The unforgiving tradeoffs of low-cost carriers in produce shipping
Everyone loves a low rate—until it costs three times more in service failures. Between weather volatility, rising transportation costs, tightening retail expectations, and shrinking margins, produce logistics is complex and critical to profitability. A single late or missed delivery can wipe out the margin of an entire week; a rejected load can set off a chain reaction that disrupts not just operations but customer relationships.
Having worked in produce logistics for a while now, we’ve got a running list of headaches cheap carriers often introduce:
- Late departures from origin
- Broken appointment commitments
- Poor equipment quality (reefer setpoint issues, anyone?)
- Unresponsive tracking
- Higher reefer claims
- More rejections
- More detention
- Customer service escalations
And all of these come with real dollar signs attached.
When you quantify the risk created by low-cost carriers, the math always tells the same story: Cheap capacity creates expensive disruptions.
Predictability is a game-changer
One of the most underrated advantages in produce shipping is the ability to predict freight spend. When you operate in a world of 1–3% margins, cash flow, budget stability and rate predictability matter more than chasing a lower number.
For CFOs and operations leaders, predictable freight spend isn’t just nice to have, it’s transformative. With the right TMS and a high-touch support team, produce shippers can:
- Forecast weekly freight spend
- Lock in cost ranges
- Identify seasonal swings early
- Avoid blowups that drain cash
- Smooth out AP cycles
- Give finance teams real numbers they can trust
Visibility + Control + Better Carrier Execution
Produce logistics will always be complex. But with the right technology and a team that understands the rhythm of the industry, shippers can turn complexity into clarity.
DLX helps produce shippers:
- Eliminate noise
- Quantify true cost drivers
- Improve carrier performance
- Predict freight spend
- Protect margins
- Reduce risk
- Strengthen cash flow
In a low-margin world, execution is everything, and visibility is how you win.
DLX’s 10-Step Carrier Vetting Process, shippers can see carrier behavior over time including performance trends, risk signals, cost leakage, and what “low cost” is actually costing. Learn more about our carrier vetting process and how DLX has become the produce shipping experts.
About Dynamic Logistix
Dynamic Logistix is a third-party provider of produce shipping and freight solutions that combines a world-class technology platform with stellar personal service. By providing superior visibility, transparent processes, and comprehensive real-time reporting through our transportation management software, produce clients save time and money. For more information, please visit our website and check out our LinkedIn page to join our growing team.
