Uber freight starts European offensive
Uber freight comes to the Netherlands in two weeks, and plans to expand Uber Freight across other parts of Europe in the near future.
Uber Freight was launched two years ago in the US. The freight service of Uber wants to revitalize the trucking industry and bring new opportunities to the logistics ecosystem.
Ride hailing for freight
Similar to Uber’s ride hailing service, the Uber Freight app connects trucking companies with loads to haul. Drivers will receive upfront pricing, fast payment and the ability to book a load with the touch of a button, all similar to the company’s ride hailing service. In addition, shippers will gain access to a vast network of carriers and real-time visibility into the status of their freight.
After having explored the US market, Uber Freight is now coming to Europe. With the launch in the Netherlands the coming weeks, the first European carriers and drivers will be able to book and move their first loads with Uber Freight.
After the Netherlands, Uber plans to expand to other European markets. Uber sees a lot of potential in Europe’s logistics industry. The European truckload market is a $400 billion marketplace, only after China and the US, hence the company envisions potential growth of its Freight division.
Size does not matter
Uber sees an important role for its Freight division to enhance the efficiency of Europe’s trucking market. Especially the shortage of drivers and inefficiency of the current system – 21% of total kilometres travelled are empty according to the company. In addition, more than 85% of the total carrier pool are small- to medium-sized carriers, and they have difficulties connecting with larger shippers. Therefore, the prices of goods rise higher than they should.
As a result, Uber sees a lot of potential in enhancing the European trucking market, reducing wasted miles and fuel. Moreover, trucks of any size can sign up to take a Uber Freight package along. Size does not matter. Efficiency does.