“T3RA has been instrumental in transforming our logistics operations. Their expertise in multi-pick and multi-drop route planning has not only reduced our costs but also improved delivery timelines. We were particularly impressed with their ability to handle temperature-sensitive freight with such precision, resulting in a significant drop in claims. Their proactive communication and responsiveness have made them a true partner in our business, and the Best Carrier Award two years in a row speaks volumes about their commitment to excellence.”
— Director of Logistics, Temperature-Controlled Warehousing Business
Introduction
US Cold Storage, a leader in temperature-controlled warehousing and distribution for brands like Chobani, faced critical challenges in efficiently transporting frozen and perishable goods to retailers nationwide. Issues such as inefficient routing, high detention costs, and maintaining product integrity were significantly impacting operational performance and customer satisfaction. To overcome these hurdles, they partnered with T3RA Logistics, a specialist in refrigerated transportation and advanced route optimization.
Challenges
- Inefficient Route Planning: Poorly optimized multistop routes leading to higher transit costs and extended delivery times.
- High Detention Costs: Detention charges made up nearly 15% of freight expenses, negatively affecting profitability.
- Sensitivity to Costs: US Cold Storage required tight logistics management to stay competitive and maintain customer satisfaction.
Solutions
T3RA Logistics implemented specialized solutions tailored to US Cold Storage’s specific challenges:
- Advanced Multistop Route Optimization: Optimized routing to reduce transit times and operational costs significantly.
- Temperature-Controlled Transportation with 98% Tracking Excellence: Real-time shipment tracking ensured that product integrity was maintained through controlled environments, drastically minimizing spoilage risks.
- Detention Cost Mitigation: Proactive coordination between warehouses and carrier teams streamlined loading/unloading processes, significantly reducing wait times and associated costs.
- Quarterly Pricing and Volume Discounts: Negotiated agreements ensured competitive and stable market-aligned pricing.
Results & Impact
By leveraging T3RA Logistics’ specialized refrigerated transport and routing optimization:
- Freight Spend Reduction: Achieved a notable 15% reduction in overall freight spend, enhancing market competitiveness.
- Detention Costs Cut by 40%: Significantly decreased wait-time expenses, directly improving operational margins.
- Transit Time Improvement by 14%: Improved route planning resulted in faster, more efficient deliveries, ensuring fresher products reached customers consistently.
Scale
- Freight Spend: $13M+ over the last 28 months
- Loads Delivered: 6,239 to date
- On-Time Pickup: 97.2%
- On-Time Delivery: 98.5%
Conclusion
Through their strategic partnership with T3RA Logistics, US Cold Storage significantly enhanced their operational efficiency, reduced logistical costs, and maintained exceptional product integrity. Advanced refrigerated transportation solutions, real-time tracking, and optimized routing established a sustainable, competitive edge in the temperature-controlled distribution market.
