Cargo Company Improves Freight Rate Forecast Accuracy

About the Client

Besides operating its own fleet of 120+ trucks, the company provides freight rates forecasts to trucking, logistics and supply chain businesses across the US. Its long list of clients includes top-ranked freight brokers in the US, like Worldwide Express, Nolan Transportation Group, Millhouse Logistics and Landstar Express America.

The Problem

Accurately determining freight cost per unit is critical to the business success of the company and its clients.

To develop competitive requests for quotes (RFQ) and requests for pricing (RFP), the Ohio-based company has to improve how it validates addresses and identifies the fastest and most cost-effective routes from point A to point B. As the charge for transporting goods is directly proportional to the distance covered, the company relies on a distance matrix API to calculate travel times and distances for a set of origins and destinations.

However, the company was failing to accurately forecast rates and convert geographical coordinates into addresses due to imprecise outputs computed by its existing API provider. As a result of unreliable addresses, the company missed out on opportunities to scale its delivery operations.

After two years of operations and working with two mapping service providers, the company was dismayed to discover that not many platforms offer APIs tailored to trucking use cases.

That was until they evaluated NextBillion.ai’s Distance Matrix APIs.

Our Solution:

With NextBillion.ai’s ability to customize its solutions for every business’s unique use cases, the company is now achieving what was previously assumed to be impossible.

Here’s how our Distance Matrix APIs are helping the company with highly accurate geocoded locations and freight rates forecasts:

• The company’s country-wide operations need scalable, real-time solutions with near-zero downtime. The large matrix size of NextBillion.ai’s Distance Matrix API efficiently delivers that at one-fifth of other mapping providers’ API prices. Our API can support a matrix of up to 5000*5000 origins and destinations, as opposed to the standard 25*25.
• NextBillion.ai is enabling the company to account for driver pit stops, toll booths, warehouse runs, speed limits, traffic conditions, road restrictions and other such custom attributes in its time and distance calculations.

The Outcome

By leveraging NextBillion.ai’s Distance Matrix APIs, the company has been able to add capabilities and generate optimized delivery routes for its large fleet of trucks, all while saving on operational costs. By enabling substantial cost savings, NextBillion.ai’s solutions have been instrumental in helping the company achieve the level of scale and efficiency it had envisioned before the start of the partnership.