Thursday, the capacity management platform Parade announced that it had raised $17 million in a venture round led by I Squared Capital.
We are excited to be leading Parade’s funding round during a transformative period for the freight industry, as it stands on the verge of a technological revolution. Kevin Crull, global infratech fund partner at I Squared Capital, stated that Parade’s AI-driven solutions have the potential to unlock significant productivity gains in an industry known for its cautious approach towards adopting technology.
Menlo Ventures, Greenhawk Ventures, Jones Ventures, The House Fund, Operator Stack, and a few unknown angel investors also took part in the round. Some of the new investors included Earthshot Ventures, Lineage Logistics, 9Yards Capital, RedBird Capital, Rising Tide Fund, McVestCo, Ubiquoss, and angel investor Malte Janzarik.
Since 2015, the company has raised a total of $36 million.
Parade Raises $17M to Expand AI Solutions and Client Base
Anthony Sutardja, the company’s CEO and co-founder, told FreightWaves that the money would be used to add more clients and bring to market new solutions that use artificial intelligence to help traders win more bids during RFP season.
|Funding amount||$17 million|
|Funding round||Venture capital|
|Lead investors||I Squared Capital|
|Secondary investors||Menlo, Greenhawk Capital, Jones Capital, The House Fund, Operator Stack, Earthshot Ventures, Lineage Logistics, 9Yards Capital, RedBird Capital, Rising Tide Fund, McVestCo, Ubiquoss, and private investors are some of the different types of investors.|
|Business goals for the round||Improve goods that use artificial intelligence and give agents options for bid season.|
|Total funding||$36 million|
Utilizing AI for Enhanced Information Exchange and Freight Wins
He said that, ultimately, we are working towards a transactional exchange of information between brokers and carriers. The user states that it is necessary for others to be informed about additional details regarding the shipment, such as the specific hours for pickup and the time constraints for delivery. The user also mentions that the information provided in a load posting is often insufficient to adequately describe all the necessary information. We can automate these conversations using our co-driver capacity product by utilizing generative AI.
In addition, our main focus in the upcoming months is to assist brokers in securing more freight. Generative AI and predictive AI can work together in that scenario. We have already announced our initial dynamic pricing tool for brokers, which demonstrates our keen understanding of networks. The next step is to assist them in achieving automated freight wins, enabling them to scale up effectively.
Digital Transformation: The New Norm in Freight Industry
Sutardja added that traders’ returns would be low because of how the market is right now and how much more attention is being paid to the business benefits that digital companies can bring.
The digital experience has become the new way of conducting business. For those who are more accustomed to traditional methods, it may be unclear what it truly entails to operate in an upcycle. Traditional brokers must catch up rapidly and operate at the same scale as the digital counterparts who are already functioning. The carrier sales rep will experience a shift in their role, taking on more responsibility in managing freight. It is an opportune moment to invest in operations, as stated by the speaker.
Every year, more than $11 billion worth of freight moves through the company’s system. The company can use this data to make new tools and improve its ties with transportation industry partners. These tools include transportation management systems, load boards, measurement tools, training solutions, and other carrier parts.
Contact Lading Logistics for comprehensive logistics solutions
Overall, AI is projected to increase productivity by over 40%, and its adoption is rising among organizations of all sizes. Lading Logistics is dedicated to staying up-to-date with the latest developments in the trucking industry. They offer a wide range of services, including:
- Freight forwarding
- Ocean, train, road, air, and container transport
- Storage solutions
- Last-mile pickup and delivery
- Retail sales and distribution
- Trade automation services
By leveraging their expertise and resources, Lading Logistics aims to provide efficient and reliable international shipping and logistics solutions for their clients.