The logistics landscape is continually evolving, placing increased pressure on shippers to optimize their supply chains, reduce costs, and enhance service reliability. In this dynamic environment, non-asset intermodal providers have emerged as indispensable partners, offering flexible, efficient, and scalable transportation solutions to meet these demands.
Supporting this trend, the Journal of Commerce (JOC) consistently surveys the intermodal market, asking shippers to rank the intermodal marketing companies (IMCs) they use and having IMCs rank the railroads. As a reminder, the IMCs take care of booking and coordinating intermodal loads (origin dray - long-haul rail - destination dray). Time and again, non-asset intermodal providers lead the pack, earning the highest Net Promoter Scores (NPS). These scores demonstrate that shippers are far more likely to recommend non-asset IMCs over their asset-based counterparts—further highlighting the value they bring to the table.
With that in mind, let's delve into the key advantages of partnering with a non-asset intermodal provider, exploring their unique strengths and why more shippers are turning to them for their intermodal transportation needs.
A non-asset intermodal provider, also known as a non-asset IMC, is a logistics provider that facilitates the movement of freight using intermodal solutions without owning physical assets like trucks, railcars or warehouses.
Instead, non-asset IMCs leverage a broad network of partnerships with Class 1 railroads, drayage providers, and trucking companies to coordinate seamless intermodal transportation solutions. This model allows them to offer tailored, flexible solutions that meet the specific needs of shippers.
In contrast, asset-based IMCs, also known as bi-modals, own and operate their own transportation equipment and are often limited to their own network of assets. This difference enables non-asset providers to offer shippers broader service options and greater adaptability.
Non-asset IMCs have the unique ability to tap into an extensive network of railroads, carriers, and drayage providers. This flexibility means they can adapt quickly to changes in demand, market disruptions and capacity constraints.
For example, if a particular rail lane is experiencing congestion, a non-asset provider can seamlessly shift to an alternative route or carrier, ensuring minimal disruption to a shipper’s supply chain. This scalability is especially valuable during peak shipping seasons or periods of economic uncertainty.
Non-asset providers partner with all Class 1 railroads, giving shippers access to a wider geographic reach compared to some asset-based providers that may only work within their own rail network.
This broad market reach allows non-asset IMCs to offer seamless door-to-door service across North America, providing shippers with more reliable options for their long-haul freight needs.
By leveraging their network of carriers and railroads, non-asset IMCs can compare rates and negotiate the most competitive pricing for shippers. This ability to source capacity at the best price allows them to offer cost-effective intermodal solutions without compromising service quality.
Additionally, non-asset providers focus on optimizing load planning, ensuring that freight moves efficiently and minimizing wasteful spending for shippers.
Non-asset intermodal providers do not have to maintain fleets of containers, trucks and chassis, leaving them more capital to invest heavily in cutting-edge logistics technology. From real-time shipment tracking to data analytics, these tools enable shippers to monitor their freight with greater visibility and accuracy.
Advanced technology also allows non-asset providers to analyze supply chain data, identify areas for improvement, and provide actionable insights that help shippers make more informed decisions.
Non-asset IMCs are often smaller and more agile than asset-based providers, allowing them to focus on personalized service and tailored solutions. The best of these work closely with shippers to understand their specific needs, provide proactive communication, and address issues quickly. This customer-first approach ensures shippers receive a high level of service and attention to detail that larger asset-based providers may struggle to deliver.
Working with a non-asset provider reduces the risk of supply chain disruptions due to diversified carrier partnerships. Non-asset IMCs are not tied to a single dray carrier or railroad, allowing them to adjust routes and capacity as needed to maintain service reliability.
Additionally, these providers thoroughly vet their carrier and railroad partners to ensure they meet high standards of compliance and reliability, further reducing the risk for shippers.
Intermodal transportation is already a more sustainable option compared to over-the-road trucking, as it reduces greenhouse gas emissions by leveraging rail for the long-haul portion of freight movement.
Non-asset providers take this a step further by optimizing intermodal solutions for the most environmentally friendly routes - and continually adjusting to keep them that way when outside influences intervene. This helps shippers align with their environmental sustainability goals while maintaining efficiency and cost-effectiveness.
Some believe that non-asset providers lack control because they don’t own the assets. However, the best ones make up for this with the latest technology and multiple relationships with carriers to ensure excellent shipment control, cost containment and visibility.
A myth exists that non-asset providers charge more. In reality, they save shippers money by negotiating competitive rates and optimizing supply chains.
Non-asset providers are often seen as less reliable. On the contrary, their ability to leverage multiple networks reduces risks and ensures consistently reliable service.
Non-asset IMCs excel at navigating disruptions like port congestion, rail strikes and weather delays. By leveraging their carrier networks and technology, they can quickly reroute shipments, source additional capacity, and minimize delays.
For example, during peak shipping seasons, a non-asset IMC can shift freight from congested rail lines to alternative routes - even switching to truckload when needed - ensuring that deliveries stay on schedule.
Data analytics is a cornerstone of non-asset IMC operations. By analyzing shipment patterns, transit times, and performance metrics, they identify areas for improvement and recommend actionable solutions. Predictive analytics helps anticipate disruptions, while real-time tracking enhances shipment visibility and decision-making.
Shippers increasingly value the adaptability, scalability and customer-centric service offered by non-asset IMCs. These providers’ ability to leverage multiple carrier and railroad partnerships makes them highly responsive to changing market conditions and shipper needs.
Additionally, their focus on delivering cost savings, adopting and maintaining advanced technology, and providing reliable service sets them apart as trusted partners in optimizing supply chains.
When selecting a non-asset IMC, you should consider the following:
The demand for non-asset providers will continue to grow as shippers seek flexibility, cost savings, and sustainability in their supply chains. Advancements in technology and increasing emphasis on resilience and adaptability will further cement their position as key logistics partners.
Non-asset intermodal providers offer a range of benefits that make them an excellent choice for shippers seeking efficient, flexible, and cost-effective logistics solutions. From their broad networks and advanced technology to their customer-first approach, these providers are well-equipped to meet the evolving demands of modern supply chains.
If you’re looking to optimize your intermodal shipping strategy, consider the advantages of working with a non-asset IMC like InTek Logistics.
Our team is here to guide you through the benefits and help you make the best choice for your logistics needs. We'll work with you on flexible solutions that fit you best. For more information about InTek, or logistics and supply chain issues in general, check out our Freight Guides.