In a High-Stakes Logistics Environment, Shippers Choose Managed Transportation

adam • May 10, 2023

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How Managed Transportation Services Help You Achieve Smart Logistics

In an increasingly complex world, companies are turning more and more to third-party logistics (3PL) companies to help them manage their shipments. Managed transportation services (MTS) are a growing field of 3PL providers who facilitate freight logistics for companies that must deliver goods to retailers and consumers. They could be the right solution for your business.

MTS is especially valuable for less-than-truckload (LTL) shipments. Whereas full truckload (FTL) shipments involve one full container where all goods are going to the same location, LTL shipments are more complicated. A single truck can hold shipments from multiple companies, each going to different locations. With so many items and destinations, finding the right truck to deliver your specific goods as quickly and efficiently as possible becomes more complicated, and that’s where MTS providers can step in.

MTS providers help you navigate the decisions, costs, and logistics of LTL shipping. They often have decades of experience and the ability to predict and adapt to incoming market trends. Outsourcing transportation services to an MTS provider can have tangible benefits for your business. When providers manage your logistics, they can help with sourcing & procurement, freight carrier optimization, planning & execution, and freight audit & pay. Professional logistics service providers can help improve operational efficiencies, lower costs, and make communication between stakeholders more efficient.

Managed Transportation Sees Significant Growth in a Volatile Moment for Shippers

In recent years, the MTS market has grown significantly. In 2022, the global MTS market was estimated to be worth $11.7 billion. That value is projected to more than double and surpass $28 billion by 2027.

When we consider the factors, this growth comes as no surprise. The coronavirus pandemic has significantly impacted logistics operations globally and nationally. A morass of issues plagued global supply chains for a full three years, and the current, ongoing impacts — inflation and the threat of recession — continue to impact business decisions. Since these factors affect the cost and complexity of logistics operations, an increasing number of companies are turning to MTS providers to manage intricacies and reduce costs.

The growth of MTS has also happened in lockstep with increasing consumer demand for expedited shipping. A significant portion of consumers expect expedited and often free shipping, and businesses are struggling to keep up with these expectations. To gain that competitive advantage offered by expedited shipping, MTS providers can often be the easiest, most effective way to implement expedited shipping for your business.

How Does Managed Transportation Work?

With client expectations of fast, economical shipping, using an MTS provider is the easiest way to deliver goods where and when needed. MTS providers can help simplify the vast field of LTL logistics and make shipping to clients easier. MTS providers offer a range of services that can help you every step of the way. We’ve broken down their offerings into three easy steps.

1. Procure

Changing trends in customer buying habits are impacting how companies sell and deliver their products. For companies shipping LTL, it’s important to know that you’re selecting the fastest, most economical option to satisfy both your needs and your clients’. It can be challenging to wade through all the carrier options, but that’s where MTS providers come in.

When you’re ready to ship, one of the most time-consuming tasks is approaching different shippers and requesting quotes for timing and price. If you haven’t worked with specific shippers in the past, it can be difficult to determine exactly how reliable they are or whether their prices are fair. The whole process is manual and exhausting. But it doesn’t have to be that way.

MTS providers are leveraging a growing suite of technologies to quickly analyze carrier capacity and determine the best fit for each shipment. With the power of these technologies behind them and their general industry know-how, you can be sure that MTS providers are finding the best options far faster than anyone could before.

2. Plan

The benefits of MTS providers don’t stop at selecting a carrier. Their technologies are becoming increasingly adept at optimizing efficiency, planning loads, and improving route & equipment usage.

MTS providers can help you optimize the efficiency of your shipments through consolidation and real-time analytics. LTL shipments are, by definition, smaller than a full truckload. This means the truck will stop at multiple destinations before delivering your package, which can increase transit time. However, MTS providers utilize smart technologies to help match your shipments with other shipments going to similar destinations. This reduces transit times and gets your load there faster.

