Three years after acquiring Milestone Fresh, Shypple has decided to change the name of its perishables business to Shypple Fresh from 1 October. "We had already taken the decision to keep the Milestone Fresh name for the first few years at the time of acquisition, because of the reputation the company had in the fresh produce sector. Now that many Milestone customers have experienced the value of our Shypple platform, we felt the time was right to change the name as well," CEO Jarell Habets says.
Jarell launched the digital freight forwarding platform Shypple in late 2016, focusing mainly on the import flow of consumer goods from Asia in the first few years. "Initially, we thought that in this dry cargo market, our most business could be done, but we found out that the need for digitalization in the fresh produce sector was much higher."
"With the acquisition of Milestone Fresh in 2021, we brought in specific expertise in fresh produce, and the volumes processed through our platform have grown significantly. Dry cargo is less time-sensitive, has a much lower turnover rate, and offers higher margins. However, in fresh produce logistics, a mistake in the supply chain has a much greater impact on the outcome. To my surprise, the fresh produce sector is much more focused on innovation and digitalization than the so-called trendy companies outside of this sector, which are much more inventory-driven."
The team at Shypple and Milestone during the 2021 acquisition. From left to right: Omar Moghrani, Jarell Habets, Co van Es and Juri Falandt.
"In the fresh produce market, such as food and plants, freight forwarding still relies heavily on Excel spreadsheets, emails, phone calls, and other error-prone tools to manage the supply chain. As a digital forwarder in the air and sea freight market, we give people control over their shipments. Because freight can lose value so quickly, every piece of information is of great value. After all, that determines how you inform the rest of the chain," Jarell continues. "The combination of all the data points we offer our customers is unique in the market. Based on the purchase orders issued at the various farms, we know what will be harvested and shipped in which week. By linking all the data, the importer always has the most accurate information. Previously, importers had to refresh the local port's site to see the status of their container. Thanks to our platform, importers are 'in control' from harvest until the trade is at their doorstep. At the end of the day, it's all about control and efficiency."
On the Shypple platform, every step of the chain is visible.
From real-time data to artificial intelligence
"We already show accurate data on arrivals, customs inspections, and deliveries. Every step of the chain is visible on the platform. The next step would be to predict product quality, during transit. As this information on, among other things, airflow and temperature during the cargo becomes increasingly insightful, Artificial intelligence (AI) can be used to better predict how the products will come out of the container. With stricter laws and regulations coming at the industry, I am convinced that you can add value with a logistics, digital solution. Understanding that status is an innovation we can bring to the market."
Competition for the Shypple platform within the AGF sector is limited, according to Jarell. "Many fresh produce companies have placed their logistics with a cold store operator. Often these are stores that have invested in a piece of equipment in terms of packing and ripening and also handle the transport from the port to the cold store. However, our services go much further, as we provide customers with insights into their planning right from the moment of harvest. Shipping lines often provide the estimated arrival time of containers daily, but in my view, that should be real-time, similar to what terminal websites currently offer. The industry is moving in that direction, but large freight forwarders have yet to provide that level of service. We already deliver this, thanks to the right combination of technologies. The Netherlands is by far our largest market, but due to the re-export function, Rotterdam is often the first port of call for shipping lines, which allows us to automatically serve many customers across Europe."
Personal contact is not lost. "You no longer call for container status, but if there is a call, the conversation is much more substantive and is more about tactical planning than operational matters."
"All in all, it offers advantages for many companies to manage their cargo flows more digitally. Yet our biggest advantage is not purely in the technology. Shypple is not an ERP system, but a 'collaboration platform'. With a digital platform, many people sometimes worry that personal contact will be lost. Of course, it remains important to maintain the connection with the customer, but we see that the conversations with customers are much more substantive. There may be less interaction, but the conversations are more tactical and strategic. Companies no longer call us to ask for the status of their container; instead, we proactively inform them and offer different solutions if there are delays. Thus, the human aspect always remains and, with our platform, we give the customer an inside look at how we work as a freight forwarder."
For more information
Jarell Habets
Shypple Fresh
[email protected]
www.shypple.com/perishables