The Role of Road Freight in Logistics Industry
Complete guidance to what is road freight, how much it costs, and how it complements other forms of freight transport.
European road freight accounts for over 75% of all freight transport within the continent. In the UK, national road freight is used to transport 89% of goods.
These statistics tell us that road freight services are a vital element of the shipping and global logistics industries. Consumers reap the benefits of road freight transport every day but perhaps aren’t sure how it all works.
If you’re starting a business that may require domestic or European road freight services, it’s important to know more about this type of freight transport.
Understanding the Role of Logistics Industry
The primary purpose of every type of business is to exchange goods and services for money. The logistics industry connects the path between these elements.
The term logistics is often used interchangeably with the supply chain, but that’s not entirely accurate. The logistics industry is one part of the overall supply chain and refers to the movement of goods from point A to B.
Transport and warehousing are the essential areas of logistics, although demand forecasting and inventory management are also covered.
Where Does Road Freight Fit In?
Since transporting goods is an essential component of the logistics industry, it’s necessary to talk about road freight services in that system.
But what is road freight transport, exactly? In essence, road freight transport includes moving cargo via a motorised vehicle from a loading place to an unloading place.
A lot of road freight is domestic, which means that cargo is transported between two places in the UK. But European road freight plays a vital role in the logistics industry and European economy.
Another crucial reason is that road freight is invaluable for the logistics industry, especially for international transport. When we talk about road freight transport outside the borders of the UK, the focus lies on shipping within Europe.
However, the bulk of international freight transport outside Europe is conducted via ocean carriers. This type of international freight shipping is cost-effective and safe but has some downsides. Namely, port congestion is a problem in many locations and is responsible for late shipments.
Road freight services are on standby to haul all the goods to their exact destinations to prevent massive crowding and many delays.
is in the logistics industry. Road freight experts know all the ins and out of the pickups and keep everything moving fast.
The same principle applies to road freight concerning air freight transport. For now, air freight services are mainly used for shipping seafood and other perishable goods. Once the aeroplane arrives at its destination, road freight services take over.
Understanding these processes gives you a better insight into how relevant road freight
How Can Road Freight Forwarders Help?
Whether you need to organise national road freight transport or move cargo internationally, freight forwarders can be of service. A well-established freight forwarder with a vast network of shipping partners should deliver excellent road freight forwarding services to clients.
Forwarders are intermediaries and experts that connect the business owner and shipping company since they all want the same result. When it comes to national or European road freight, that work includes finding the best rates, fastest connections, and most secure way for land transport.
It also involves documentation, a tracking system, and insurance. Hiring a freight forwarder for road transport is also beneficial when moving bulky items back and forth, which is typical for large-scale constriction projects.
However, a reliable freight forwarding company has plenty of experience moving freight internationally and strategically using road freight services. A forwarding agent will know exactly when to consolidate road freight with other types of transport to get the best results.
The Price of Road Freight Transport
As with any transportation service, the rates of moving cargo via land are constantly changing. The cost of petrol plays a significant role in road freight rates and the current situation in the global supply chain.
Plus, the supply and demand for specific types of road transport will affect the prices. Still, some guiding principles can help business owners estimate the cost of a particular shipment. Road freight rates are generally calculated per kilometre.
If you’re negotiating with a trucking company, you’ll ask them for their rates per kilometre. However, there are other considerations to keep in mind.
For example, if the shipment is expedited, that will surely cost more. Seasonal demands will have an impact, too, as well as local and international regulations. Finally, how much road freight transport will cost depends on whether the trailer was loaded fully or partially.
The Most Important Advantages of Road Freight Transport
The influence and importance of road freight in the logistics industry can’t be overstated. But let’s take an even closer look at its more practical, everyday benefits. Road freight is often the best choice for business owners as it doesn’t require as much capital as other forms of transportation.
Only with road freight transport can customers expect door-to-door service – a lifeline in the logistics industry.
Furthermore, road freight allows for service in rural areas, where sea and air freight don’t have a footing. For short distances, road freight will always be the best choice for convenience and affordability.
We should mention a few downsides of road freight, as no method of cargo transport is flawless. First, accidents and vehicle breakdowns happen, which is a problem on several levels. Hence, it’s important to keep the vehicles in good condition and adequately package the cargo.
Another problem is the vulnerability to weather changes. Land transport is less resilient than other types of freight shipping, as floods or snowstorms can slow down or altogether delay shipments.
Taking Advantage of Road Freight Services
Most businesses dealing with the exchange of goods will need road freight services at some point. Even the biggest companies in the country rely on road transport to deliver their products to retailers and their customers.
When we examine the logistics industry, it’s easy to see that road freight is indispensable. This is why it’s vital to consider all the potential innovations in road freight transport and freight forwarding services.
Experienced experts in the road freight industry understand that there’s always room for improvement and that our clients deserve the best.
We are here when you need us. Get in contact to see what we can do for youContact Us