Just as Uber has disrupted the taxi business, so are Convoy and Cargomatic disrupting the commercial trucking market. The days when you have to pay a dispatch and trucking service are officially numbered. Now you can find an independent trucker with some down time, hire him or her, and pass the savings on to yourself and your customers.
Based in Seattle, Convoy lets suppliers input their location, their cargo’s destination and its weight to the app, and then formulates a price based on its algorithms. Truckers use the app to find jobs that best fit their schedule and price point. Convoy is potentially a godsend—not just for companies shipping goods, but for smaller trucking companies who only have a small fleet of a few trucks. They no longer have to expend the same effort pounding pavement looking for clients. They can find them using their existing data plan for minimal data usage.
Another arrival on the connected trucking scene is Cargomatic, who recently raised $8 million to expand. Drivers who use Cargomatic and similar services are of course vetted. To sign up, drivers have to have a current commercial driver’s license and insurance coverage. The company also ensures truckers have the proper equipment to deliver the cargo.
Cutting out the middleman benefits both sides of the equation. The cost of shipping is reduced, and the percentage truckers can pocket is greater. What’s more, the app provides extra benefits for trucking companies, such as recording images of the cargo to reduce disputes when there are damage claims.
Both apps are only available in limited markets at this time. This was also true of Uber not so long ago though—and they’ve totally upended the taxi industry. No doubt it won’t be long before there’s several apps to choose from to easily find short and long-haul truckers at a nice price. If you’re a trucker, you’re going to be spending a lot less time sitting around waiting for work, and a lot more time delivering goods and earning cash.