Carrier Markup Groups

Carrier Markup Groups are groups of related Carrier Markups. Carrier Markups define cost-plus calculations that generate a Customer Quote total based on a Carrier Quote.

They are used to automatically calculate the customer’s price on the self-serve Customer Portal, and are also indicated on the Freight Quote Assistant page to help users properly price a load.

Associate a Carrier Markup Group with a customer by setting this field on the Customer Transportation Profile. You can also cascade by setting a default Carrier Markup Group on the Global Transportation Profile. View which Transportation Profiles are using the Carrier Markup Group in the related list of the Carrier Markup Group record.

Create a Carrier Markup Group

Create Carrier Markup Groups from TMS Admin → Carrier Markup Groups.

Create Carrier Markups

Each Carrier Markup has standards and calculation fields that determine if there is a match and then calculate the Carrier Markup.

To create Carrier Markups, in the Carrier Markup Group record, go to the Carrier Markups related list and create Carrier Markups by selecting the New button. Create and configure the Carrier Markup records as necessary.

Caution: The Mode field must be set to required from the Carrier Markup Lightning Record Page (LRP). Complete the following steps to set the field to required:
Navigate to a Carrier Markup record. If there are none, create a Carrier Markup first.
Select Setup → Edit Page.
Select the Mode field and set the UI Behavior to Required.
Click Save.

Required Fields

There are several required fields to create a Carrier Markup. Set the value for each of the following fields.

Required Field	Description
Carrier Markup Group	The Carrier Markup Group to which this Carrier Markup record is related. The default value is the current Carrier Markup Group record when creating this new Carrier Markup.
Markup Basis	The rate sources this Carrier Markup uses. The values are Carrier Quote and RateIQ. If the RateIQ value is chosen, the markup will only apply to Rate Entries where the Rate Method is set to RateIQ+Method. RateIQ can be applied to all Markup Types except Accessorial. Note: This field can have both Carrier Quotes and RateIQ as the chosen values. Refer to the Markup Basis section for more details. Default Value: Carrier Quote
Markup Type	The cost items to which the markup applies to the Customer Quote. Values include the following: Freight Fuel Accessorial Freight+Fuel+Accessorial Freight+Fuel Refer to the Markups and Rate Entries section for more details.
Mode	The Mode associated with this Carrier Markup. The Carrier Markup applies if the Mode also matches the Mode on the Load record. If the optional Carrier Service field has a value, this field is populated with the same Mode in the Carrier Service record. Warning: If the Mode field on the Load is blank, the markup will not apply.
Target Markup Percent	The suggested target markup percent. The percentage here is used in the calculation for the target markup.
Minimum Markup Percent	The minimum markup percent for a specific Carrier Service.
Minimum Markup Amount	The minimum markup amount for a specific Carrier Service.
Transaction Fee	The suggested transaction fee to add to the Target Markup Percent. The amount used here is part of the calculation for the target markup. Refer to the Transaction Fees section for more details.

Markup Basis

The Markup Basis field defines the rating source to use when marking up Customer Quotes using Rate Entries.

By default, the Carrier Quote value is chosen. If a customer has no matching Customer Rate Entries and has a matching Carrier Rate Entry, a Customer Quote is generated based on the matching markup for that Carrier Rate Entry.

The RateIQ value is used for RateIQ+Markup Rate Entries. When a RateIQ+Markup Rate Entry matches to the Load and the customer has a Carrier Markup Group that includes a RateIQ markup, then a Customer Quote is generated with the RateIQ calculation values marked up based on the RateIQ’s value at the time the quote was generated.

Note: The Carrier Quote and RateIQ values can both be chosen for the same Carrier Markup, however, the RateIQ markup takes precedence over the Carrier Quote markup.

If the RateIQ values are not marked up—for example, when a Load does not match to a RateIQ Calculation Rule—and a customer has a matching Carrier Rate Entry, then a Customer Quote is generated based on that Carrier Rate Entry. In that case where both values are chosen for the Markup Basis field, the Carrier Markup takes precedence over any other Customer Rate Entries.

A Carrier Markup Group can contain markups of RateIQ markups, Carrier Quote markups, and RateIQ and Carrier Quote markups.

Tip: To help make Carrier Quote markups specific to a Carrier Service or Carrier Rate Entry, create a Carrier Markup that does not include the RateIQ value for the Markup Basis field.

Transaction Fee

Transaction fees for Freight+Fuel and Freight+Fuel+Accessorial Markups are applied on a proportional basis. The percentage of the total for each charge type (freight, fuel, and/or accessorial) is multiplied by the transaction fee to calculate the amount each charge is added to each line.

Example 1

A Transaction Fee of $30 for a Freight+Fuel+Accessorial Markup is calculated as follows.

Freight: $100
Fuel: $100
Accessorial: $100
Total: $300
- $100/$300 = .33
- .33 x $30 Transaction Fee = $10
$10 is added to each line.
- Freight: $110
- Fuel: $110
- Accessorial: $110

Example 2

In cases when a Freight+Fuel+Accessorial Markup with a Transaction Fee matches, the following logic occurs.

