THINGS YOU NEED TO KNOW ABOUT A FREIGHT FORWARDER AND FREIGHT CONSOLIDATION? | A FREIGHT CARGO TRACKING | A HONG KONG FREIGHT TRACKING COMPANY

Importing and exporting are key components of any business’ supply chain. The international business could present great opportunities for you and your company, but may also be disconcerting.  

What is a freight forwarder? 

If you have not heard of the phrase ‘freight forwarder’ before, you may be confused. Is it a logistics manager? A shipping firm? An import and export coordinator? A freight forwarder is none of these things but adopts the responsibility of all of them. 

Relying on an individual to uphold the paperwork, process and directive of international trade could result in an inefficient shipping system. However, working with a freight forwarding service that partake as an intermediary between shippers and transportation services, can be the key to a successful international business. Freight forwarders not only act as the in-between service when arranging for goods to be transported from one place to another but also can help with other related processes as expressed, such as preparing documents, negotiating booking and loading cargo. 

What about a DIGITAL freight forwarder? 

So, a freight forwarder but with robots? No, not robots, algorithms! In all seriousness, there aren’t many differences in terms of services, but the transparency of digital freight forwarding is the main difference.  

It is all about transparency nowadays. Traditional freight forwarders do their job well but not good enough, it can take DAYS for freight forwarders to get back to you with a quote. With the existence of digital freight forwarders, you can get your quote almost INSTANTLY. In fact, VICO Logistics allows users to request a quotation right on its front page, streamlining the quoting process allows shippers to minimize risk and time wasted on unnecessary waiting time.  

Another great benefit of digital freight forwarding is the ease of tracking shipments. The old ‘waiting for a customer representative to manually check every shipment for you’ time is gone now; you can easily do it by yourself. How? Just key in the shipment number then it will appear right in front of you.  

“So basically, everything’s the same, just digitized?” The answer to that is yes, but you have to realize the drastic difference digital freight forwarders can provide. Once again, traditional freight forwarders and digital freight forwarders provide similar service but traditional FFs are slower and unreliable. 

However, the main question is... 

Why do you need a freight forwarder? 

It is essential that you choose a freight forwarding company that can manage your domestic and international requirements efficiently in order to keep your supply chain needs to be met. A reputable freight forwarder will have characteristics such as large-scale coverage to an extensive number of destinations, relationships with a diverse number of carriers and international networks as well as the experience and knowledge to back this all up. It is important and beneficial to have someone familiar with such processes handling your shipping logistics for you. This can help to prevent delays, unnecessary fees and greatly streamline your supply chain process, helping to save your company time and money.  

It is also important to note the substantial benefits of using a freight forwarding business to help you decipher if it is the right decision for you and your company. One of the notable benefits is only having to deal with one person to manage your shipment, rather than multiple companies. This will not only save time but also prevent any possible mixups with documents and such information, this means you can have peace of mind knowing your supply chain can run as smoothly as possible.  

Additionally, paring the advantage of the freight forwarders' logistical knowledge and connections enables your business to expand to further regions and in turn grow financially as well as gain more traction. You can also be assured through the expertise and insight of the forwarder that any decision made is the best for your company, this can also ease apprehension with any risks or uncertainty that comes with transporting goods. Freight forwarding ensures that all your assets and related procedures are taken care of and in the best hands possible. 

>> VICO Logistics | An Indochina Freight Forwarder with more than 30 years of experience:

What is consolidation? 

As stated, freight forwarders offer many services within their roles. However, one of the most notable and cost-effective services a forwarder can offer is freight consolidation. Consolidation has become a standard practice for many shippers and allows opportunities for company-wide collaborations. It is the method of shipping multiple smaller shipments combined from different companies, likely heading to a similar destination, as one united shipment. Once the consolidated shipment has arrived at its destination, it is then deconsolidated - separated into corresponding packages and delivered appropriately. Freight consolidation is a useful tool for shippers, carriers, consumers and related businesses, it allows your company to earn a preferred rate and optimize your supply chain while saving time and reducing the cost of shipment.  