3. Perform

From traffic delays to missed pick-up appointments, there’s a lot that can go wrong with shipment and delivery. Once your carrier is selected and the load is on its way, MTS providers can help you monitor your shipment’s progress, address any problems, and manage invoicing and claims. With the right MTS provider who gives strong visibility en route, you don’t have to wait and worry about these issues. MTS providers can help you track packages from pick-up all the way to delivery. They can also make invoicing carriers and submitting claims easy if anything goes wrong.

Even when everything goes perfectly, paying shippers can be time-consuming and costly. Just as MTS providers can help you ensure you’re getting the best bang for your buck, they can also make it easier to pay the various providers you’re using through an integrated payment platform. With an MTS provider, they can invoice and bill all in one place, making it simpler for you to pay different providers and keep all your accounts in one place.

3 Reasons Shippers Choose Managed Transportation

All the smartest companies are using 3PLs. In 2017, a study found that 90% of Fortune 500 companies utilized third-party logistics services that helped them manage transportation. This was an increase from the 46% of those surveyed in 2001 who said they used 3PLs.

MTS providers bring companies a whole lot of value. While the specific reasons you choose to use an MTS provider may be unique to your company’s needs, there are several leading reasons to use an MTS provider. Three of the biggest reasons our clients use Entourage Freight Solutions (EFS) are for streamlined capacity, optimized claims management, and access to comprehensive analytics.

1. Streamlined Capacity On-Demand

As mentioned above, MTS providers offer a significant benefit: the technology to accurately match your shipment with the best route and carrier for the job. Entourage Freight Solutions has a state-of-the-art freight matching system that maximizes profitability and enhances the coordination of deliveries, pickups, and beyond.

EFS also offers other streamlining benefits that stem from relationship building. On the carrier side, EFS builds longstanding relationships with carriers and keeps track of the best providers for different needs. Their efforts in building these relationships and the total volumes that they handle can translate into better rates and service for you. Their knowledge of different carriers can also help you avoid less reputable carriers or those that have frequent problems.

Enhanced efficiency doesn’t just come from good route and carrier selection. Working with EFS can help improve efficiency at the warehouse. As a single company, you may not be moving enough products from a specific warehouse to command priority, but EFS works with hundreds of companies and has built reputable connections with major warehouses. EFS cultivates these relationships with the warehouses in their network, establishing contacts and goodwill. This cachet can go a long way toward booking timely pickup appointments, fixing problems, and getting quick responses when needed. When you need an immediate pickup or have an issue with a warehouse, EFS can use its longstanding connections with warehouses to address the problem and find solutions quickly.

2. Optimized Claims Management

Even with the best carriers, a shipment can sometimes go wrong. When that happens, Entourage Freight Solutions can help you wade through the claims process. Instead of worrying about the quality of customer service at the shipper or warehouse where the problem occurred, you only need to be secure in the knowledge that EFS has top-notch customer service. EFS’s customer service representatives will answer the phones 24/7 and intervene immediately when something seems amiss. They’ll also help you file claims and will follow up on each claim to ensure it is resolved.

Claims management is another place where the strong relationships EFS builds are essential. Existing relationships with carriers and warehouses help EFS know exactly who to speak with and how to negotiate an optimal outcome—no more hours spent waiting on endless hold music!

3. The Analytics Advantage

Perhaps the most significant benefit of using an MTS provider like Entourage Freight Solutions is accessing the pure power of their analytics capacity. EFS uses state-of-the-art technology to match loads to carriers, optimize routes, and track shipments throughout the journey. All this data, backed by smart, proactive EFS experts, helps you make the most intelligent business decisions using the best insights.

Managed Transportation Services with Entourage Freight Solutions is the Smart Way to Meet Logistics Goals

More and more businesses are turning to MTS providers to help them achieve their shipping goals. Entourage Freight Solutions can help companies find the best carriers, access better prices, manage invoicing and claims, and deliver timely shipments. With EFS, be assured that your shipments are taking the smartest routes with the best carriers and that you’ll receive fast, comprehensive help to resolve any issues that arise. Contact Entourage Freight Solutions today to get started with smarter shipping and logistics.

