After Convoy’s demise last year, Flexport acquired its technology platform and launched a new app. Known as “Convoy Platform,” it is still owned and operated by Flexport Freight Tech and is accessible to carriers through the Convoy app.
“The Convoy Platform connects carriers to high-quality freight, increasing drivers’ earnings, as brokers streamline operations and reduce costs,” claims Flexport.
Flexport acquired Convoy’s technology stack in October 2023 after co-founder Dan Lewis told employees the business buckled under economic pressure. He attributed it to a “massive freight recession and contraction in the capital markets.”
What is different?
The Convoy Platform promises smart matches, smoother hauls, and faster payments. Booking through the new app seems to be quicker and easier. “Once you’ve found a load that you’re interested in hauling, you’ll have the option to book it immediately at the posted rate or bid on the load with a rate that works for you,” it states on the website.
Carriers can choose a bid and be notified when or if it is accepted or rejected. If it is successful, there is an option to accept or decline the load.
The app offers local, regional, and long-haul full-truckload freight. It is now restricted to dry vans (Regular 53′), but the company says “new trailer types may become available over time.”
First-day success for Convoy
Flexport founder Ryan Petersen says on the first day, they executed 200 loads “with no human in the loop.” He calls it a seamless and automated process for shippers.
It’s been hailed a significant milestone after pulling off the platform in just four months since making the business decision. “So proud of the Convoy team. This is a major milestone toward Flexport’s vision of being a true one-stop shop for global logistics,” says Petersen.
The global logistics company has noticed a spike in operations, with “carriers coming back in force” as they drive demand into the system for carriers to execute.
“We have over 400,000 drivers on the Convoy mobile app, all part of high-quality owner-operators, standing by eager to move your freight,” says Petersen.
Freight recession over?
It was a “massive freight recession” which toppled Convoy last year, but analysts believe the tide might finally be turning.
Andrew Smith, senior vice president at Circle Logistics in the US, recently told Locate2u that the freight sector is still “largely driven by oversupply today.”
He anticipates positive progress with a demand-driven market replacing an oversupply-driven market.
But other sources like the Wall Street Journal report that the demand is still growing, and freight rates are still increasing. This could be an indicator that retailers are restocking inventories again. Smith seems to agree with this, but warns it’s only a “small uptick in demand.” He says it’s not nearly enough to compensate for the oversupply of trucks.
Photo: Convoy Platform Website
About the author
Mia is a multi-award-winning journalist. She has more than 14 years of experience in mainstream media. She's covered many historic moments that happened in Africa and internationally. She has a strong focus on human interest stories, to bring her readers and viewers closer to the topics at hand.
