Website Closers® presents an innovative, super high growth Cloud-Based Transportation AI Technology Platform that has developed a leading position providing optimization and collaboration services to the trucking and transportation industry, securing a growing number of long-term freight contracts.
Operating within the massive transportation markets in the U.S. and India, this five-year-old company recently doubled the number of $3 million contracts they service, and has a large team of 25 full-time employees and 20+ contractors in place to manage those long-term agreements and help the technology expand. With a very low 10% churn rate, their satisfied business customers are finding exactly the technological management and innovation they need to drive profits higher.
The Value Proposition
This tech-enabled platform has built a cloud-based tech stack driven by Artificial Intelligence (AI) to achieve the scalability required to predict and optimize millions of truckloads and hundreds of thousands of trucks. To manage the connection between shippers and carriers, the company utilizes real-time data from digital integrations with its tech partners. The team is able to build fully loaded round trips, using prediction and advanced optimization models.
More and more customers are choosing this tech over others because, while other freight models talk about networking, they don’t focus on it … or in most cases even enable it. That is the gap this company fills. It gathers supply/demand modeling data across an entire network of companies and continuously creates opportunities for shippers and carriers to network to eliminate empty miles, reduce waste, and increase overall network efficiencies. Shippers and carriers don’t have to change any of their processes to benefit from this technology, and that is why it has become such a sticky addition to any business that requires trucking.
Current ownership is looking for an opportunity to retain a minority position in the business after the sale and roll equity with a partner that can help provide both capital and resources to grow. A strategic buyer is the best fit for this company given its current maturity level. Ownership is not looking to fully exit the business at this time.
The Company
Founded in 2018, the company has developed agreements with large enterprise businesses that get a lot of full truckload demand, including well known providers of consumer goods such as Proctor & Gamble, Kimberly-Clark Professional and Kellogg’s – lucrative contracts that have enabled the company to increase profits steadily.
This tech-driven company brings a sophisticated AI approach to logistics that enables them to successfully serve carriers and shippers with one collaborative community network. Their technology helps both small and larger enterprises build fully loaded trips that eliminate those miles when the trucks are empty. Their customers simply join their network, and this company does the rest.
A major benefit to their customers is that their network gives them a way to see all loads for the day, along with optimal lanes and rates. In effect, the company reduces the potential for empty truck carrier miles by giving clients continuous insights into upcoming demands and available capacity.
The company offers one-year contracts with the option for renewal and expansion, with ongoing services billed electronically for each transaction.
Operations
With a solid team in place that knows how to deliver on their proprietary technology, the company has grown its contracts in the U.S. and particularly in India, where demand for their services is very healthy. Strong brands have become their customers in both nations.
The current ownership manages the business with a focus on strategizing, fund-raising, and team building. With 25+ full-time employees and 20 contractors handling daily operations, the company operates smoothly and efficiently, with the team managing up to 100 customer service calls each day.
The team also excels at math and has a knack for solving complex logistics problems, and they are helping to fundamentally transform the way the transportation industry operates.
What the company is looking for now is the right business partner to inject growth capital into this company, which is why the owner maintains an interest in keeping a position with the business post-acquisition.
Marketing
To build their network, the company has relied on account-based marketing in the U.S. to help them eliminate potentially less valuable companies early on while boosting communication with their highest-value accounts. They have relied on multi-channel marketing in India, with the focus on supply.
This gives the company plenty of growth opportunities through enhanced digital marketing. With an email database of 10,000+ subscribers, an email newsletter to current and prospective clients would be an effective marketing tool.
The company could boost postings on their social media accounts such as Facebook, Twitter, and Instagram, and fully optimize their website for keywords popular within their industry. The company already has an informative blog on their site that helps detail the strengths of their platform.
While the transportation industry is an enormously profitable one — valued at $732 billion dollars in the U.S. alone and projected to reach a global value of $8.9 trillion by 2030 – this company has benefitted from the fact that the freight market is also fragmented and has been plagued by inefficiencies. Up to 30% of the truck miles now being driven annually are empty. This has resulted in $100 billion in lost value for the industry, which is a key factor in why their optimization services are increasingly in demand within the industry. The agency provides a platform that goes above and beyond what other freight models offer, creating a steady flow of collaboration opportunities between the supplier and the freights looking for goods to ship.
With a growing network of clients and a unique and proprietary platform, this company is poised for an enormous growth curve – with the right business partner on board. Since freight trucking remains a vital part of the global economy in both the U.S. and India, the company is ready to tap into enormous opportunities in both countries.
