The logistics industry is competitive, and companies continuously monitor their systems and processes to ensure they can match their rivals when it comes to reliability, cost, and speed of delivery. Failure to deliver on any one of these factors could result in a client using another provider.
Therefore, for a company to consider using container drayage as a form of transport, they need to be confident that it can benefit their clients. While this delivery method does have excellent advantages, there are also some disadvantages to take into account.
What is Container Drayage?
Container drayage is a term used to mean short-distance transportation from one location to another. This term typically refers to intermodal transport, which means the companies that are moving the merchandise use more than one form of transportation.
Pros of Using Container Drayage
Reduce the Risk of Damaged Goods
Loading and unloading is the most dangerous time for materials during shipping, however, when using container drayage the container is sealed once it is packed at the point of origin, and it is not opened again until it reaches its destination.
You can further minimize the risk of damage by packaging your commodities so that they can’t fall or scrape against other items, and choosing the correct types of containers for various goods.
Security of Merchandise
The container drayage system makes it difficult for thieves to steal materials because there is limited handling of the containers.
This is beneficial for two reasons. First, you will not incur order replacement costs. Second, by demonstrating that you use a reputable logistics company that protects your items, you may see a reduction in your insurance premiums long-term.
Fast and Efficient
When moving freight over a short distance, container drainage is an efficient mode of freight transport. Having a reliable supply chain means that even if there are driver shortages, you could use rail or a barge to transport containers.
The use of standardized containers in drayage also means reduced loading and unloading times at port. Cranes can move the containers directly from the ship to the truck for fast delivery to the final inland destination.
Cons of Using Container Drayage
Unsuitable for Transporting Small Shipments
If you are considering sending a small amount of merchandise to clients, then container drayage may be an ineffective method. To keep costs affordable, it is only practical for transporting full container loads (FCL).
Only Advantageous for Short Distances
Should you need to transport items vast distances across the United States and internationally, there are more cost-effective and efficient methods. As container drayage generally uses roads and railways, they can also take considerable time to reach long-haul destinations.
Can Cause Road Damage
Carrying heavy loads in trucks can cause additional damage to roads. This can result in higher maintenance costs and indirectly lead to an increase in taxes which could impact your overall operating costs.
Increased Harbor Costs
If ships are required to remain in port for prolonged periods due to worker disputes, dock dues can skyrocket making drayage shipping cost-prohibitive. Additionally, the largest container ships operating today require deepwater handling facilities which incur extra fees.
The Takeaway
While there are some drawbacks, container drayage is often the fastest, most cost-effective, and secure method for transporting merchandise over short distances.
For a quote, call Asiana USA at (855) 500-1808 to discuss your drayage requirements with an experienced member of our team.
