In today’s fast-moving supply chain world, freight decisions are no longer simple. Shippers face growing pressure to balance speed, flexibility, and cost-efficiency — all while navigating volatile markets and shifting carrier capacities.

When traditional contracts aren’t available, how do you make the right choice? Should you opt for a quick Spot Rate, a competitive Spot Bid, or embrace the future with Dynamic Price Discovery (DPD)?

Let’s dive into the differences — and discover how you can future-proof your freight procurement strategy.

Spot Rating

What Is Spot Rating?

Spot Rating is the fastest and simplest way to get a shipment moving when no contracted rate exists. It’s a one-off negotiation with a carrier — perfect for urgent, non-standard shipments.

When should you use Spot Rating?

• There’s no contracted rate for the lane.
• You have an urgent load needing immediate dispatch.
• A preferred carrier rejects a load due to lack of capacity.

How it works:

• A planner requests a quote via TMS, carrier portal, email, API, or even a direct call.
• Carriers submit ad-hoc rates.
• The best rate is selected, and the shipment is tendered.

Supported in: Blue Yonder TMS, SAP TM, Oracle OTM, Manhattan Active TMS, MercuryGate TMS

Bottom line: Fast, effective, but with limited competition — use it when time is critical.

Spot Bidding

What Is Spot Bidding (Freight Auction)?

Spot Bidding introduces competition into the mix. Here, multiple carriers compete for your load through structured bids — often across several rounds — helping you drive costs down.

When should you use Spot Bidding?

• You want to test new carriers.
• You’re aiming for maximum cost savings.
• You need coverage for frequent but non-contracted shipments.

How it works:

• A Spot Bid Event is created in TMS.
• Carriers submit bids.
• The shipper evaluates based on price, service quality, and availability.
• The winning carrier is awarded the load.

Supported in: Blue Yonder TMS, SAP TM, Oracle OTM, Manhattan Active TMS, MercuryGate TMS

Bottom line: Spot bidding is cost-effective, but slower than spot rating — ideal when you have a little more time to find the best deal.

Dynamic Price Discovery (DPD): The Future of Freight

What Is Dynamic Price Discovery (DPD)?

Dynamic Price Discovery (DPD) is a real-time, tech-driven process where shippers and carriers negotiate based on live market conditions — not outdated contracts.

When should you use DPD?

• You need real-time market pricing.
• You want scalable, automated freight management.
• You’re dealing with market volatility (fuel spikes, driver shortages, etc.).

How it works:

• Shippers send quote requests via DPD.
• DPD communicates with multiple carriers and collects live quotes.
• Shippers instantly review and award tenders — all within seconds.

Supported in: Blue Yonder TMS (DPD), Uber Freight, LoadSmart APIs, Manhattan TMS (Dynamic Procurement), MercuryGate TMS*

Bottom line: DPD delivers speed, competition, and scalability — the perfect solution for agile, future-ready logistics teams.

Which Strategy Should You Choose?

• Need it now? → Go with Spot Rating.
• Hunting for the best price? → Run a Spot Bid.
• Ready to future-proof your freight strategy? → Embrace Dynamic Price Discovery (DPD).

In today’s hyper-connected world, staying flexible is the ultimate advantage. Dynamic, technology-driven procurement models like DPD can give you a competitive edge — helping you move faster, smarter, and cheaper.

Because in logistics, the right move at the right time is everything.

• Blue Yonder, Uber Freight, LoadSmart, SAP, Oracle, Manhattan Active, and MercuryGate are trademarks or registered trademarks of their respective owners.