There are two types of cargo containers used for the process of consolidation, which help to accommodate varying shipment sizes and what your company needs are, Full Container Load also known as FCL and Less Than Container Load known as LCL. FCL is more cost effective when requiring shipment for bulk items and large volume products, whereas LCL allows your company to manage a smaller and more flexible product inventory when needing shipment for a lower number of assets.  

Read more of our insight at:  Freight Consolidation versus Pool Distribution? Which one can save more cost for your business?

Benefits of consolidation 

The benefits of freight consolidation are well worth the investment when it comes to today’s logistical demand of fast-paced shipment and the desire for such processes to be as low cost as possible, mixed with the developing desire from more and more companies to keep supply chain processes as sustainable as possible, it seems only fitting that the payoff for adding this step to your shipping mix far exceeds the effort to make use of it and there are several good reasons why. 

Amongst the many advantages of freight consolidation, cost savings is at the top of the list. As a business, keeping cost low is essential and using this method can help you save money in more ways than one. Freight shipping consolidation gives companies access to lower rates through combining smaller shipments into one larger one, this brings the cost down dramatically and helps businesses to save money over time. This process also enables shipping rates to be lowered by consolidating shipments to the same region, the companies give shippers access to bulk rates which they otherwise would not be able to have through traditional methods.  

Freight consolidation also reduces risks that are paired with shipping to quite a large extent, packing items closer together decreases the risk or movement and damage. Through reducing the number of shipments sent out, also helps to lower the opportunity for an accident to disrupt the delivery of an item.  

Overview 

With global trade becoming ever more complicated, working with a freight forwarder is a great way to save time and money in the long run and allows you to run your supply chain without having to manage the particularities of shipping and the related processes. The benefits of working with a freight forwarder greatly outweigh those in not using one, by using one you can be sure to add an experienced and knowledgeable team to your business - enabling you to grow profit, customers and recognition. Furthermore, using a forwarder enables you access to consolidation which is proven to be an incredibly useful tool for both shippers and carriers alike, the initial resources required to create a coherent program are far worth the long-term benefits, and will keep both consumer and company happy with both cost and speed as well as many other advantages.  

When deciding which freight forwarder to use to manage your logistical processes and demands it is, without doubt, a no brainer to choose VICO Logistics. 

VICO Logistics HK is now the leading logistics provider in Indochina. We offer a diverse range of services from air and sea transportation to all types of solutions, to garment and textile logistics problems. 

We specialize in providing integrated Logistics services & distribution, inventory configuration and postponement, cross-docking logistics solutions that are tailored to not just meet your requirements but going beyond our customers’ satisfaction.  

Moreover, we also offer services such as consolidation which as told can be undoubtedly one of the biggest advantages to your company and its supply chain.  
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We provide a tracing function by searching by your Container Number or Bill of Lading to track information of your cargo. This searching will lead you to Official Logistics Tracking page. https://www.vico.com.hk/cargo-tracking.

High-frequency schedule: Every day from Shanghai, Guangzhou, Shenzhen or Hong Kong

Transit time:

• Guangdong, China to Cambodia (5 days)
• Shanghai, China to North Vietnam (6 days)
• Guangdong, China to North Vietnam (4 days)
  
• Shanghai, China to Central Vietnam (6 days)
  
• Guangdong, China to Central Vietnam (4 days)
  
• Shenzhen, China to South Vietnam (4-7 days)
  
• Hong Kong, China to South Vietnam (4-7 days)
  
• Shanghai, China to Cambodia (7 days)

Read more news about Vietnam Logistics at: VLR VIetnam

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VICO LOGISTICS – Indochina Logistics Expert

​Premium member of Eurocham, JCtrans, Ziegler One, VLA, VCCI,... associations

Owned offices: Hong Kong (headquarter), China (Shenzhen, Shanghai), Vietnam (Ho Chi Minh, Da Nang, Hai Phong).

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