Freight Forwarder Vs Logistic Operator- What’s the difference?

Most people get confused when it comes to sending cargo or vehicles to a foreign country. They get confused about whether to go for a shipping forwarder or a logistic operator. In this regard, we have tried to uncover the basic difference between a freight forwarder, a logistic operator and third-party logistic companies in this article.

Table of Contents

Freight forwarder vs logistic operator    

Third-party logistic companies Vs Freight forwarders      

Which one should you choose?

End Thoughts   

 

Freight forwarder vs logistic operator

While a freight forwarder does outsource most of the goods' journey to third parties, the logistic operator owns most of it. However, different people have a different perspectives regarding the differences. Some will state that a freight forwarder is only supposed to handle and transport the cargo on customers' requirements, which the logistic operator does with more elements in the picture, such as agents, warehouses, and other thirdparties.

Nowadays, a warehouse seems to operate both logistic operator and freight forwarder depending on the clients. If you analyze both under the microscope, you will see that there is hardly any difference between the two these days as it was there two decades back. It happens because of two reasons- first, more elements are taking part in supply chain and logistic control. Second, they do it with their own or subcontracted services. The purpose is to make the whole business more profitable. 

Third-party logistic companiesVs Freight forwarders

The former specialises in multi operations, starting from warehouse to transport, and offer customized solutions depending upon the customers' need. They store and process the items for movement.

On the other hand, freight forwarders are the entities who could arrange hassle-free transportations for individuals or corporates from one destination to another destination. They can transport items through shipping lines pre-contracted routes and act as an expert of the supply chain link.

Freight forwarders may use different modes of transportation such as vessels, trucks, railroads, etc., to their advantage to deliver it to the destination with ease. Unlike the third-party logistic companies, they have a very narrow focus on the transportation side.

Which one should you choose?

It completely depends on you and your requirement. To arrive at a solid conclusion, you should evaluate your needs and your expectation from these companies in terms of customization and mode of transport.

But before you choose, there are certain things to keep in mind to stay in the safe zone.

A.      Before you start looking for freight forwarding services, make a market study on how to keep the budget low to avoid their loopholes.

B.      If you opt for a logistic operator, ask for their pricing policy and see how they are good at helping you save your money irrespective of the mode of transportation you choose.

C.      When it comes to third-party logistic companies, you should always go with the one with a better online reputation.

End Thoughts

Most people prefer to go with an international freight forwarder who can take care of any freight requirement with ease. In this regard, Willship would be your ideal bet. It has been offering bespoke service for the last two decades.