Competing With The Big Cargo Logistics Guns - How Small Firms Can Win

Many people think that cargo logistics is a field where only the big players can survive. Can a small, independent haulier really go up against the big multinationals with many connections, large networks, deep pockets and the ability to fields hundred or thousands of big trucks at the same time?

The simple answer is, in fact, yes. Cargo logistics, much like any other haulage-based requirement, is something that is becoming an area of great demand. And these days, it isn’t really limited to the big players and gigantic transport networks anymore. Here are a few ways to give the big guys some stiff competition.

Look like the big guys

What do the big guys have that people may think you don’t? Perception wise, when people are looking for a partner to handle freight for them, bigger businesses tend to be their first choice. This is because they are looking for stability, financial capacity, solid paperwork (including insurance) and, of course, experience handling their requirements. Getting around this is simple. Make sure you have all the necessary documentation and licenses in place so there is no difference. This is fairly straightforward and should include life insurance, proofs of inspection and the like.

Get accreditation with a bigger company

Many firms have an accreditation process for potential cargo logistics partners to handle their transport needs. Often, they will have a list of requirements, so go through these and make sure you acquire what is needed. When you’re done, you’ll definitely look like the big guys do, at least on paper! Another thing you can do is join a group or network that monitors and vets members ensuring that they keep to ethical, financial and operational standards. This way, you gain the clout of a multinational network, but keep your independence.

Maximize Your Advantages

It may not look it, but being small and independent does have its advantages over the big players in the industry. You can leverage these advantages if you play your cards right. Just what exactly are these advantages?

Size and speed. Your size and structure enable you to respond right away to fast, immediate and nonstandard jobs with specific requirements. This puts you at an advantage over the big networks that tend to be slower to get back to clients.

Structure. Your streamlined, simple and less rigid structure means you can easily adjust cargo logistics setups, depending on the requirements of the job. For instance, it is easier for an independent to use auxiliary services based on the specifications of client requirements. Being independent, there is more leeway to use the best routing and handling services for the job you deem most efficient, suitable and economical; in turn you can offer the best price.

Better service. The ability to provide personal, closer customer service in the course of your jobs is also one of your biggest advantages. You are able to build closer and stronger relationships with your customers– and the more happy customers you have, the better business goes.

Norman Dulwich is a correspondent for Haulage Exchange, the world's largest neutral trading hub and cargo logistics company for trading haulage work in the express freight industry. Over 2,500 transport exchange businesses are networked together through their website, trading jobs and capacity in a safe 'wholesale' environment.

Writer and Online Marketing Manager in London.