Freight forwarding in transition – between platforms and margin pressure

A proven model under pressure

For decades, non-asset-based freight forwarders have played a vital role in European logistics. They  connected cargo with capacity, coordinated fragmented markets and created their margins without owning a single truck.

But that model is under pressure.

Platforms like Transporeon and Timocom make supply and demand visible to everyone. Clients compare rates with a click. What was once insider knowledge is now widely accessible. What used to be a competitive advantage - knowing who has capacity and where - is now visible on a screen, in real-time.

So where does that leave the traditional forwarder?

What still creates value – and what no longer makes you stand out?

This article explores which strenghts remain important – and where forwarders need to rethink their role to stay relevant.

What used to be a strength is now a standard – How the game has changed

It is obvious that the pure matchmaking between trucks and loads is no longer adding value. But in my view, many of the abilities that made forwarders successful are still relevant today.

·         Relationship Management

Trust matters. Especially in digital environments, clients value reliable contacts who take responsibility.

·         Operational Know-How

Being able to solve exceptions and problems are skills that platforms cannot replace.

·         Going the Extra-Mile

While digital platforms allocate what is available, they don’t go the extra mile. A forwarder may still pick up the phone and activate hidden capacity.

Are those abilities enough to earn a living with this business?

What makes the difference today

In an increasingly transparent and price-sensitive market, freight forwarders can no longer compete on access to trucks alone. What can forwarders do differently to outperform the market?

In my opinion there are several playfields, where companies can find their strenghts:

·         Reliable Quality

The price is visible. What´s not on a platform is how well you manage peaks, communicate deviations and how many shipments are delivered on time. In the platform economy we are in, quality counts even stronger.

·         Advisory competence

Shippers don´t just want capacity. They want guidance. A forwarder who can advise on modal mix, lane setup, carbon footprint or delivery promises becomes a partner – not just a supplier

·         Sustainability know-how

Many shippers are following a clear agenda to decrease their scope-3 emissions. Forwarders who offers alternative transport modes, low-emission technologies or cleaner fuels – and who can provide reliable emissions data - have a clear advantage. This competitive edge will grow even further as the cost for carbon continues to rise.

·         Digital competence

Today, a wide range of tools reduce inefficiencies and free up capacity for value adding tasks. Over the years, I’ve worked with various systems and solutions – some more advanced, others less. It’s clear to me that tools like visibility platforms or customer apps can eliminate repetitive work, simplify communication, and improve service. True value comes when technology supports people – not the other way around.

More than just moving freight

Negotiation skills and operational flexibility still matter – especially when it comes to securing capacity in volatile markets. But in a world of transparent pricing and automated matchmaking, they’re no longer enough to stand out.

Forwarders who want to stay relevant are the ones who:

• deliver quality over time,

• build trust by solving problems,

• support clients on their journey towards greener supply chains,

• work with digital tools that simplify operations – not complicate them

  
  

You don’t need to rethink everything – but maybe it’s time to rethink what your customers really value.

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