The market opportunity for Shipper-owned containers (SOCs) is recognized by 74% of freight forwarders as surveyed by Container xChange. Pudong Prime, a freight forwarder from Asia recently experienced exceptional demand for SOCs from Vietnam. Recognizing the opportunity, Pudong Prime ventured into expanding its market in Vietnam leveraging the digital operational support of Container xChange, an online container logistics platform.
Growth in acceptance for Shipper-owned Containers has been triggered by market uncertainties caused by supply chain crises globally over the past two years. This created a thriving environment for Shipper owned containers globally. Asia developed as a key market for SOCs, according to the analysis by Container xChange.
Pudong Prime, an international freight forwarding company, with a key focus on SOCs, observed that freight forwarders and shippers are increasingly identifying the competitive advantage of SOCs over COCs with their low pick-up charges and D&D charges.
Commenting on the newfound opportunity in the SOCs market, Wilson Le, Marketing Development Strategy, Pudong Prime said, “We have gained a competitive advantage with SOCs as compared to the high detention charges and equipment shortage associated with COCs. We’ve achieved a cost advantage due to the lower pick-up charges with SOCs compared to COCs.”
Christian Roeloffs, Co-Founder and CEO of Container xChange, said, “The rise in awareness for SOCs shows that industry participants are responding to the supply-chain pressures by diversifying their sourcing strategy. Lack of transparency and standardized digital processes has fueled inefficiency for a very long time in the logistics industry. These struggles are further worse for shipper-owned containers where no carrier takes care of processes. This hinders the adoption of SOCs in the market. With the adoption of digital tools, all of this could be streamlined in a manner that there is a standardized procedure for all users.”
Container xChange has helped Pudong penetrate by simplifying its operations and contributing to a better business flow, explained, Wilson Le Marketing Development Strategy, Pudong Prime, “Our aim was to limit unforeseen situations with SOC operation at both the origin and destination to avoid bad trips. And with Container xChange’s real-time Connect tool we achieved just that and gained more operational control.”
“We were able to proactively connect with numerous affiliated inland depots to coordinate the leasing pick-up and drop-off locations. This reduced many unforeseen errors and setbacks. “, he added.
In half year, Pudong Prime has made 16 new partners and leased 659 containers to 18 locations in North America and Canada and continues to grow the volume of containers leased through the Container xChange platform.
Source: Hellenic Shipping News
