Technology and the Internet are changing trucking industry
The stunning success of companies like Amazon and Uber are changing the landscape in business and industry – and freight and logistics are no exception.
Companies that know how to maneuver the web and leverage online transactions can have a dramatic impact on how business is done.
One example is California-based Cargo Chief, a third party logistics company that has developed proprietary technology to deliver service to shippers needing to get matched with a carrier.
Cargo Chief boasts of access to more than a half-million trucks, 24/7 real time on-map tracking and an eye on safety and carrier insurance.
The company claims it has cracked the code in finding load capacity for shippers in need.
Last fall, the company received a $10 million infusion of capital from Walden Venture Capital, with additional investment by Hunt Technology Ventures and the GrowthX Fund.
“We have been very impressed with Cargo Chief’s progress, helping SMBs and Fortune 500 companies save hundreds of thousands in shipping costs,” said Matt Miller, managing director of Walden Venture Capital.
“Cargo Chief has brought game-changing technology to a transportation industry that really needs it,” said David Hunt, managing partner of Hunt Technology Ventures, L.P.
Cargo Chief’s proprietary carrier search behaves like Kayak.com, providing shippers the best capacity options for their loads, instantly. Once a load is picked up, the Cargo Locate service provides real-time, 24/7 on-map location tracking, with accurate updates on delivery status or any potential shipment issues. Before each Cargo Chief shipment is dispatched, the Cargo Safe service automatically verifies the carrier for safety rating and authority and then confirms the carrier’s cargo and accident insurance.
“This round of funding will accelerate the continued development of our intelligent platform and bolster our sales and marketing, while also supporting our new offices in the Midwest,” said Cargo Chief CEO Russell Jones. “We look forward to raising a final expansion round in first half of 2016.”
Jones’ shipping experiences as CEO of ClearVox Communications, an electronics manufacturer, helped shape the idea for Cargo Chief.
“We couldn’t shop freight buys without spending a significant amount of time. We were told on some days there were no trucks available when we knew there were, and most importantly, a truck would leave our warehouse in San Jose for Best Buy—our most visible customer—but we had no idea where the truck was or when it would get there. We started Cargo Chief to solve these problems,” said Jones.
Co-founder and Vice President Abtin Hamidi, who helped drive growth at both Echo Global Logistics and XPO Logistics, noticed a similar transportation opportunity.
“What drew me to Cargo Chief was the idea of bringing this innovative aggregation technology to the transportation industry, that could also provide significant tech-enabled service enhancement,” said Hamidi. “Cargo Chief was launched to crack the code on truck capacity.”
Headquartered in Mountain View—the heart of Silicon Valley—Cargo Chief recently expanded its offices to the Midwest in the West Loop neighborhood of Chicago and in Chesterfield, MO, a suburb of St. Louis.
The company is already making inroads. Recently Cargo Chief was named to the FL100+ list, a resource guide for the food and beverage industry.
Terrafina, an organic food manufacturer that markets chocolate, candies and nuts, works with Cargo Chief to find shipping capability, maintain consistent deliveries and improve customer service levels during even the busy holiday season.
“We ramp up orders and deliveries during the holidays like every other retailer, especially with our line of chocolate products,” said Terrafina Logistics Manager Sezgi Surozu. “Thanks to Cargo Chief—we have the peace of mind that our products will be out on trucks, on-time and in good hands to be delivered to all of our customers.”
By making loads available to their national network, Cargo Chief can source any shipment. Cargo Chief’s carrier search provides food shippers like Terrafina the best capacity options for their loads, instantly. Once the load is out on the road, Cargo Chief’s Cargo Locate service provides real-time, 24/7 on-map location tracking.
“Our recognition in the 2015 FL100+ is a validation of our patented technology, which empowers small and mid-sized carriers to compete for any load,” said Cargo Chief CEO Russell Jones. “Freshness is among the biggest success factors for the food and beverage industry and we provide our customers with the best possible shipping options to get products to shelves on time.”