Carrier Quotes containing a Freight charge, but no Fuel surcharge or Accessorial charge.
- The entire Transaction Fee is added to the Freight charge on the customer quote.
Carrier Quotes containing a Freight charge and Fuel surcharge, but no Accessorial charge.
- The Transaction Fee is added to the Customer Quote and split between the Freight and Fuel based on the percentage of the total charge represented by each individual charge. See Example 1 above for an example of the calculation to determine the percentage.
Carrier Quotes containing a Freight Charge, a Fuel surcharge, and an Accessorial charge.
- The Transaction Fee is added to the Customer Quote and split between the Freight, Fuel, and Accessorial based on the percentage of the total charge represented by each individual charge. See Example 1 above for an example of the calculation to determine the percentage.

Example 3

In cases when a Freight+Fuel Markup with a Transaction Fee matches, the following logic occurs based on the Carrier Quote that is marked up.

Carrier Quotes containing a Freight charge but no Fuel surcharge.
- The entire Transaction Fee is added to the Freight charge on the customer quote.
Carrier Quotes containing a Freight charge and Fuel surcharge, but no Accessorial charge.
- The Transaction Fee is added to the Customer Quote and split between the Freight and Fuel based on the percentage of the total charge represented by each individual charge. See Example 1 above for an example of the calculation to determine the percentage.
Carrier Quotes containing a Freight Charge, a Fuel surcharge, and an Accessorial charge.
- The Transaction Fee is added to the Customer Quote and split between the Freight and Fuel based on the percentage of the total charge represented by each individual charge. See Example 1 above for an example of the calculation to determine the percentage.

Optional Fields

The modal includes other optional fields when creating a Carrier Markup. Set these values for the following fields as necessary.

Note: By adding these optional fields, the Carrier Markup will not match to the Load or Carrier Stored Rate Entry unless those records match to these optional fields as well. Use these fields for filtering purposes.

Optional Field	Description
Effective Date	The date this Carrier Markup takes effect.
Expiration Date	The date this Carrier Markup expires.
Fuel Surcharge	This field appears if the Markup Type field is set to Fuel. The Carrier Markup applies if the Fuel Surcharge schedule also matches on a Rate Entry with the same schedule. If this field is blank, the markup applies to all Fuel Surcharges that do not have a specific Carrier Markup record.
Accessorial	This field appears if the Markup Type field is set to Accessorial. The Carrier Markup applies if the accessorial also matches on the Accessorial Rate Entry with the same accessorial. Warning: If this field is blank, the Carrier Markup does not apply to Customer Quotes for Loads with Accessorials.
Carrier Service	The Carrier Service associated with this Carrier Markup. If this field is blank, the markup applies to all Carrier Services that do not have a specific Carrier Markup record. Warning: Do not select a Carrier Service if the Markup Basis field has the RateIQ value chosen. Doing so will prevent a Customer Quote from generating.
Lane	The Lane associated with this Carrier Markup. If this field is blank, the markup applies to all Lanes that do not have a specific Carrier Markup record.
Minimum Carrier Quote	The minimum quote amount for a specific Carrier Service to meet in order to apply the Carrier Markup.
Maximum Carrier Quote	The maximum quote amount for a specific Carrier Service to meet in order to apply the Carrier Markup.
Minimum Load Weight	The minimum load weight criteria for filtering out this Carrier Markup.
Maximum Load Weight	The maximum load weight criteria for filtering out this Carrier Markup.
Weight Units	The unit of weight measurement for this Carrier Markup. Values include the following: lbs kg Default Value: lbs
NMFC Class	The NMFC classes to apply the Carrier Markup. This field is only relevant for Modes that have the LTL box checked.
Maximum Markup Amount	The maximum markup amount for a Specific Carrier Service.

Markup Matching Logic

The Carrier Markup Group field selected on the Customer Transportation Profile controls the set of Carrier Markups to apply to Customer Quotes. If no Carrier Markup matches to the Customer Quote, the Carrier Markup Group set on the Global Transportation Profile is used to find and apply a Carrier Markup.

The following cascade logic controls how Carrier Markups are matched and applied to a Customer Quote.

Matching occurs first for customer-specific Freight-only Markups.
1. Any matching Freight-only Markup is added to the Customer Quote.
2. Any matching Fuel-only and/or Accessorial-only Markups are added to the Customer Quote.
3. If no Freight-only Markup matches, the next step occurs.
Matching occurs for customer-specific Freight+Fuel Markups and may match with an Accessorial-only Markup.
1. Any matching Freight+Fuel Markup is added to the Customer Quote.
2. Any matching Accessorial-only Markups are added to the Customer Quote.
3. If no Freight+Fuel-only and/or Accessorial-Only Markup matches, the next step occurs.
Matching occurs for customer-specific Freight+Fuel+Acessorial Markups.
1. Any matching Freight+Fuel+Accessorial Markup is added to the Customer Quote.
2. If no Freight+Fuel+Accessorial Markup matches, the next step occurs.
The TMS then checks the Carrier Markup Group field set on the Global Transportation Profile.
1. This matching occurs again for Freight-only Markups.
2. Any matching Fuel-only and/or Accessorial-only Markups are added to the Customer Quote.
3. If no Freight-only Markup matches, the next step occurs.
Matching occurs for the Global Transportation Profile Freight+Fuel Markups and may match with an Accessorial-only Markup.
1. Any matching Freight+Fuel Markup is added to the Customer Quote.
2. Any matching Accessorial-only Markups are added to the Customer Quote.
3. If no Freight+Fuel-only and/or Accessorial-Only Markup matches, the next step occurs.
Matching occurs for Global Transportation Profile Freight+Fuel+Acessorial Markups.
1. Any matching Freight+Fuel+Accessorial Markup is added to the Customer Quote.

