Spot Tendering: Short-term request for quotation for exactly one shipment, in which forwarders bid at the current market rate.
Spot tendering is the tool for everything that cannot be planned. A shipment is due at short notice, and the shipper wants to know what it costs on the market today. Instead of calling one forwarder and accepting their price, the shipper asks several providers at the same time and compares. The term comes from the spot market, the market for immediate transactions at the current rate.
When do shippers use spot tendering?
- One-off shipments, such as a machine delivery, a project business or material for a trade fair.
- New lanes for which no agreed price exists yet.
- Additional volume, when more comes up than the contract partners from the tender can cover.
- Cancellations, when a planned forwarder cannot run the shipment at short notice.
How a spot tender works
- Describe the shipment: origin, destination, loading date, cargo and requirements.
- Set a deadline: often just a few hours for urgent shipments.
- Invite forwarders that are suitable for this lane.
- Compare bids as soon as the deadline has passed.
- Award the shipment and book the forwarder.
Advantages and limits
| Advantages | Limits |
|---|---|
| current market price for exactly this job | prices fluctuate with the market |
| no long-term commitment | prices can rise when capacity is tight |
| quickly test new providers | effort for every single shipment when done by hand |
Practical example: replacing a cancellation
Example with made-up figures: In the morning, a forwarder cancels a full truckload from Hamburg to Munich. The shipper tenders the shipment at 10 am with a deadline of 2 pm and invites five forwarders.
| Bid | Price | On-time rate |
|---|---|---|
| Bid 1 | €1,284 | 95 % |
| Bid 2 | €1,245 | 93 % |
| Bid 3 | €1,198 | 91 % |
| Bid 4 | €1,310 | 96 % |
| Bid 5 | €1,262 | 99 % |
Bid 3 has the best price, bid 5 the best on-time rate. Because the goods are needed in production the next morning, the shipper chooses bid 5: €64 more, but the highest certainty that the shipment arrives on time.
Spot tendering and freight tenders
A freight tender sets prices for a longer period and many lanes. Spot tendering complements it for everything that cannot be planned. Together, they make up complete freight procurement: fixed prices where volume is plannable, and market prices where things get short-term. You can read more about comparing the two under freight RFQ.
Spot tendering with eFrexx
In eFrexx, you tender a shipment in a few minutes, worldwide and for road, rail, sea and air freight.
Templates ensure that all quotes arrive in the same format.
eFrexx instantly shows the bids side by side and highlights the best price. You decide which bid wins the award based on your own criteria.
Frequently asked questions
How quickly do I receive quotes in a spot tender?
You decide that yourself with the deadline. For urgent shipments, it can be just a few hours. The shorter the deadline, the more important it is that the invited forwarders receive the request immediately and in full.
Do I always have to take the best price in a spot tender?
No. The best price is an important criterion, but not the only one. Especially for short-term shipments, a slightly more expensive forwarder who delivers reliably can be the better choice.
When does a shipment belong in a freight tender rather than a spot tender?
When it occurs regularly and predictably. If a lane is tendered on the spot market again and again, it is usually worth including it in the next tender and agreeing a fixed price.