Carrier Diversification
Carrier diversification means intentionally spreading freight volume across a broader set of carriers rather than concentrating it with one or two providers. It's a hedge against the inevitable disruptions – carrier service failures, capacity crunches during peak season, rate spikes on specific lanes, or a carrier exiting a market – that can cripple a shipper's operations when they have no alternatives lined up.
A well-diversified carrier strategy typically includes a mix of asset-based carriers for core lanes, brokers for overflow and spot needs, and potentially intermodal or regional specialists for specific corridors. The routing guide codifies this strategy – assigning primary, secondary, and tertiary carriers per lane with clear waterfall logic so loads automatically move to the next option when the primary declines or underperforms.
The challenge is that diversification requires effort. Managing more carrier relationships means more rate negotiations, more onboarding, more performance tracking, and more invoices. Shippers who lack the tools to efficiently manage a broad carrier network often consolidate volume with a few providers simply because it's easier – trading resilience for convenience. This works fine until it doesn't, and when a primary carrier has a service meltdown during your busiest shipping week, the cost of that convenience becomes painfully clear.
Effective diversification also depends on data. You need carrier scorecards tracking on-time performance, claims ratios, and tender acceptance rates by lane to know which carriers deserve more volume and which should be replaced. Without this visibility, diversification is just spreading freight around randomly rather than building a strategic, performance-based carrier portfolio.
Owlery connects shippers to 500+ carriers and brokers through prebuilt integrations and provides performance scorecards per lane – making it easy to build and manage a diversified, data-driven carrier network.
