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Procurement Market Intelligence Report

Bulk Food-Grade Transportation Services
Sourcing Guide & Market Trends

Comprehensive intelligence for making smart purchasing decisions

Learn about actual and potential costs

How much should I pay for Bulk Food-Grade Transportation Services?

What is the average price of Bulk Food-Grade Transportation Services?

This procurement report includes pricing information to help you purchase Bulk Food-Grade Transportation Services. Our analysts provide a benchmark price and a price range based on key pricing factors to help you understand what you should be paying for this specific product or service. To see the average price for this and hundreds of other products and services, subscribe to ProcurementIQ.

Has the price of Bulk Food-Grade Transportation Services been rising or falling?

Analysts look at market data from the previous three years to determine an overall price trend. You can use the recent price trends to help you understand price volatility and plan your budget.

I’m not ready to purchase Bulk Food-Grade Transportation Services yet. Will I pay more if I wait too long?

We forecast the next three years of price movements by looking at factors likely to affect the market's supply chain, such as inputs, demand and competition. You can then use the price forecast to figure out the best time to purchase.

What other costs are associated with purchasing Bulk Food-Grade Transportation Services?

Our analysts calculate the total cost of ownership and assign a level of low, moderate or high, depending on things like customization, integration and installation. Use this information to budget for Bulk Food-Grade Transportation Services with a reduced risk of unexpected costs.

See how we display average pricing information, trends and market data.

Find the vendor to meet your needs

Where can I purchase ?

There is a low level of market share concentration in the bulk food-grade transportation service market. About 5,700 suppliers serve this market, and the top four suppliers account for less than 10.0% of market revenue. Low market share concentration is a result of fragmentation; most suppliers operate locally rather than... Subscribe to learn more.

Questions to ask potential suppliers

How can I gain leverage during negotiations?

Customer Service

What is the average wait time to speak with a customer service representative?

How many customer service representatives are on call during business hours? Outside of business hours?

Is your company flexible with regard to changing destinations en route or altering shipping frequency on short notice?

What are your standard customer service procedures in the event of a delayed, lost or damaged shipment?

Do you use tracking software that will report a shipment's delivery status and notify me if there are any problems with my shipment (e.g. late deliveries or product damage)?

Price Differentiation

What specialized services, if any, do you offer? What types of fees do you charge?

Can you provide any fee waivers or discounts based on volume or contract length?

Can you include any add-on services in the contract to reduce fee-based price increases?

How do your fuel surcharges compare to those of your competitors?

How often are fuel surcharges adjusted for a long-term contract?

Do you source materials with high exposure to market disruptions resulting from the coronavirus? How are you coping with these disruptions?

How diversified is your supplier base for inputs? Do you source from multiple suppliers in different global regions?

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Key elements for every RFP

What should my RFP include?

Project Budget

Buyers should indicate whether they wish to enter into a continuous contract or purchase services on an ad hoc basis.

Buyers should request a detailed breakdown of the vendor’s base rate, fuel surcharge schedule and other mandatory fees applied to each shipment.

Buyers should request a breakdown of any additional fees that may be applied, including demurrage, overtime and tank-cleaning fees.

Selection Criteria

Buyers should emphasize the vendor’s experience and reputation when evaluating potential suppliers.

Buyers should consider the vendor’s ability to meet the buyer’s capacity and frequency requirements.

Buyers should consider the vendor’s compliance and inspection record to ensure that their cargo will be protected from contamination and negligent handling.

Buyers should reference the Buying-Decision Scorecard section of this report for key criteria to consider when evaluating providers.

Project Schedule

Buyers should indicate the deadline for proposals and when award information will be made available.

Buyers should indicate their desired start date for services.

Buyers should indicate their desired finish date for services.

Evaluate major factors to mitigate risk

How risky is the supply chain?

Bulk food-grade carriers have a moderate degree of supply chain risk due to the level of risk posed by their upstream suppliers. Gasoline and petroleum bulk stations present a high level of risk due to the high volatility in the world price of crude oil. Because of this volatility, gasoline... Subscribe to learn more.