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Why Freight Brokers Are Still in High Demand

Andre Erving Global
Andre Erving Global

Why Freight Brokers Are Still in High Demand

Many often wonder if the Freight Brokering industry is thriving and active in today's rapidly evolving world. Well, we're here to assure you that it is indeed very much alive and kicking! The Freight Brokering industry plays a vital role in facilitating the movement of goods and connecting shippers with carriers.

Well, the answer is quite simple. With the complexity of logistics operations and the constant need for cost-effective and efficient transportation solutions, Freight Brokers serve as the middlemen, leveraging their expertise and networks to match the right shippers with the right carriers. This article will tell you Why Freight Brokers Are Still in High Demand.

Understanding the Role of Freight Brokers

Freight brokers are agents who help shippers and carriers transport goods throughout the supply chain. The shipper hires them to manage the movement of goods from one place to another through a complex network. Their income is earned from negotiating the rates between the shipper’s billing rate and the carrier's invoice rate. The Federal Motor Carrier Safety Administration (FMCSA) is the main regulatory body in the US that issues licenses to all Freight Brokers.

Expertise and Industry Knowledge

Freight brokers are experts in the transportation industry. They have an in-depth understanding of various modes of transportation, such as trucking, air freight, rail, and ocean shipping. Their knowledge enables them to advise shippers on the most efficient and cost-effective ways to transport their goods. Freight brokers stay up-to-date with industry best practices and new technologies to ensure their clients receive the most effective logistics solutions.

Authority in Negotiations

Freight brokers are highly sought after because of their ability to negotiate affordable rates with carriers. They have established relationships with a network of carriers, which they can leverage to secure competitive pricing for their clients. Freight brokers are skilled negotiators with expertise in market dynamics and carrier capabilities, enabling them to achieve the best possible rates. This saves shippers money and ensures timely transportation of their goods.

Trust and Reliability

Businesses depend on freight brokers to manage their transportation needs efficiently and reliably. Freight brokers ensure that goods are picked up and delivered on time while considering transit times, loading and unloading requirements, and special handling instructions. By coordinating the logistics process from start to finish, freight brokers instill confidence in their clients, who can concentrate on their core business activities, knowing that capable professionals handle their transportation needs.

The Modern Role of Freight Brokers

In the current era of digitalization, freight brokers have adapted to new technologies and industry trends to improve their services. Advanced software platforms, such as transportation management systems, enable freight brokers to simplify their operations, monitor shipments in real-time, and provide valuable analytics to their clients. This level of efficiency and visibility empowers shippers to exercise complete control over their supply chain and make informed decisions regarding their transportation requirements.

US Freight Brokerage Market Size And Forecast

According to a report by Market Research, the global freight brokerage market has seen a consistent increase. The US Freight Brokerage Market was valued at USD 1.164 billion in 2020 and is estimated to grow at a CAGR of 36.2% from 2021 to 2028, reaching USD 13.78 billion by 2028. The tremendous growth of the e-commerce industry worldwide has led to a significant rise in demand for shipping transportation.

Image by Verified Market Research
Image by Verified Market Research

US Freight Brokerage Market, By Commute

  • Air

  • Truck

  • Rail

  • Water

  • Others

Image by Verified Market Research
Image by Verified Market Research

The United States Freight Brokerage market is divided into various segments based on the mode of commute, namely Truck, Air, Rail, and Water. In 2020, Truck held the largest market share and is expected to grow at a CAGR of 4.63% during the forecast period. Air was the second-largest market in 2020.

US Freight Brokerage Market, By Service

  • FTL

  • LTL

Image by Verified Market Research
Image by Verified Market Research

The market is divided into two main categories based on service - LTL and FTL. In 2020, LTL accounted for most of the market share and is expected to grow at a CAGR of 5.66% during the forecast period. FTL was the second-largest market segment in 2020.

US Freight Brokerage Market, By End-Use

  • Manufacture and Automotive

  • Oil and Gas, Mining

  • Agriculture, Fishing, and Forestry

  • Construction

  • Others

The United States Freight Brokerage Market is classified into several end-use categories: manufacturing and Automotive, Oil and Gas, Mining, Agriculture, Fishing and Forestry, Construction, and Others. In 2020, Manufacturing and Automotive dominated the market and accounted for the largest share, with a projected growth rate of 4.63% during the forecast period. Oil and Gas was the second-largest market in 2020.

US Freight Brokers

Regarding the number of freight brokers in the US, the count is not as big as everyone thinks. Currently, it's estimated that over 17,000 licensed freight brokers are operating in the United States. These brokers play a vital role in connecting shippers with dependable carriers, ensuring the smooth transportation of goods across the country.


Becoming a freight broker may be a great option if you're considering a new career path that offers extensive growth and success opportunities. With its robust demand and substantial earning potential, this dynamic profession has numerous compelling reasons why it's a viable option for ambitious individuals. First and foremost, freight brokering allows you to operate in a thriving industry that forms the backbone of global commerce, giving you a chance to be an integral part of the supply chain.

Secondly, the job offers flexibility and autonomy, allowing you to work from anywhere and create your own schedule. A career as a freight broker also offers unlimited earning potential, as the commission-based compensation structure allows for significant financial rewards. The role provides a chance to develop valuable skills such as negotiation, problem-solving, and relationship management, which are highly transferable and beneficial in various business contexts.

The industry's continuous growth and the increasing need for efficient transportation make freight brokerage a secure and stable career choice. Technological advances have made the profession increasingly streamlined and efficient, reducing administrative burdens and enhancing productivity. Personal and professional development opportunities are plentiful, with training programs and certifications readily available to help you stay ahead in the field.

Another notable aspect is the satisfaction that comes from connecting businesses and ensuring the smooth movement of goods, which contributes to the overall success of the economy. Additionally, the variety of clients and industries you'll encounter as a freight broker presents an intellectually stimulating environment that keeps the job engaging and exciting. Furthermore, the role allows endless networking possibilities and fosters connections with various stakeholders, including carriers, shippers, and industry experts.

Collaborative teamwork is also prevalent, enabling you to build lasting relationships and learn from experienced professionals. Operating as a freight broker allows you to develop your entrepreneurial spirit as you navigate challenges and build your client base. In this role, you'll constantly hone your problem-solving abilities, as logistics can present unexpected hurdles that need swift resolutions.

The job allows for continuous learning and staying up-to-date with industry trends and regulations, ensuring you can provide top-notch service to your clients. Notably, a freight broker's work is of great significance, as it ensures the timely delivery of goods, contributing to the seamless functioning of supply chains globally. The industry is constantly evolving and adapting, offering innovation and a sense of excitement.

Overall, becoming a freight broker provides a unique blend of financial rewards, personal growth, and the opportunity to make a tangible impact on the world of logistics. With its multifaceted advantages and undeniable potential, embarking on a career as a freight broker may be the professional endeavor that propels you to new heights in your personal and professional journey.

Training and Development

Are you ready to take your career in the transportation industry to new heights? Andre Erving Global offers a range of comprehensive freight broker training online and in-person courses.

They are committed to helping you excel in this dynamic field. With their friendly and inclusive approach, Andre Erving Global ensures you receive top-notch training that equips you with the skills and knowledge required to thrive as a freight broker.

Whether you prefer the convenience of online learning or a more hands-on approach, their courses cater to your individual needs.

Visit our marketplace to learn more and sign up for your chosen course.

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