22 DC VELOCITY MAY 2018 www.dcvelocity.com
newsworthy
Uber Freight seeing rational
pricing in brokerage space,
unit’s head says
Uber Freight, the freight brokerage arm of ride-hailing firm
Uber Technologies Inc., is pricing its broker services compet-
itively and is not looking to undercut other brokers as many
thought it would do, according to the unit’s head.
Bill Driegert, director of the San Francisco-based unit, said
pricing in the brokerage market is currently “very competitive.”
Uber Freight is pricing its services in a “reasonable” manner
vis-à-vis the competition, Driegert said last month at the Home
Delivery World expo and conference in Atlanta. Driegert added
that he is “very pleased” with the way the unit’s rate structure is
evolving and how it is being received by the marketplace.
Since Uber announced its plans several years ago to create a
freight brokerage unit that would
digitally connect shippers, fleets,
and drivers without the need for
a traditional third-party broker,
some have raised concerns that the
unit would use its advanced tech-
nology to underprice most brokers.
After launching in Texas last
year, the unit is now operating
nationwide, Driegert said. Most
importantly, the unit won the seal
of approval of new CEO Dara
Khosrowshahi, who replaced
Travis Kalanick, Uber’s founder, last August during a period
of intense internal turmoil at the company. There were concerns that the development of a freight unit might be curtailed
or killed because it would be considered a distraction for
Khosrowshahi in light of the major cultural problems at Uber
and an IPO still lined up for 2019. However, the new CEO has
not only green-lighted the unit’s growth plans but has also
allowed it to operate “with a lot of autonomy,” Driegert said.
Driegert did not offer any new information on Uber’s work
in the autonomous truck space. In March, an autonomous
Uber vehicle hauled a load about 344 miles between two points
in Arizona before the load was transferred near the California
border to a traditional driver for the final leg to Southern
California. The vehicle was part of the fleet owned by autonomous truck startup Otto, which Uber acquired in 2016 and
whose name has since disappeared.
Driegert is trying to shed Uber Freight’s image as a digital
load-matching service and is focusing on creating a fuller experience for fleets and drivers. For example, the unit has a service
called “Take Me Home” designed to help drivers find loads that
return them to their home bases. The unit has introduced a line
of fuel cards with price discounts, and it is offering discounts
on equipment such as tires.
alliances
Direct sales company Immunotec has chosen
third-party logistics service provider Amware
Logistics to handle U.S. fulfillment for its
nutrition and skincare products. … Home
furnishings manufacturer Bassett Furniture
has contracted with fourth-party logistics
service provider American Global Logistics
to manage all aspects of Bassett’s supply
chain. … Truckload carrier Schneider has
expanded its partnership with Stay Metrics,
a provider of driver engagement, training,
and retention solutions. Under terms of the
agreement, Schneider will increase its use
of Stay Metrics’ driver survey services. …
Triple T Transport, a third-party logistics and
transportation management firm, has gone
live with Smart Capacity, a next-generation
freight-matching and carrier connectivity
platform from Trucker Tools. … FleetUp, a
provider of electronic logging devices (ELDs)
and hours-of-service (HOS) compliance solutions, has received FourKites’ ELD partner
network certification. … Watermelon shipper Melon 1 has expanded its partnership with supply chain solutions provider
CHEP to include on-site pallet storage and
international shipments using CHEP pallets. … Bonded Logistics has chosen 3Gtms
Inc.’s transportation management system
to support the growth and expansion of its
transportation division. … Plastic storage,
pet, and consumer products manufacturer
Iris USA Inc. has implemented QuestaWeb
Inc.’s Foreign Trade Zone software to help
manage its import and export operations. …
Skincare brand Rodan + Fields has partnered
with contract logistics specialist DHL Supply
Chain to manage inbound and outbound
logistics for all of the retailer’s U.S. customer orders. … Daimler Trucks North America
(DTNA) has teamed up with software developer Loadsmart to develop a customized
version of Loadsmart’s digital freight-matching platform. DTNA will use the new app to
expedite the process of matching its contracted freight carriers in the U.S. with the
company’s spot loads. … Avis Budget Group
has begun installing I.D. Systems Inc.’s unified telematics platform on vehicles in the
Avis car rental fleet in the U.S.
