Everyone who seeks out a freight company to transport their goods will only have a finite budget. They will therefore want a service that offers good value for money. Freight shipping rates can vary wildly depending on the nature of the commission.
There are numerous factors that determine how much it will cost. It is a good idea for customers to recognise these as it will help them to better understand why the price is fairly steep.
Within the industry, this tends to be the most common way to calculate the cost. The company will base their freight rate on the number of kilometres it will take to deliver the goods to its destination.
Sometimes the company will be transporting cargo that is extremely valuable. If so, then extra charges may be required in order to attain the right insurance coverage. Customers often allow the freight forwarder to deal with insurance issues and pay them for the additional service.
The nature of the journey itself may also be a big factor in the price. For example, if the job requires a boat crew to travel through dangerous waters, then they might charge more so that the risk is worth the financial returns.
Certain times of the year see a higher level of freight traffic. The months just before Christmas are a good example. If there is high demand for freight services, then customers may be required to pay more to secure a commission.