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Tariffs, Trade Policy, and the Great Freight Fallout

By Nick Terry • April 28, 2025

In 2025, trade policy is no longer something that the freight industry can leave on the back burner. Trade policy today is shaping strategy at every level. From tariff escalations and retaliatory duties to sweeping regulatory changes and targeted maritime fees, supply chain leaders are navigating a freight market in which unpredictability is the only constant. Sourcing decisions are shifting, pricing dynamics are unstable, and long-standing operational models are being rewritten in real time. This edition brings together key stories highlighting the growing pressure across logistics channels. Each development points to an industry moving fast, and often reactively, to keep pace with volatile policy decisions. Tariffs Stall US Freight Recovery as Shippers Pause Orders The recent move by the U.S. Trade Representative (USTR) to impose entrance fees on Chinese-built ships calling U.S. ports has only added to the confusion and uncertainty gripping global supply chains and freight operations. Shippers are pausing plans and slashing orders, with truckload volumes, containerized imports, and manufacturing output all showing signs of contraction. Ocean freight spot rates have collapsed: Asia-U.S. West Coast rates have fallen 61% since January to $2,050 per FEU, while East Coast rates have dropped 53.7% to $3,100 per FEU . Blank sailings are rising, with vessels leaving Asia half-empty. Amazon and Five Below are among the major retailers reducing orders from Asia. Container imports jumped 15.3% in 2024, but forecasts now predict a 20-27% decline through the summer. Exporters, particularly agriculture and forestry suppliers, are also squeezed, facing 125% retaliatory tariffs from China. Truckload and intermodal rates remain stagnant, while U.S. factory output fell sharply in March. US Apparel Importers Brace for Long-Term Volume Declines According to Trade Partnership Worldwide, a 124.1% tariff on Chinese clothing and footwear is expected to reduce U.S. apparel imports by 1.6% annually . China still accounts for 41.7% of apparel shipments, leaving limited flexibility for diversion. The American Apparel and Footwear Association (AAFA) is warning of price hikes and mounting infrastructure stress as sourcing pivots toward Vietnam, India, and Indonesia. A looming May 2 deadline for de minimis exemptions could further complicate flows and delay deliveries. Even with a temporary 90-day pause in reciprocal tariffs, the policy uncertainty already affects long-term planning. AAFA CEO Steve Lamar calls the shifting policies “chaotic,” and warned that high tariff pressure will hit both importers and U.S. manufacturers reliant on Chinese components. Port and rail capacity limitations at larger gateways are adding to concerns. Retailers now face rising costs, shrinking margins, and operational delays — all while consumer demand continues to shift rapidly. Freight Pricing Gains Lose Momentum According to the TD Cowen/AFS Freight Index, Q1 truckload rates rose 5.9% above the 2018 baseline, but are expected to decline slightly in Q2. Shippers are responding to tariff threats with aggressive front-loading and shorter-haul routes, driving per-shipment costs to three-year lows. LTL carriers remain focused on profitable lanes and high-quality freight rather than chasing volume. The index forecasts a 0.7% year-over-year increase in LTL rate per pound for Q2 , despite sustained demand softness and macro uncertainty. A key driver behind the softening spot market conditions is a shift to shorter hauls and regionalized distribution, pushing per-shipment costs to their lowest point in more than three years. This trend reflects how retailers and manufacturers are repositioning inventory in response to tariff volatility, as NRF’s Jonathan Gold and DAT analyst Dean Croke noted. Meanwhile, the LTL sector is seeing a 4% rise in fuel surcharges, offsetting lower weights and shorter hauls. With the freight market still under pressure after 26 months of contraction, optimism remains subdued as we enter the midyear period. US Truckload Freight Spot Rates Continue to Fluctuate National benchmark rates have experienced a decline across all categories. As of April 18, dry van decreased by 4 cents to $1.62, reefer by 2 cents to $1.88 , and flatbed by 3 cents to $2.16. This marked the first overall decrease since late January, signaling potential shifts in market dynamics. These