Freightera Posts 140% Profit Growth After Rival $1B Venture-Funded Convoy Ceases Operations
Digital Freight Startup Freightera Steadily Grows With Its Profitable, Sustainable Model, Low-Emission Shipping Options and Focus on Capital Efficiency While Industry Giants See Revenues and Profit Decline Sharply in 2023
VANCOUVER, British Columbia, November 14, 2023 (Newswire.com) - Freightera's core digital division just posted a YOY Q3 profit growth of 140%, following news that rival startup Convoy failed after raising over $1 billion in VC funds.
“We have a similar mission of digitizing freight, but a very different approach than Convoy," said Freightera co-founder and CEO Eric Beckwitt. “We have a win-win model where trucking companies set their own rates, and small to mid-sized businesses use our large inventory of fixed-cost rates to find the best price, and lowest emission option, for each unique shipping destination.”
Each trucking and rail carrier serve limited locations and contract with other companies to move freight to places they do not service. Freightera allows them to get more freight on the ideal lanes they prefer to run, especially where they have extra capacity returning and can offer superb rates. Business shippers use Freightera to check prices from hundreds of carriers at once. In more than 800 5-star reviews, shippers mention excellent service and prices much better than they can find elsewhere.
“We also have a unique approach to improving air quality and reducing CO2 emissions,” Beckwitt noted. “We believe in giving people options, not telling them what to do. We label each carrier with its net emissions reduction versus fleet averages and let each shipper decide what is important to them. Mostly it is price and timing of delivery, but because fuel cost is a major component of freight rates, and lower fuel consumption is associated with lower emissions, over 80% of the time, the lowest cost carrier is also a lower-emission option. Selecting mostly based on price, over 130 firms reduced net CO2e emissions 50%+ in the most recent year tracked just by using Freightera.”
2023 has been very difficult in the freight industry, with North America’s largest brokerage C.H. Robinson experiencing a 62% decline in earnings per share, 94-year-old Yellow Freight ceasing operations, and Convoy shutting down. Against this backdrop, Freightera’s approach continues to attract attention from shippers and carriers alike.
About Freightera
Starting in North America, Freightera is automating freight transportation, making shipping easy, accessible, and green. The Freightera platform allows businesses to search billions of fixed-cost, all-inclusive freight rates, find the best prices and lowest-emission transportation options, and instantly book freight online 24/7. Over 22,500 manufacturers, exporters, distributors, importers, wholesalers, and retailers in Canada and the USA use Freightera. Based in Vancouver, Freightera was British Columbia's third fastest-growing company in 2019, according to BIV.com. In 2020, Freightera won the Deloitte Technology Fast50 Award, placing #28 in Canada, and was ranked #80 (2020), #102 (2021), and #174 (2022) among Canada's Top Growing Companies in The Globe and Mail's Report on Business. See freightera.com.
Source: Freightera
