Pricing Terms Beginner

Spot Quote

Also known as: Spot Pricing, Spot Market Rate, One-Time Quote

Definition

A spot quote is a one-time price for a specific shipment, negotiated outside of any existing contracted rates. Spot quotes are obtained when you need immediate capacity or when a shipment falls outside your normal shipping profile.

When to Get Spot Quotes

  • No contracted rate - Shipment to unusual destination
  • Capacity crunch - Regular carriers have no availability
  • Oversize/overweight - Doesn’t fit standard rate cards
  • Unusual requirements - Special handling, timing, equipment
  • New lanes - Testing carriers before contracting

Spot Quote vs. Contract Rate

Aspect Spot Quote Contract Rate
Commitment None Volume commitment
Price stability Varies by market Locked for contract period
Availability Subject to capacity Guaranteed capacity
Process Quote each shipment Pre-negotiated rates
Best for Occasional shipments Regular lanes

How to Get Spot Quotes

  1. Load boards - Post shipment details for carrier bids
  2. Freight brokers - They solicit quotes from their network
  3. Direct to carriers - Call or email carrier sales
  4. TMS platforms - Automated quote requests
  5. Carrier websites - Online quoting tools

Spot Market Dynamics

Spot rates fluctuate based on:

  • Seasonal demand - Higher during peak (produce season, holidays)
  • Capacity utilization - Tight capacity = higher rates
  • Fuel prices - Surcharges adjust with diesel costs
  • Regional imbalances - Rates differ by lane direction
  • Economic conditions - Freight volumes affect pricing

Tips for Spot Quotes

  • Get multiple quotes for comparison
  • Provide accurate shipment details
  • Be flexible on timing if possible
  • Build relationships for better rates
  • Know the current market conditions
  • Have backup options ready
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