changes can be attributed to factors such as tariff uncertainties and tighter capacity, especially affecting the flatbed market. Flatbed rates rely heavily on manufacturing activity in the country, which has been particularly hard-hit by the ongoing trade war with China, and to some extent, with the rest of the world. US Finalizes Tiered Fee Plan Targeting Chinese Ships The U.S. is moving forward with a revised plan to levy voyage-based fees on Chinese-owned and Chinese-built ships calling at American ports. The U.S. Trade Representative (USTR) announced the measure as part of a broader Trump administration effort to counter China’s dominance in shipbuilding and logistics while reigniting domestic ship construction and port infrastructure investment. Starting in six months, Chinese operators will be charged $50 per net ton, with an annual increase of $30 for three years . Non-Chinese carriers using Chinese-built vessels will face lower rates, beginning at $18 per ton or $120 per container, with annual increases. The USTR capped fee applications at five voyages per vessel annually, scaling back its original, more punitive per-port-call proposal after intense industry pushback. The fees are tied to findings from a USTR investigation, which concluded that China’s shipbuilding dominance — producing 29% of global fleet capacity and 70% of all container ships on order — stemmed from unfair trade practices. Exemptions apply to ships arriving empty, those in the Great Lakes or U.S. territories, and some bulk exports. LNG vessel transport restrictions will phase in over 22 years to support U.S. production. China’s largest container carrier, Cosco Shipping Lines, has sharply criticized the USTR’s plan. In a strongly worded statement, Cosco labeled the move as “discriminatory,” and warned it would disrupt global industrial and supply chain stability. Cosco denied allegations from that USTR investigation that claimed China manipulated its shipping and shipbuilding sectors to gain an unfair advantage. The carrier said it upholds “integrity, transparency, and compliance” in global competition and remains committed to ensuring the resilience of international trade. Walmart Investing $6B in Mexico, Central America Store Expansion Walmart of Mexico and Central America will invest $6 billion to open new stores across the region , reinforcing its long-term commitment to growth in Latin America. The expansion will include Bodega Aurrera, Walmart Supercenters, Sam’s Club, and Walmart Express formats, building on a robust network of 3,200 stores across all 32 Mexican states. This latest move echoes Walmart’s earlier $1.3 billion investment in 2016 for regional distribution and operational upgrades. The retailer entered the Mexican market in 1991 with a Sam’s Club in Mexico City. In a statement, Walmart said the new expansion reflects confidence in the region’s economic potential and consumer demand. Globally, Walmart continues to invest aggressively in infrastructure and store development. The company has pledged about $4.5 billion for its Canadian operations and $1.3 billion in Chile to build 70 new stores and a distribution center. In the U.S., Walmart is executing a five-year plan to build or convert more than 150 stores while modernizing 650 existing locations under its “Store of the Future” initiative. Experience Seamless Shipping with Entourage Freight Solutions Entourage Freight Solutions believes in total transparency in the shipping process. That is why we invest in tech solutions that track every shipment extensively, monitor every driver, and extract every bit of efficiency without sacrificing quality. Our state-of-the-art platform utilizes cloud-based GPS tracking to keep you informed, reroutes shipments on the fly to avoid delays, and even responds to real-time market changes to ensure you receive your shipment on time and as soon as possible. Our Services Full Truck Load (FTL): When you need a truck all to yourself. Less-Than-Truckload (LTL): Efficient solutions for multi-stop shipments or combining smaller loads to save on costs. Refrigerated Trucking: Keeping your temperature-sensitive products fresh and safe. Cross-Docking: Strategically located facilities in Shelby, Ohio, Cedar Rapids, Iowa, and Romulus, Michigan, for streamlined consolidation, storage, and distribution. Ready to experience a new level of service and control in your freight shipping? Request a quote today to see how Entourage Freight Solutions can help with your freight movement and other supply chain needs.