A Discount Retailer Achieves Operational Excellence and Cost Savings with Network Intelligence

Navigating the complexities of the transportation industry is a significant challenge for shippers. In 2023, a specialty discount retailer was looking for additional ways to reduce cost and create transparency. They explored and evaluated various fuel and freight solutions to help them achieve their goals.

Breakthrough’s Fuel Recovery solution, which calculates market-based fuel reimbursements, exceeded their goals by saving 21% on fuel spend in the first year on the program. From there, the partnership quickly expanded to include Breakthrough's Network Intelligence solution. This solution supported the retailer’s outbound freight volume with carrier search functionality and linehaul rate benchmarking. The specialty discount retailer recognized an additional 13% savings by identifying capacity on their lanes and viewing the appropriate market linehaul rate for the movements. These cost savings were achieved using a combination of advanced technology, robust data, and an expert team.

Optimizing linehaul rates for enhanced cost efficiency

Network Intelligence helped the specialty discount retailer identify how much carriers were being paid in relation to the industry benchmark, uncovering significant cost-saving opportunities. The service played a pivotal role in the shipper’s network optimization journey by uncovering opportunities and providing a plan for action. Supported by Breakthrough’s ecosystem of real-time, transacted data, the retailer was able to go back to their carriers and renegotiate rates on over 100 lanes, successfully establishing more equitable agreements. This collaborative approach not only resulted in substantial savings but also strengthened their carrier relationships by promoting transparency.

Network Intelligence also provided the retailer with strategic insights into fuel and freight industry trends and market forecasts. This enabled them to proactively plan and adapt their operations to the market, ultimately improving their efficiency and protecting their bottom line.

A strategic shift to asset-based carriers

Looking for additional ways to reduce costs, the specialty discount retailer wanted to partner with more asset-based carriers. Network Intelligence provided an extensive ecosystem of trusted carriers, evaluating carriers within and outside of the shipper’s network and using various criteria to identify the optimal lane-level option. As the specialty retailer continues to expand, adding new lanes regularly, this approach has proven invaluable alongside industry benchmarks for linehaul rates. This efficiency allowed the organization to minimize time spent on routine tasks and dedicate energy to larger projects.

The power of real-time support

The relationship between the specialty discount retailer and Breakthrough is built on strong collaboration and meaningful interaction. This partnership transcends mere technological engagement, creating open channels for discussing market-responsive fuel and freight strategies. Through consistent and responsive support, Breakthrough ensures they have access to the resources and guidance needed to succeed. This tailored approach empowers them to achieve outstanding results in their transportation network.

A shift toward transparency

The specialty discount retailer has made significant strides in their fuel and freight management strategy by leveraging Breakthrough's innovative Fuel Recovery and Network Intelligence solutions. These solutions enabled them to gain greater transparency in their fuel and freight costs, resulting in a 14.1% reduction in annual transportation spend. Additionally, enhanced carrier relationships have been achieved through data-driven insights on linehaul rate benchmarks and carrier performance, supporting financial goals and growth initiatives.

As the specialty discount retailer continues to expand and evolve, Breakthrough will play an integral role in driving further efficiencies and fostering sustainable growth.