While the consumer market is overflowing with handy apps that provide insight into where a courier is located, the transport market is still mostly running on opaque systems. Startup ChainCargo wants to change that with a platform that shows which drivers are nearby for an urgent shipment.
ChainCargo comes from the minds of Giovanni Gubbels and Jeroen Kemp, previously working in logistics and IT. The two found that logistics was still running on outdated systems and available transport was not being used optimally. Gubbels, Head of Business & Operations: "If I go to a logistics provider to ship a container or pallet, it is still reasonable. But an urgent shipment is always a problem. Who can drive it? What time? Is the driver on the way? That's a very opaque area." Kemp, Head of IT & Engineering: "Whereas if you order a pizza, you know exactly where it is and what time the delivery driver will be at your door."
Platform for urgent shipments
Gubbels and Kemp wanted to introduce this modern way of working to the transport industry as well. A year ago, ChainCargo was set up and now there is a platform that links urgent shipments to available transport nearby. Companies that want to send something last minute need only perform a few actions thanks to the platform. Instead of calling carriers in the region, they turn on the app to see which driver nearby can take the load. The shipper sees what time and by whom their shipment will be picked up and can then track the driver in real time. Gubbels: "That reassures both the shipper and his customers. Especially when there is urgency, that peace of mind is of great value."
ChainCargo works with carriers large and small. Anyone with space to spare can sign up for the app. Gubbels: "We have customers who manage up to 60 wagons through our system. They drive their regular trips and use ChainCargo on the way back. Or they let someone who is not scheduled for a day carry out urgent shipments via the app." For smaller, regional carriers, ChainCargo acts as a gateway to the rest of the Netherlands. "They don't have the resources to reach customers outside their region," says Kemp. "If they drive from Eindhoven to Utrecht, they can see through ChainCargo whether a load needs to be taken back to Eindhoven. Otherwise they wouldn't have that possibility." The founders stress that ChainCargo works with fixed prices. "We are not a marketplace where whoever offers the least gets to drive."
Sustainability and staff shortage
With the platform, the founders further respond to two major issues facing the industry: sustainability and the ongoing driver shortage. "We use existing transport, buses driving back empty. That way we avoid extra mileage. In addition, the driver shortage would not be such a big problem if we made optimal use of all the empty cars on the road."
A year after its inception, ChainCargo has tied up around 200 couriers. The number of shipments is increasing every week and the first investors have come forward. Meanwhile, a team of 16 employees is busy working on the launch of an updated app to further simplify the procedure for couriers and shippers. The ultimate goal: to reduce wasted kilometres across Europe. "For now, we focus on the Benelux, but in the long term we want to expand our platform to the rest of Europe."
Acceptance of technology
How accessible is that European market now that players like UberFreight are entering it? "On the contrary, we are very happy with the arrival of such players," Gubbels explains. "Possibly that is going to accelerate the acceptance of the technology. We are in a market where everyone is used to doing an operation a certain way, while there really is room for improvement. Moreover, the market is so immense, you can't get that done on your own."
ICT & Logistics
From 5 to 7 November, ChainCargo will be present at the ICT & Logistics trade fair. At ChainCargo's stand, companies can experience the app and find out what this piece of automation can do for their bottom line. Interested? Register here for ICT & Logistiek and visit ChainCargo at stand 01.A054.
Image: ChainCargo founders Giovanni Gubbels (left) and Jeroen Kemp (right).
