In a world that increasingly relies on digital tools for . . . well, just about everything, the modern transportation industry has likewise adapted.
Digital tools have become an integral part of how trucking companies do business, from load tracking to electronic logging devices to customer portals.
Designed by transportation companies specifically to serve their clientele, customer portals can offer convenience to shippers as a kind of “one-stop shop” for all the loads they move with the provider in question.
But while customer portals promise greater visibility, efficiency, and control over logistics, they also come with challenges that shippers should consider.
Anderson Trucking Service (ATS) has been helping shippers move freight successfully for decades, evolving over the years to serve our customers more efficiently and effectively. That has included the development of our own digital customer portal, which we recently updated based on feedback from users.
Our firsthand experience with customer portals (and what customers want from their portals) has given us an up-close and personal look at the pros and cons of their use.
In this article, we’ll explore the key advantages and potential drawbacks of using a customer portal as a shipper. You’ll walk away with the knowledge you need to make a balanced, informed decision about customer portals and your business.
- What is a customer portal?
- Advantages of using a customer portal
- Disadvantages of using a customer portal
What Is a Customer Portal?
A customer portal is a secure digital platform that allows shippers to manage their shipments online, providing a centralized hub for all freight-related activities accessed through a username and password.
Customer portals typically offer features like load tracking, document access, and communication tools, helping shippers streamline operations and improve visibility.
In recent years, shipper portals have become increasingly sophisticated, integrating artificial intelligence (AI), machine learning, and Internet of Things (IoT) tech to provide predictive analytics and more real-time data. While not all portals are cutting-edge, the trend is toward greater customization and broader supply chain integration.
From a carrier’s perspective, a customer portal can be a worthwhile investment in customer experience, especially as self-service freight management is increasingly sought out by shippers. But building a customer portal that will meet the needs of all shippers is inherently tricky, given shippers’ diverse goals, key performance indicators (KPIs), and digital preferences.
All of that to say: When it comes to customer portals, your mileage may vary. Not every provider’s customer portal or digital tools will be right for you.
Advantages of Using a Customer Portal
In general, the main benefits of using a customer portal is increased visibility into shipping activities and boosted efficiency.
When leveraged strategically, these benefits can help shippers optimize their supply chain, streamline their operations, and find opportunities to save costs and time.
Let’s break down the advantages a well-designed customer portal can create for shippers.
Enhanced Visibility & Control
Customer portals give shippers the peace of mind of having 24/7 access to their data whenever they want, wherever they want — so long as they have an internet connection.
These portals serve as centralized hubs where shippers can quickly view freight details in a clear, organized manner.
This empowers faster decision-making and greater control over shipping services, as it reduces reliance on carrier representatives for tracking, reporting, and other key functions.
The increased visibility offered by a portal also represents total transparency on the part of the transportation provider. No details can be fudged or conveniently ignored if the customer has 24/7 access to them, after all.
This can boost trust and strengthen long-term relationships between shippers and carriers. It also supports faster response times when issues arise, as both parties are informed simultaneously.
Ultimately, anytime access to shipment data, real-time tracking, map views, historical load data, and documents like bills of lading (BOLs) and invoices can help shippers manage their freight more effectively in partnership with their providers.
Increased Efficiency
As a central hub of shipping activities, customer portals can also support more efficient shipper operations.
Self-service, anytime access to shipping data cuts down on time spent communicating with carrier reps about load status and progress. At-a-glance visualization of shipments enables a greater understanding of freight movements, which translates to better, more efficient planning.
Customer portals that offer digital documentation and online invoice payments further reduce the time a shipper spends bogged down in paperwork and billing.
For shippers that want updates the moment they happen, many portals support notifications. Shippers can toggle notifications on or off, choose their frequency, and even establish notifications for specific actions or events, like deliveries or new documents added to their portal.
Each of these seemingly small conveniences add up to savings of time and energy — particularly precious resources in the fast-paced world of freight shipping!
Improved Communication
Communication is perhaps the most important factor in a shipper-carrier relationship. Great communication fosters strong relationships that stand the test of time, while poor communication (from either side) inevitably leads to trouble in paradise.
A customer portal can support successful relationships — and in turn, successful shipments — by giving shippers and carriers a direct, centralized communication platform.
With built-in messaging systems or direct contact options, shippers can quickly reach out to providers, eliminating the need for back-and-forth emails or phone calls.
This streamlined communication leads to faster responses and more efficient problem-solving, especially when dealing with urgent issues.
Customer portals can also foster greater transparency, as shippers can easily view updates, receive notifications, and refer back to past messages related to their shipments all in one place.
Communication centralization helps ensure all parties are on the same page, which can reduce misunderstandings and strengthen the partnership between shippers and carriers.
