Keep your eyes on the load. Apparently, Uber Freight is bound to rock the logistics boat in a major way. Prepare your cargo. By truck it goes!
A “historic demand” for goods, vehicles and animals, probably, have been replenishing the drive for Uber Freight to rebound. This rebound of course is due to COVID-19.
Head of Uber Freight, Lior Ron, stated that based on goals for the financial quarter, Uber’s looking for a thirty-one percent increase in spot rates. This coincides perfectly with the demand for more drivers never being higher.
In March, as the Corona Virus hit the world-at-large, global shipments shuddered to a halt. This, in turn, made a mockery of economy as supply chains were broken and trucking was declined to about 20%.
Spot volume has been growing back ever since non-essential goods have been allowed by laidback COVID-19 restrictions. With that said, they’ve seen a 44% rate of growth from May to June.
If it wasn’t for everyone ordering items from home, maybe the company would not have been so lucky.
In any case, twenty-seven percent of that revenue growth is lacking for the original seventy-five percent Uber Freight made last year alone.
And don’t get them wrong. They’ve taken every chance they could to seize opportunities to grow bigger and better. Consider the new services. Uber Freight Link allows shippers to manage their drivers and carriers online, via a software platform. It even works outside of the applicable Uber network.
Meanwhile, it’s brother, Uber Freight Enterprises capitalizes on pre-existing platforms connecting shippers and drivers while encouraging growth. That way, they can be more visible on the overall operation.
What Does This Mean For Freight?
Uber Freight has been uncharacteristically shy about releasing specific stats regarding the scale of it’s volatile money moves, but not to worry. Ron thinks they’ve been climbing high in shipments for several months now. “Even manufacturing is picking up big time.”