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In freight, Yield is the revenue amount that a carrier receives from a given unit of capacity. It is calculated by dividing the total revenue generated by the total capacity used.
For example, if a carrier receives $500,000 in revenue from transporting 50,000 tons of freight, its yield would be $10 per ton.
Yield is essential for carriers to understand because it helps them to track their profitability and efficiency. They can then recognize opportunities to improve their pricing or enhance their operations, so they can generate more revenue.
There are several aspects that can affect yield, including:
As an importer, it’s something to keep in mind when negotiating international shipping services.
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