Note: Matching Markups are applied when the Customer Quote is created.

In some cases, Carrier Quotes returned from a quoting integration (such as Banyan or Project44) return with no freight charges or $0.

When Carrier Quotes are generated without a $0 freight charge, the following Markups are applied to Customer Quotes:

Matching occurs first for customer-specific Fuel-only and/or Accessorial-only Markups are added to the Customer Quote.
Matching occurs for customer-specific Freight+Fuel Markups and may match with an Accessorial-only Markup.
1. Any matching Freight+Fuel Markup is added to the Customer Quote.
2. Any matching Accessorial-only Markups are added to the Customer Quote.
3. If no Freight+Fuel Markup matches, no Customer Quote is generated as there are no Freight and no Fuel charges.
Matching occurs for customer-specific Freight+Fuel+Acessorial Markups.
1. Any matching Freight+Fuel+Accessorial Markup is added to the Customer Quote.

Carrier Markups and Rate Entries

Customer Rate Entries and Carrier Markups can be used together on the same Customer Quote, as each cost item is calculated independently. Rate Entries have priority over Carrier Markups if both match for a cost item.

If there is a customer stored Rate Entry for Freight, the Carrier Markup is not applied for Accessorial charges or Fuel. Since no markup is applied, only one Customer Quote is created and accepted.

The Freight+Fuel Markup Type only applies when an Accessorial Rate Entry matches to the Load.
- For example, when an Auto-Apply Accessorial is added for a Stop or to the Load.
The Freight+Fuel+Accessorial Markup Type only applies when no Customer Rate Entry matches to the Load.

RateIQ+Markup Rate Entries

The RateIQ+Markup Rate Entry lets you automatically calculate a rate on the Load using RateIQ’s market rates and add markups to Customer Quotes.

To set up this feature, ensure that the following settings are configured:

The Customer Transportation Profile has a Carrier Markup Group, which contains a Carrier Markup where the Markup Basis is set to the RateIQ value.
Ensure that the Mode field has a value.
Note: The Global Default Transportation Profile may also use a Carrier Markup Group that applies to all customers and cascades from the Customer Transportation Profile.

Warning: RateIQ+Markup Rate Entries only applies to Modes that do not have the LTL box checked. Ensure that both the Carrier Markup and Rate Entry records have the same non-LTL Mode selected.

Leave the Carrier Service field blank as a value in this field will prevent Customer Quotes based on RateIQ from generating.

The RateIQ Rate Entry User field in the Global Settings of TMS Admin → Configuration is set to a user who has API credentials to all RateIQ sources.
A RateIQ Calculation has the Active box checked and contains configured Data Sources.
The Customer Transportation Profile has a Rate Entry where:
- Category is set to Customer
- Rate Type is set to Freight+Fuel
- Rate Method is set to RateIQ+Markup
- Status is set to Accepted

Carrier Markup Application Examples

The Minimum Customer Freight Charge is applied when the Minimum Markup Percent or the Minimum Markup Amount is less than the Minimum Markup Amount plus the total Carrier Quote amount.

The examples below demonstrate when a Minimum Markup or a Minimum Customer Freight Charge applies.

Example 1

Minimum Customer Freight Charge: $350.
Minimum Markup Amount: $250.
Carrier Quote total: $35.
Carrier Quote total + Minimum Markup Amount = $285, less than the Minimum Customer Freight Charge ($350). The Minimum Customer Freight Charge is applied.

Example 2

Minimum Customer Freight Charge: $350.
Minimum Markup Amount: $250.
Carrier Quote total: $221.59.
Carrier Quote total + Minimum Markup Amount = $471.59, greater than the Minimum Customer Freight Charge ($350). The Minimum Markup Amount is applied.

When the Markup Type is Freight, Fuel and Accessorials are NOT included in the Minimum Customer Freight Charge. Fuel and accessorials may be added separately to the customer quote in addition to the Minimum Customer Freight Charge.

For LTL Mode loads, the line item must match all of the criteria on the Markup to apply. For example, an LTL load contains a line item with an NMFC value. If a Markup does not also contain an NMFC value, the Markup does not match and is NOT applied to the load. This functionality is specific to LTL type Modes ONLY.

The SMC3-related calculation fields are only relevant for SMC3 Carrier quotes where the Freight Charge Applied field is populated.