The freight industry runs on three interconnected parties: shippers, freight brokers, and carriers. Understanding how each role works—and how they interact—is essential whether you're new to logistics or looking to deepen your expertise.
This guide breaks down each role, their responsibilities, how they make money, and what technology is changing about each relationship.
The Shipper
Who They Are
A shipper is any company or individual that needs to move goods from one location to another. Shippers span virtually every industry:
- Manufacturers shipping raw materials or finished goods
- Retailers moving inventory to distribution centers or stores
- E-commerce companies fulfilling customer orders
- Agricultural producers moving crops and livestock
- Construction companies transporting equipment and materials
What Shippers Need
Shippers have several core requirements from their logistics partners:
Reliability. Freight must arrive on time. Late deliveries disrupt production schedules, disappoint customers, and cost money in chargebacks and expediting fees.
Visibility. Shippers want to know where their freight is at all times, not just at pickup and delivery.
Competitive pricing. Freight costs directly impact product margins. Shippers continuously seek the best rates while maintaining service quality.
Capacity. Especially during peak seasons, shippers need guaranteed access to trucks.
