Understanding the Waterfall Theory of Freight and how it impacts spot trucking rates

Dec 25, 2019 at 01:16 PM CST
Tenders are actual load requests, which is why they are far superior to any other indicator of health, demand, and capacity in the trucking and freight market. Tender indicators lead spot rate movement and by tracking them, you can start to forecast spot rates, capacity, and demand. Economists and analysts can use tenders to monitor the state of the economy and build forecasts for economic health and activity. Before we dive into how to use tender activity, we should define a few terms that will be useful in helping you grasp how to use these indicators in your business: Tender: An offer for a load. A tender is normally sent electronically through an EDI or API from a shipper to a carrier. The carrier is not obligated to accept the offer and can reject the offer through another electronic message off the carrier’s TMS. If the carrier accepts the load, the carrier is obligated to perform service on the load. If the carrier rejects the load, the carrier is refusing the offer from the shipper.

Dec 25, 2019 at 01:16 PM CST

Tenders are actual load requests, which is why they are far superior to any other indicator of health, demand, and capacity in the trucking and freight market. Tender indicators lead spot rate movement and by tracking them, you can start to forecast spot rates, capacity, and demand. Economists and analysts can use tenders to monitor the state of the economy and build forecasts for economic health and activity. Before we dive into how to use tender activity, we should define a few terms that will be useful in helping you grasp how to use these indicators in your business: Tender: An offer for a load. A tender is normally sent electronically through an EDI or API from a shipper to a carrier. The carrier is not obligated to accept the offer and can reject the offer through another electronic message off the carrier’s TMS. If the carrier accepts the load, the carrier is obligated to perform service on the load. If the carrier rejects the load, the carrier is refusing the offer from the shipper.