Do you know who the “Shipper” is on Central Dispatch?
Are you wondering how brokers can exist on a site where carriers can connect directly with shippers?
When you walk into Wally’s World and head over to the produce department, you’ll notice Tyson, Perdue and the pack of chicken that has no name, just a label that reads Boneless Chicken Breast.
But before these brands made their way into your local Walmart, they were on a delivery truck. Before that truck, they were in a warehouse and prior to that, I would like to believe they were on a nice farm in the middle of Oklahoma somewhere, eating organic corn kernels.
So what’s the point in all this?
The very chicken or turkey you’re probably buying got there because a shipper sent it.
It’s no secret that everything in your home, office or classroom, has gotten there by truck. But what we don’t talk about is the person or company who shipped it in the first place. These are called shippers.
In freight brokering, shippers are people who ship the goods, whatever that might be for them. But when it comes to auto transport, it’s the same concept but just a slightly different meaning.
The other day I received this question from one of my loyal followers.
I’ve watched all of your videos and I understand the role of the Broker. I also went to www.centraldispatch.com and watched the simulation video, however, Central Dispatch is accessible to drivers as well as shippers, what makes a driver utilize a broker instead of getting loads directly from the shipper? Are brokers necessary to the driver in order to negotiate the transaction? I don’t understand because we are all looking at the same information yet there is still a demand for brokers?
It was an excellent question but part of it grew reasons for concern.
It’s nothing wrong with Michelle’s logic. In fact she’s not alone. I’ve had ReloAcademy students come to me with similar questions however until Michelle wrote me, I didn’t really give it a second thought.
I created a video a while back answering the question, Is Freight Broker Training Required For Auto Transport Brokers discussing the difference between freight brokers and auto transport brokers, as well as whether or not you should take Freight Broker Training versus taking some form of Auto Transport Broker Training.
To summarize, to become an auto transport broker you need to become a freight broker because after all an auto transport broker is a licensed freight broker.
However, running a freight broker business is completely different from running and auto transport broker business.
Without getting into the specifics, this difference includes how intricately we label certain terms and shippers is one of those.
But if you understand the definition of a shipper without getting in bed with one or another part of the transportation industry, you’ll get a better grasp on how Central Dispatch actually uses the term.
So let’s turn to my trusty friend, Mr. dictionary:
a person who ships goods or makes shipments.
Simply put, a shipper is anyone who ships goods.
With that in mind, I want you to watch this weeks episode of ReloGeek TV to find out the answers to the questions:
Who is the “Shipper” on Central Dispatch and How/Why Auto Transport Brokers and Carriers Can CoExist on That Platform?
I hope you found this video helpful. If you didn’t? Watch it again and then share it.
And if you did? Well you’re freaking awesome. Still share it.
But before you go, the key takeaway here is that as it pertains to Central Dispatch, auto transport brokers are ultimately the shippers because we are essentially shipping cars on behalf of our clients. So when you’re looking at Central and wondering how brokers exist when carriers can connect directly with the shippers, now you know why. Because what?
Auto Transport Brokers are the Shippers.
Have thoughts or comments to add? Leave them in the comments below.
Thanks for watching and I’ll see you on the next Episode of ReloGeek TV.