Traqo.ai
Cost explainer

How we cut your freight cost by ~11%

The ~11% isn't one trick — it's four separate levers, each pulling a measurable share of your total freight spend. Traqo runs all four on one platform, from the moment an order arrives to the moment the freight bill is paid. Here's exactly where every percentage point comes from.

~11%
Total saving · day one
4
Independent cost levers
11–14%
Compounded in 2 quarters
100%
Auditable vs ERP baseline
The ~11% is conservative
~11% is the day-one floor. Rate discovery through reverse auctions alone typically delivers close to it on the very first dispatch; the remaining levers compound over the following weeks as more of your lanes move onto the platform.
§01

The four cost levers at a glance

Each lever maps to a stage of the freight lifecycle and a specific set of modules. The swim lane below shows what each one does, where in the indent-to-invoice journey it acts, and how much of the saving it contributes.

COST LEVERPLANindentSOURCErateEXECUTEon-roadSETTLEinvoiceCUMULATIVE% of total spendindent →→ invoice1LOAD OPTIMIZATIONOrder Planning · 3D Load Planner3.5%Higher truck fill,fewer trips2RATE DISCOVERYReverse Auction · RFQ System5.0%Competitive biddingto true market rate3OPERATIONAL RECOVERYTracking · Yard · E-Way Bill1.0%Detention & penaltycontrol4LEAK PREVENTIONFreight Settlement1.5%3-way match catchesovercharges5.0%3.5%1.5%1.0%≈11%DAY-ONE FLOOR0%

Figure 1 — Cost-reduction swim lane: four levers stacking to ~11% of total freight spend.

§02

The same numbers, in a table

Shares are expressed as a percentage of your total annual freight spend and are additive across levers.

Cost leverModules at workPrimary mechanismShare of spend
Rate discoveryReverse Auction · RFQ SystemCompetitive bidding to true market rate5.0%
Load optimizationOrder Planning · 3D Load PlannerHigher truck fill, fewer trips3.5%
Leak preventionFreight Settlement3-way match catches overcharges1.5%
Operational recoveryReal-time Tracking · Yard · E-Way BillDetention, demurrage & penalty control1.0%
TotalOne platform — indent to invoice~11%
§03

Lever 1 — Rate discovery (~5.0%)

This is the single biggest lever. Today, most spot freight is locked over the phone with whoever picks up first, against quoted rates that are rarely tested against the market.

Competitive pressure

Multiple approved transporters bid against each other in a live, time-boxed reverse auction — prices fall to the true market rate instead of a single negotiated quote.

Lane benchmarking

Every lane builds a historical benchmark, so you never overpay relative to current market conditions on that route.

Volume share

Business-share auctions reward transporters who offer volume discounts, lowering per-shipment cost at scale.

In practice
The winning bid commonly lands around 8% below the historical lane average; blended across your freight book, this lever is worth roughly 5 points of total spend.Modules: Reverse Auction and the RFQ System (multi-round structured quoting for contract lanes).
§04

Lever 2 — Load optimization (~3.5%)

The second lever attacks a quieter form of waste: trucks that leave half-empty because nobody planned the load. The cheapest rate still costs too much if the vehicle is under-filled.

Order clubbing

Order Planning clubs compatible orders into consolidated, multi-drop loads instead of dispatching each order separately.

Higher utilization

Truck fill rate typically rises from around 65% to 85%+, and the 3D Load Planner packs roughly 18% more cargo into each dispatch.

Fewer trips

More cargo per truck means fewer trucks for the same volume — directly lowering cost per tonne shipped.

In practice
Moving the same goods in fewer, fuller trips contributes around 3.5 points of total freight spend.Modules: Order Planning & Load Optimization, and the 3D Load Planner.
§05

Lever 3 — Leak prevention (~1.5%)

Even at the right rate in a full truck, money leaks at the invoice stage — freight bills that clear without anyone matching them line by line.

Three-way matching

Every transporter invoice is automatically checked against the contracted indent rate, the LR trip actuals, and the ePOD.

Catch before you pay

Mismatches and overcharges are flagged for dispute before payment, with a target dispute rate under 2% on contracted freight.

Auto-deduction

Confirmed differences are credited back automatically in the next payment cycle.

In practice
Stopping billing leakage that would otherwise clear unchecked recovers around 1.5 points of total spend.Modules: Freight Settlement.
§06

Lever 4 — Operational recovery (~1.0%)

The final lever recovers the small, per-trip leaks that rarely get tracked but add up across a fleet.

Detention recovery

Timestamped, GPS-verified trips substantiate detention claims so you recover them instead of absorbing them.

Yard efficiency

Faster gate-to-gate turnaround cuts demurrage and idle-vehicle cost.

Penalty avoidance

Automated generation and reconciliation of e-way bills avoids compliance penalties.

In practice
Individually small, these recoveries are worth around 1 point of total spend across a full freight book.Modules: Real-time Tracking, In-plant & Yard Management, and E-Way Bill Automation.
§07

Where the upside beyond 11% comes from

~11% is the floor we are comfortable committing to. Across the 100+ shippers running on Traqo, the full stack typically compounds to 11–14% within two quarters of go-live as more lanes, transporters and order volume move onto the platform and the lane benchmarks deepen.

Documented results
Shippers whose freight is 4–8% of revenue see a 1.0–1.5 percentage-point uplift in revenue margin within two quarters — with a full audit trail on every saving.
§08

How to read these numbers

Percentages, not rupees

Every figure is a percentage of your total freight spend, and the four levers are additive.

Your mileage varies

Actual savings vary with your lane mix, current baseline rates, and how quickly the full module stack is activated.

Fully auditable

Each saving is logged against your own pre-Traqo baseline from your ERP, so every percentage point is traceable and defensible.

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