Technology trends in API quoting

So, how have you been tweaking your logistics and supply chain strategies since the whole COVID situation started to settle down? I’ve noticed a lot of companies really stepping up their game by integrating technology into their operations, especially when it comes to pricing and quoting. The use of API, along with RTR and spot market rating, is turning out to be pretty revolutionary for refining their strategies.

Let’s break it down a bit—what exactly is an API? It’s basically a way for different software systems to talk to each other. If you're in the business of enhancing visibility, modernizing operations, or just keen on adopting new tech capabilities more smoothly, then keep digging!

Post-COVID, it’s all about nurturing relationships, and APIs are at the heart of this. They help you connect with your customers and evolve right alongside their growing and changing tech needs.

In this somewhat sluggish market, it's the perfect time to strengthen bonds with your current partners or logistics providers and leverage technology to your advantage. The landscape is shifting fast, and even though you might not feel the need to keep up with every trend like the corporate "Joneses," you do want to make the most of what you’ve got and what you can invest in.

There’s still a bit of confusion out there about the differences between APIs, RTR, and spot rates. Here’s a real-world example to illustrate: Last year, we teamed up with a major player in the food and beverage sector to test out an API program, alongside four other 3PL providers. They wanted to streamline their processes and get real-time quotes, aiming to slash costs and optimize resource use. They had about 10,000-12,000 shipments annually, each under 12 loads, which weren’t a good fit for traditional bidding or the spot market—just too time-consuming for their load planners.

Enter our API pilot program. With it, they could pop shipment details into their TMS system and get back instant quotes from us and the other providers. It’s like how you search for the best airfares online; you enter your info and get a bunch of options in seconds. The load planner could then pick the provider that best matched their needs—not always the cheapest, but maybe the one offering the best service in a particular area.

This pilot ran for four months and has now become a regular part of their shipping operations. Despite a few initial hiccups, it was a success. You might think saving 15 seconds per load isn’t much, but when you’re dealing with thousands of loads a year, it adds up, freeing up loads of time for the planners to focus on other tasks.

So, what do you think?