T Map Mobility, a subsidiary of SK SQUARE, will enter the middle-mile logistics market in February with the launch of its data-based logistics brokerage solution, T Map Cargo.
According to the report, citing a mobility industry source, the company has filed a patent for a freight rate calculation model that automatically calculates the optimal price per unit of transport.
This is the first entry of a domestic mobility company into the domestic middle-mile logistics market, estimated at KRW 30 trillion.
Middle-mile logistics is the transportation process between companies that involves transporting raw materials to production facilities or shipping manufactured goods to distribution centers and agencies.
Middle-mile logistics have been slow to digitize compared to the first and last mile due to the complexity of transportation options.
T Map has been preparing to enter the middle-mile market for several years and acquired logistics startup YLP as a subsidiary last June.
T Map plans to simultaneously target shippers and borrowers to improve the accuracy of its freight calculation model and increase the success rate of middle-mile logistics services.
“At T-Map, we leverage big cargo data to analyze shipper requests and the real-time truck demand and supply ratio across the nation, providing optimal fare unit prices in real-time,” said an official from T-Map, according to the article. “The closed pilot test we conducted resulted in a 93.6% success rate for dispatch.”
The company will use Cargo Big Data to determine the optimal freight rate in real-time by analyzing the shipper’s request and the nationwide ratio of demand and supply of trucks in real-time.
The industry expects the digital logistics ecosystem to continue to grow with the entry of T Map and other players such as KakaoMobility, which recently acquired a 49% stake in Freight Yard, a freight brokerage platform, with the National Federation of Freight Vehicle Transport Brokers.
Innovative technologies are expected to benefit borrowers and shippers and drive growth in the industry, helping both parties.