use time sensitive with the time is chosen by the shipper/consignee combination. There are fewer external factors; air freighters fly on schedules and express LTL shipments move according to the trucking company's routes.
The biggest competitors for expediters that I see are truck load carriers. They are willing to work at lower rates than expeditors in many instances.
Really though; there is very little overlap.
FedEx sells as a package...moving a shipment on several modes as necessary to get it from point A to Point B.
The Air Freight market has evolved over the last 25 years as much as anything.
There was a time when EMERY was the largest Air Freight carrier. They could serve Toronto (YYZ) directly so had (IIRC) three runs a day from Buffalo with tractor trailers.
FedEx made the biggest changes; the idea that you could ship your small package or envelope and have it delivered before 10:30 the next day was revolutionary!
Freight Forwarders offered a cheaper way to fly cargo by booking guaranteed space on Airlines and then preparing consolidations to make use of that space. They only moved it from Airport to Airport relying on local delivery companies to get it to the final consignee.
The difference between Expediting vs Air Freight vs Express Freight?
Expediting is exclusive use time sensitive with the time is chosen by the shipper/consignee combination. There are fewer external factors; air freighters fly on schedules and express LTL shipments move according to the trucking company's routes.
The biggest competitors for expediters that I see are truck load carriers. They are willing to work at lower rates than expeditors in many instances.
Really though; there is very little overlap.
FedEx sells as a package...moving a shipment on several modes as necessary to get it from point A to Point B.
I think from a drivers stanpoint it's alot different,local air charter carriers are home most nights in expediting we pu at Kennedy Air port and Del in rural S.C it's a different lifestyle.I had a local driving job in Chicago and knew i was taking a pay cut when i started expediting,i enjoy the not knowing were i am gonna be the next day or day after that.
>The difference between Expediting vs Air Freight vs Express
>Freight?
>Expediting is exclusive use time sensitive with the time is
>chosen by the shipper/consignee combination. There are fewer
>external factors; air freighters fly on schedules and
>express LTL shipments move according to the trucking
>company's routes.
Those words: exclusive use, time sensitive, schedule set by customer, come up again and again when describing the kind of services drivers I call expediters provide.
What makes us unique is our willingness to sit around, sometimes for days at a time, waiting for an exclusive-use customer need to bubble up, and then to respond immediately to it. That takes patience many drivers do not have and capital many owner-operators are not willing to commit.
>Freight?
>Expediting is exclusive use time sensitive with the time is
>chosen by the shipper/consignee combination. There are fewer
>external factors; air freighters fly on schedules and
>express LTL shipments move according to the trucking
>company's routes.
Those words: exclusive use, time sensitive, schedule set by customer, come up again and again when describing the kind of services drivers I call expediters provide.
What makes us unique is our willingness to sit around, sometimes for days at a time, waiting for an exclusive-use customer need to bubble up, and then to respond immediately to it. That takes patience many drivers do not have and capital many owner-operators are not willing to commit.