DAT Solutions says it now is supplying Knight-Swift Transportation with a new rate forecasting tool that provides actionable short-term and long-term insights into transportation markets.
The predictive analytics tool delivers forecasts based on the DAT RateView database of more than $68 billion in annual freight transactions.
“Knight-Swift is eager to begin testing DAT’s new rate forecasting tools,” said Don Everhart, vice president of technology and analytics for Knight-Swift Logistics. “In our experience, DAT is the most accurate and complete source of spot and contract rate data available. We are looking forward to applying these rate predictions to significantly improve the speed we can serve customers, while mitigating price risk.”
The pilot program will run through the first quarter of 2020, DAT said. The DAT Rate Forecast then will be made widely available to third-party logistics providers, freight brokers, truck fleets, financial analysts, and other industry stakeholders at the start of Q2.
“DAT’s data science team tested the rate prediction algorithms for months, back-checking its forecasts against actual results and refining the models to improve accuracy, but the partnership with Knight-Swift provides the perfect proving ground,” according to Ken Adamo, DAT’s analytics chief.
“This pilot is an important step as we develop and broaden the commercial scope of our best-in-class forecasting tools,” Adamo said. “Our forecasting is based on the most historically complete database on the market today. That’s important, because the best indicator of future prices is historical prices, and by teaming with Knight-Swift, we can continue to refine the algorithms to solve real-world problems.”
Added Claude Pumilia, DAT CEO and president: “Our customers grapple with uncertainty every day. That’s why we’re proud to have earned the trust of Knight-Swift and look forward to working with them as they put our rate forecasting tools to use and get a clearer picture of the road ahead.”