Flock Freight recently published a new study that sheds light on the significant impact of freight inefficiencies on America’s food and beverage (F&B) waste crisis and rising prices. The study, conducted in collaboration with Drive Research, investigates how these inefficiencies are escalating the problem of F&B waste and its corresponding detrimental effect on consumers, businesses, and the environment.
America has a food and beverage waste problem, with nearly 40% of all food in the country going to waste each year. While end consumers play a part in this issue, F&B waste extends beyond untouched food at the table to include goods damaged during transportation.
The study found that freight damage, loss, and delays are costing shippers millions of dollars annually, eating into profits and leading to both economic and environmental losses. These inefficiencies are the leading cause of waste in F&B supply chains.
Key findings from the study include:
- In 2022, almost half of F&B shippers reported fully wasted shipments due to damage and loss, and 100% of shippers reported partially wasted shipments.
- Delayed shipments, the third top contributor to waste, can have varying impacts depending on the size of the company. In some cases, delayed shipments have forced 46% of shippers to discard entire shipments, resulting in nearly 2.4 million pounds of wasted food per shipper annually.
- This is the equivalent of:
- Over 2 million meals2
- Nearly 20,000 gallons of diesel3
- 753 metric tons of greenhouse gas emissions from landfills4
- This is the equivalent of:
- Damage and loss cost the average F&B shipper more than $6 million annually in 2022.
- Transportation delays negatively impacted sales by an average of 8% in 2022, with a ripple effect that increased the volume of wasted goods and strained relationships with customers.
- Transportation costs are the number one factor in rising F&B prices, with 77% of shippers identifying them as a driving force behind pricing changes.
“The results of this study are staggering. The amount of food wasted per shipper annually due to freight inefficiencies is not just a financial loss, but also an ethical and environmental concern that demands our immediate attention,” said Chris Pickett, COO at Flock Freight. “Flock’s shared truckload offering, FlockDirect, is an immediate solution. By addressing these inefficiencies head-on and leveraging advanced technology, we are not only saving businesses millions but also making a substantial impact on reducing food waste and lowering end consumer prices.”
By offering shared freight space on direct and terminal-free routes, FlockDirect significantly reduces damage, improves reliability, and saves on costs—ultimately leading to less F&B waste. Leveraging Flock Freight’s patented technology and powered by machine learning, FlockDirect moves goods along optimized routes, saving shippers $200k in wasted, delayed freight, and $400k in OTIF fees. These routes also avoid the high risk of damage common with standard LTL shipping, delivering a 99.8% damage-free rate and saving millions of dollars annually.
