6 Points To Help You Compete In The Shipping And Freight Industry

The shipping and freight industry is one of the most profitable in the world. The revenue generated from just parcel shipping activities has amounted to 171 billion dollars globally. Moreover, these statistics are from 2020, the year of the pandemic – when public activities were at their lowest. Imagine the potential the freight and shipping industry has.

Though the shipping industry has so much money to offer, it also has constant competition in its midst. Of course, this is no exception. There is competition in every industry and sector. The shipping industry is no stranger to it, and such competition can bring your business down.

The famous biologist Charles Darwin proposed a theory on the Survival of the Fittest. According to this theory, only those who are the strongest and most equipped will survive. This theory is not only true for human life but also for all businesses. You have to appease all stakeholders and use various tactics to ensure your business stays afloat and also at the top of the food chain. For this purpose, tackling competition smartly and sustainably is of utmost importance.

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So, How Do You Tackle This Competition?

Your business plan should be unique and affordable. You can achieve this in a few ways. To make your business stand out in this industry, you should take into consideration the following factors:

  • Your Product
  • The Price
  • The Services you Offer
  • A USP (Unique Selling Point)
  • Your Reputation and PR
  • Relationship with clients

So, what is it about those factors that you most care about? We have discussed in detail the importance of each of them.

Apart from all these factors, If you have a bigger fleet in your business, you also have to make sure you are using best fuel cards to save money on fuel which can lower down the price of your service as well.

Additionally, what can you do to ensure each factor works in your favor? Don’t worry! We have got that covered as well.


Your business inherently revolves around your product. What do you plan on selling?

You will need a unique but flexible strategy for a product to make it stand out. It should be something that all stakeholders involved in shipment want. The shipping and freight industry is very diverse.

It has diverse demands and which is why your product should be unique. One of the reasons why big companies and businesses don’t survive is because they join the industry with no successful strategy. On the other hand, companies that are small but have flexible strategies and plans can quickly climb the ranks. Companies that adapt to the trends and bring new, feasible ideas always stay ahead of the rest in any industry.

The Price

The price can often make or break your business. It cannot be too expensive lest it is deemed overpriced or unaffordable. It cannot be far below the average cost, or it will be nuanced as cheap. So the price needs to be strategic and should mold itself following the times we live in. Transportation of goods through sea can be costly, but depending on bulk orders and deals, you can tackle that easily.

Thanks to revenue generation these days, taxes, and margins, cost cutting has become a popular activity. Your customer wants the shipping rates to be as cheap as possible, but for you to keep your business running, some profits also need to be generated. For this purpose, we recommend reducing the price to establish a name for your company.

Customers want value-for-money services. Sometimes, compromising on price also causes a compromise on quality. However, we recommend keeping up with quality protocols as they should be of utmost importance.


While your business model may be similar to others, what sets you apart in many cases is- customer service. While good customer service can help you create a loyal clientele, poor service can harm customer retention.

There are a lot of risks involved in any business, but in the shipment industry, the risk of damaging goods due to unforeseen circumstances is quite common. For example, if there is a storm, your client will need assurance for their job. A good customer service model will cater to that.

The pre-sales and post-sales services are the silent partners with a significant stake in your business.

As luxurious as it sounds, good quality customer services are a prerequisite to having a successful business. Your contact details should be easily accessible by the customer. The customer helpline should be available.

In today’s time, convenience is key to success. Your services should be convenient and easy to access. Companies tend to neglect the fact that their customer needs to be valued. Ensure that your customer services get good reviews- the customers are content with the services and are paying attention. Also, be aware your customers know about all the services you offers.

Additionally, offering values and discounts are an encouraging practice for your clients. Customers are always looking to maximize value at the lowest price. So, bring out enticing offers now and then to incentivize your customers.

Your USP- Unique Selling Point

As we discussed while talking about products, your product and service should be unique. The world changes a little more by the day, and businesses need to adapt and stay relevant.

You have to combine traditional services with modern technology to serve the needs of today. Your USP should not be too extravagant but something that customers would like to incorporate into their daily business lives. It should also have a comfortable pricing scheme.

  • Are you offering one-day delivery to your member clients?
  • Do bulk orders have a lesser shipping fee?
  • Do you offer centralized delivery services?
  • Do you get to customize deliveries for gifting?

Make sure you strategize well to promote your USP. As we discussed before, it must appease all the people involved in your business in some way or another.

Reputation And PR

Having a good reputation is as significant as having a business model. The first step towards this is learning and understanding the way your market works. Having a detailed understanding of the industry you work in will inevitably reflect in your business. This will help you gain credibility in the industry. You can create a good image through good quality service, timely deliveries, and good ratings for drivers and truckers. Make your marketing team strong.

We also recommend mastering one aspect of the business. Try specializing in a field of work. It will not only enhance your services but also help you build a brand image. We advise having a specific target audience and giving them the best services possible. For example, you can decide to cater to one mode of shipment and specialize in it. Displaying your reviews and success rates on your website is also a good idea.

Along with this, you must also show off your business. Use social media sites and print flyers and posters. Make sure people know what you are doing, what you have achieved, and what experience people have had with you. Share stories of your drivers and customers, their interactions, and their relationships. Prospective customers always watch out for reviews and success stories before choosing a brand.

Relationships With Clients

Maintaining excellent relationships with suppliers and clients is of utmost importance. Most businesses survive on the relationships that they create at the beginning. You must have good relationships with your seller, buyer, customer, and service provider. With a loyal clientele, your business will last for longer than conventional businesses. Imbibe this in your strategy.

So, how can you build a good relationship with your clients? This is quite simple. You must be real with them and tend to their needs. Do you have honest intentions of helping and not for the sake of money? That is what your customer wants to know. Of course, building these relationships is not easy. It can take years to do so. But once built, there is no going back. You have a loyal set of customers till your business is alive.

Final Words

Now that you know all the six points, you must understand- achieving these is not a piece of cake. Striving to achieve success will make your business more valuable and even tangible in a certain sense. People will only start choosing your company for deliveries once you gain their trust. The benefits that the customers enjoy will contribute to your success. You can also check this blog for resources on fleet management and trucking business.

Once you stand out, you can provide superior value services to your customers. You will also have a competitive advantage, and your brand value among shipping companies will grow tenfold. If you have any questions or tips you would like to share, feel free to discuss them in the comments.

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