We use cookies to provide you with a better experience. By continuing to browse the site you are agreeing to our use of cookies in accordance with our Cookie Policy.
  • ::COVID-19 COVERAGE::
  • INDUSTRY PRESS ROOM
  • SUBMISSIONS
  • MEDIA FILE
  • Create Account
  • Sign In
  • Sign Out
  • My Account
Free Newsletters
  • MAGAZINE
    • Current Issue
    • Archives
    • Digital Edition
    • Subscribe
    • Newsletters
  • STRATEGY
  • GLOBAL
  • LOGISTICS
  • MANUFACTURING
  • PROCUREMENT
  • VIDEO
    • News & Exclusives
    • Viewer Contributed
    • Upload your video
  • BLOGS & MORE
    • White Papers
    • Webcasts
    • Events
    • Blogs
      • SCQ Forum
      • Reflections
    • Mobile Apps
  • MAGAZINE
    • Current Issue
    • Archives
    • Digital Edition
    • Subscribe
    • Newsletters
  • STRATEGY
  • GLOBAL
  • LOGISTICS
  • MANUFACTURING
  • PROCUREMENT
  • VIDEO
    • News & Exclusives
    • Viewer Contributed
    • Upload your video
  • BLOGS & MORE
    • White Papers
    • Webcasts
    • Events
    • Blogs
      • SCQ Forum
      • Reflections
    • Mobile Apps
Home » Uber Freight seeing rational pricing in brokerage space, unit's head says
Forward Thinking

Uber Freight seeing rational pricing in brokerage space, unit's head says

April 24, 2018
Supply Chain Quarterly Staff
No Comments

Uber Freight, the freight brokerage arm of ride-hailing firm Uber Technologies Inc., is pricing its broker services competitively and is not looking to undercut other brokers as many thought it would do, according to the unit's head.

Bill Driegert, director of the San Francisco-based unit, said pricing in the brokerage market is currently "very competitive." Uber Freight is pricing its services in a "reasonable" manner vis-à-vis the competition, Driegert said on the sidelines last Thursday at the Home Delivery World annual conference in Atlanta. Driegert added that he is "very pleased" with the way the unit's rate structure is evolving, and how it is being received by the marketplace.

Since Uber announced its plans several years ago to create a freight brokerage unit that would digitally connect shippers, fleets and drivers without the need for a traditional third-party broker, there have been concerns raised that the unit would use its advanced technology to underprice most brokers.

After launching in Texas last year, the unit is now operating nationwide, Driegert said. Most importantly, the unit won the seal of approval of new CEO Dara Khosrowshahi, who replaced Travis Kalanick, Uber's founder, last August during a period of intense internal turmoil at the company. There were concerns that the development of a freight unit might be curtailed or killed because it would be considered a distraction for Khosrowshahi in light of the major cultural problems at Uber and an IPO still lined up for 2019. However, not only has the new CEO green-lighted the unit's growth, but he has allowed it to operate "with a lot of autonomy," Dreigert said.

Driegert did not offer any new information on Uber's work in the autonomous truck space. Last month, an autonomous Uber vehicle hauled a load about 344 miles between two points in Arizona before the load was transferred near the California border to a traditional driver for the final leg to southern California. The vehicle was part of the fleet owned by autonomous truck startup Otto, which Uber acquired in 2016 and whose name has since disappeared.

Driegert is trying to shed Uber Freight's image as a digital load-matching service and is focusing on creating a fuller experience for fleets and drivers. For example, the unit has a service called "Take Me Home" designed to help drivers find loads that return them to their home bases. The unit has introduced a line of fuel cards with price discounts, and is offering discounts on such equipment as tires.

  • Related Articles

    Ceva Logistics acquires CMA CGM's freight management unit as partners deepen ties

    "Uber for Trucking" name not an asset for companies, report contends

    Without action, freight-related pollution will jump 300 percent, ITF says

Recent Articles by Supply Chain Quarterly Staff

Buyers could target warehousing and fulfillment operations in 2021, investment bank says

IBM survey says digitalization trends will sweep trucking industry by 2030

Report tracks rise in cargo theft from storage facilities

You must login or register in order to post a comment.

Report Abusive Comment

Most Popular Articles

  • The 3PL industry: time to reset

  • Resiliency starts with supplier mapping

  • Freight market growth expected to slow in 2021

  • Retailers designing stores to support inventory and logistics work, not just shopping

  • Seizing the helm

Featured Video

6cabd6ef 64df 4460 bb11 e90c2bdea0a5

Identifying Intralogistics Solutions to Fit Your Operation: LinkedIn Live Ep. 4

Viewer Contributed
As technology evolves, the advantages of using semi- and fully automated solutions to increase productivity and address labor shortages are clear. However, before an organization jumps fully into automation, optimization is a key step that must happen first. Intralogistics solutions, such as Raymond’s iWAREHOUSE and...

FEATURED WHITE PAPERS

  • Warehouse Management System Project Toolkit

  • Solving Talent Management Challenges Now and In the Future

  • Shaping Up Last Mile Delivery to Surpass Customer Expectations

  • Finding the Right Transportation Management Partner

View More

Subscribe to Supply Chain Quarterly

Get Your Subscription
  • SUBSCRIBE
  • E-NEWSLETTERS
  • ADVERTISING
  • CUSTOMER CARE
  • CONTACT
  • ABOUT
  • STAFF
  • PRIVACY POLICY

Copyright ©2021. All Rights ReservedDesign, CMS, Hosting & Web Development :: ePublishing