Exim Rate Inquiry Module
- Karthik
Introduction:
Shipsy’s Freight Rate Inquiry tool is designed to streamline freight rate procurement for both shippers and freight forwarders. This guide aims to provide comprehensive insight into the workings of our platform, empowering users to maximize efficiency and make informed decisions.
What is an Online Reverse Auction?
An online reverse auction is a procurement method where buyers (shippers) invite bids from multiple sellers (freight forwarders) for a particular service or product. Unlike traditional auctions where prices increase with each bid, in a reverse auction, prices typically decrease as sellers compete to offer the lowest bid to win the business. This competitive bidding process drives down costs and allows buyers to secure the best possible rates for their freight needs. The entire process is conducted through the Shipsy platform in a time bound manner as per the shipper’s discretion.
How Does the Process Work?
Shipsy facilitates the online reverse auction process in a user-friendly and transparent manner. Here's a step-by-step breakdown of how it works:
Posting a Rate Inquiry:
Shippers initiate the process by creating an Inquiry for procuring freight rates by posting detailed requirements on the Shipsy platform. This includes information such as origin, destination, cargo type, dimensions, weight, services required, timelines and any specific requirements or preferences.
Invitation to Freight Forwarders:
Once an Inquiry is created, shippers can invite their linked freight forwarders to bid on that inquiry. The system automatically notifies registered freight forwarders who are invited by the shipper to participate in the inquiry. Freight forwarders can log into their Shipsy account, view the inquiry details and participate in the auction by submitting their respective bids.
Submission of Bids:
Freight forwarders review the shipment details and submit their bids, including the offered price, transit time, service levels, and any additional terms or conditions. Shipsy platform ensures confidentiality by concealing the identities of competing bidders during the auction process.
Real-time Bidding:
The auction unfolds in real-time, allowing freight forwarders to adjust their bids based on the competition and their relative positioning. Shippers can monitor the bidding activity and track the progress of the auction through our intuitive interface.
Selection of Winning Bid:
At the end of the auction period, typically determined by the shipper, the winning bid is automatically selected based on predefined criteria such as price, service level, and reliability. The shipper has the option to accept or negotiate the winning bid further.
Confirmation and Booking:
Once the winning bid is accepted, the shipper and freight forwarder proceed to confirm the details and finalize the booking through our platform. Our system generates all necessary documentation, including contracts, invoices, and shipping labels, streamlining the entire process.
Benefits for Shippers:
Access to a large network of qualified freight forwarders.
Competitive pricing through transparent bidding process.
Enhanced efficiency and time savings in procurement.
Benefits for Freight Forwarders:
Opportunity to compete for business on a level playing field.
Visibility into market demand and pricing trends.
Streamlined communication and transaction process.
Conclusion:
The online reverse auction process revolutionizes freight rate procurement by harnessing the power of competition and technology. Our platform empowers both shippers and freight forwarders to achieve their goals more efficiently and cost-effectively. Should you have any further questions or require assistance, please don't hesitate to reach out to our support team.