One of the many challenges of being an SME that handles physical products is managing the logistics for the business. More often than not, SMEs must rely on third party logistics services, which can be very costly for a business with limited capital and resources.
Enter “Carga”,a new app-based logistics service provider that is touted as Philippines’ first backload transport solution for shippers and truckers. Carga, which is a play on the Filipino word for ‘carry’, is an online logistics that will use their mobile app to serve as a gateway for shippers to connect to a pool of truckers at more affordable rates due to backload, while meeting their preferred schedules and needs.
The app will also allow for truckers to increase their load and maximise vehicle use through real-time demand visibility. This in turn allows for the carry of additional backload. For those unaware, backload refers to additional items that trucks carry back to their home city after finishing a delivery instead of returning empty. Through this method, the cost of vehicle operations by gaining revenue out of additional deliveries.
On top of being a backload solution, the Carga app will also help ease traffic congestion by reducing the volume of empty trucks plying the road. Company officials also stated that the app will allow for SMEs to meet their cargo and shipping needs at acceptable prices, without having the need to purchase their own trucks.
At the moment, Carga CEO, Sam Lato, has confirmed that there are some 480,000 trucks registered with the Land Transportation Office. He also mentioned that Carga has 20 company-owned trucks and partnerships with five corporate partners; bringing the total number of trucks in Carga’s service to 150 units and growing.
Solutions such as these provides SMEs with the options and capabilities to conduct business optimally. In today’s interconnected business ecosystem, B2B co-operation is more important than ever to ensure mutual success.