Improved Cost Management
Every shipper wants to get the most out of its transportation budget, but doing so requires a high level of visibility into how that budget is being spent in the first place.
Many portals provide detailed cost analysis tools, enabling shippers to track spending trends, evaluate carrier performance, and identify opportunities for cost savings.
Shippers can also leverage in-portal tools to quickly and easily request quotes for various shipping routes and service levels, allowing them to compare prices and select the most cost-effective options.
This pricing transparency can help shippers avoid unexpected expenses and optimize their transportation budget.
With data-driven insights and pricing at their fingertips, shippers can negotiate better rates and strategically plan their operations to maximize efficiency and profitability.
Disadvantages of Using a Customer Portal
As with any convenience, using a customer portal can have its downsides for shippers. While portals and other online self-service tools are popular, they are not one-size-fits-all solutions.
To help you determine whether your provider’s customer portal aligns with your needs and priorities as a shipper, let’s take a look at some of the potential downsides of their use.
Technical Challenges
Transitioning to a customer portal may present technical challenges for shippers, particularly during initial setup.
Users may encounter a learning curve, especially if they are not already fluent in online tools or if the portal's interface isn’t user-friendly. This can lead to inefficiencies and frustration, which may degrade the relationship between shipper and provider.
If the portal requires integration with the shipper’s existing systems — particularly if that integration isn’t seamless — it could create data silos or require manual data entry, diminishing the portal's intended benefits.
Finally, system downtime or technical issues (risks universal to any digital solution) could temporarily cut off access to critical shipment information, disrupting operations and causing delays.
Dependence on Technology
While customer portals offer many conveniences, they also increase a shipper’s reliance on technology, which can be a double-edged sword.
Over-reliance on the portal might lead to difficulties if technical issues arise, such as system failures or connectivity problems. An outage could leave shippers without access to critical information, which could result in serious supply chain disruptions if not resolved quickly.
And speaking of service reliability, the accuracy of real-time tracking and other features depends on the integrity of the technology. Any discrepancies or delays in updates can lead to costly mistakes or misinformed decisions.
Finally, security is another concern, as storing sensitive shipment data online, even in a secure portal, exposes shippers to the risk of cyber threats like hacking or data breaches.
Shippers should only consider using portals that have built-in security measures like password protections, multi-factor authentication, and time-locked load details, which makes critical load information viewable only when necessary to safeguard against unauthorized access.
Cost Considerations
While many transportation providers offer digital portals and tools as a complimentary benefit of being their customer, not all are free to use.
Some portals require monthly or annual subscription fees, or charge for access to premium features, which can add to the overall shipping expenses.
Additionally, there may be hidden costs associated with the initial setup, such as the time and resources needed for training staff, integrating the portal with existing systems, or customizing the platform to meet specific business needs.
As such, careful evaluation of a portal’s pricing structure and potential return on investment is essential to ensure that it aligns with the shipper’s budget and operational goals.
Limited Human Interaction
Shipping is a business of relationships, and many shippers highly value the connections they’ve made with their transportation providers.
For shippers who value (or require) more personalized service, a shift towards digital communication could be seen as a disadvantage.
While messaging systems within customer portals are useful, they remove many of the interpersonal elements of doing business. This may make it more difficult for shippers and providers to build their relationships.
The lack of a personal touch may also be felt during situations in which a nuanced understanding of the shipper's needs is necessary, or when time is of the essence.
In-portal messaging may be less responsive than direct phone calls, which could lead to delays in addressing urgent matters.
Is a Customer Portal Right for Your Needs?
A well-designed customer portal can be an effective time-saving tool for shippers, offering enhanced visibility, improved communication, and greater control over shipping operations.
Features like real-time load tracking, map views, and notifications of status updates are especially useful for shippers that want to stay dialed into the movement of their freight without having to call their representatives.
These efficiencies can help shippers optimize their operations and work seamlessly with their transportation providers.
But customer portals aren’t without potential challenges. Some shippers may chafe against the increased reliance on digital solutions and the lack of person-to-person touchpoints.
Others may find it difficult to adjust to an online dashboard, or face technical challenges that disrupt day-to-day operational flow.
Every shipper is different — and so is every customer portal. That’s why, as you consider onboarding onto a customer portal, it’s vital to evaluate how its features and potential drawbacks will impact your shipping strategy.
By carefully weighing these pros and cons, you can make a more informed decision about whether your provider’s portal aligns with your needs and goals.
Interested in other technologies that can help you achieve greater visibility into your shipping operations? Check out our article on Load Tracking 101 for Shippers.
It breaks down the different ways transportation providers track freight and communicate its progress to shippers, as well as what to expect from your provider if your shipment is lost or delayed.
