Freight transport is responsible for as much as 11% of greenhouse gas (GHG) emissions globally; emissions that urgently need to be reduced in order to meet ambitious decarbonization targets and transition to net-zero by 2035. Today, many freight-forwarders rely on trucking due to its speed and convenience. However, because shipments are both smaller and more frequent, it’s also one of the least carbon-efficient.
The team wanted to nudge businesses towards more carbon-efficient modes of transport, enabling them to balance carbon against cost when considering freight options. To do so, they needed to embed emissions data across their product offering, surfacing accurate metrics anytime businesses searched for carriers, inspected quotes, or booked shipments.
Challenge: Poor emissions visibility prevents sustainable shipping decisions
From the very first days of product development, it was clear that transparency around carbon emissions would be critical.
As the CTO and co-founder explains: “We heard continuously from our users that in order to create a model shift towards sustainable container logistics, we had to provide as much information as possible. It was key for us to prominently feature this data to help them make better decisions”.
Their team needed a way to access trusted carbon emissions data and automatically estimate the carbon footprint for transport routes and modes. Building this expertise and technical tooling in-house wasn’t a viable option.
“There are formulas out there for calculating emissions for various types of activities, but it would require us to put a lot of time into developing something that is not really our speciality.”
Instead, they searched for a partner who could meet their key criteria:
- Calculations needed to be credible, accurate and up to date with the latest carbon calculation methodology
- Insights needed to be easy to embed across their software
Their core product is engineered around a state-of-the-art tech stack, so it was critical they found a partner that offered modern REST APIs which could be seamlessly integrated and iterated upon.
The team tested a number of providers, but none aligned with their technological approach. Some options needed to be installed server-side, while others were just “ugly, old-time solutions.”
Solution: Climatiq’s Freight API seamlessly embeds accurate carbon metrics for all modes of freight transport across workflows
Climatiq's carbon calculation engine met all key requirements. Using Climatiq’s API, the team was able to seamlessly embed actionable carbon metrics into multiple key interfaces throughout their app.
The transparency of Climatiq’s data and the accuracy of its calculations was a major value-add. Climatiq provides precise carbon estimates for all modes of transport so that end-users can compare routes, pinpoint hotspots, and make informed decisions about freight forwarding.
Calculations are underpinned by a comprehensive database of emission factors, and accredited by the Smart Freight Center for GLEC compliance – the only globally recognized logistics GHG emissions framework. Climatiq’s data sets are also continuously improved and expanded upon, with all data processes overseen by a Scientific Advisory Board of leading climate scientists.
Results: Climatiq’s insights integrated by one developer in one sprint, achieving 82% in cost savings
The team found integrating Climatiq’s API remarkably straightforward, which significantly accelerated their product development. This integration enabled them to incorporate real-time carbon insights across their platform, displaying emissions data for logistics based on vessel size, fuel type, cargo weight, and load factor.
By utilizing Climatiq's plug-and-play integration, the company realized a cost reduction of 82%. This approach avoided the significant additional resources, including extra engineering and sustainability expertise, typically required for in-house development of a carbon calculation solution.
Now, carbon management is designed into all the core flows of the app. Carbon emissions for shipping solutions are prominently featured, so freight forwarders can instantly understand the impact of shipping options, compare alternatives, and make more sustainable decisions.
