1 00:00:06,559 --> 00:00:09,240 Speaker 1: Hiur one, this is Lee clas Gawen. We're Talking Transports. 2 00:00:09,280 --> 00:00:12,440 Speaker 1: Welcome to Bloomberg Intelligence Talking Transports podcast. I'm your host, 3 00:00:12,520 --> 00:00:16,680 Speaker 1: Lee Klaskal, Senior freight transportation logistics analysts at Bloomberg Intelligence, 4 00:00:16,920 --> 00:00:19,639 Speaker 1: Bloomberg's in house research arm of almost five hundred analysts 5 00:00:19,640 --> 00:00:22,840 Speaker 1: and strategists around the globe before diving in little public 6 00:00:22,880 --> 00:00:25,880 Speaker 1: service announcement. Your support is instrumental to keep bringing great 7 00:00:25,920 --> 00:00:28,760 Speaker 1: guests and conversations to you, our listeners, and we need 8 00:00:28,800 --> 00:00:31,720 Speaker 1: your support. So please, if you enjoyed this podcast, share it, 9 00:00:32,120 --> 00:00:34,159 Speaker 1: like it and leave a comment. Also, if you have 10 00:00:34,200 --> 00:00:37,200 Speaker 1: any ideas for future episodes or just want to talk transports, 11 00:00:37,440 --> 00:00:39,960 Speaker 1: please set me up on the Bloomberg terminal, on LinkedIn 12 00:00:40,080 --> 00:00:43,400 Speaker 1: or on Twitter at logistics Lee. Now on to our episode, 13 00:00:43,479 --> 00:00:46,800 Speaker 1: We're delighted to have Chris Guggenheim, a serial entrepreneur and 14 00:00:46,840 --> 00:00:50,800 Speaker 1: the founder and CEO of Clearjet, which provides parcel delivery 15 00:00:50,840 --> 00:00:56,120 Speaker 1: services through its technology driven platform and network capacity partners. 16 00:00:56,800 --> 00:00:58,560 Speaker 1: Welcome to the podcast, Chris. 17 00:00:58,760 --> 00:00:59,960 Speaker 2: Thanks Lee, happy to be here. 18 00:01:00,120 --> 00:01:03,040 Speaker 3: So you know, Clearjet is not a household name. I 19 00:01:03,040 --> 00:01:05,440 Speaker 3: actually stumbled upon it. I thought it was a really 20 00:01:05,480 --> 00:01:08,160 Speaker 3: interesting model. Can you give a little more details about 21 00:01:08,160 --> 00:01:10,640 Speaker 3: what clearjet does in its business model. 22 00:01:10,880 --> 00:01:11,760 Speaker 2: Yeah, happy to so. 23 00:01:11,880 --> 00:01:17,200 Speaker 4: Clearjet is an interconnected network of airline cargo capacity that 24 00:01:17,200 --> 00:01:22,840 Speaker 4: connects retailers with localization around the country. So one of 25 00:01:22,880 --> 00:01:26,000 Speaker 4: the reasons we created the business was the challenges we 26 00:01:26,080 --> 00:01:29,200 Speaker 4: found when you know, a retailer out there has to 27 00:01:29,280 --> 00:01:33,840 Speaker 4: have either warehouses everywhere to localize their inventory to get 28 00:01:33,840 --> 00:01:36,920 Speaker 4: it local to customers so it's fast and affordable, or 29 00:01:37,040 --> 00:01:39,280 Speaker 4: they have to be you have to use the national carriers. 30 00:01:39,280 --> 00:01:42,720 Speaker 4: And what's historically happened is the rates have gotten so 31 00:01:42,880 --> 00:01:46,040 Speaker 4: out of parody and the retailers, as most people know, 32 00:01:46,160 --> 00:01:48,320 Speaker 4: had to give most of their products for free shipping 33 00:01:48,400 --> 00:01:51,520 Speaker 4: to convert the customers, similar to an Amazon. So we 34 00:01:51,560 --> 00:01:54,920 Speaker 4: went out there with a big mission. I went out 35 00:01:54,960 --> 00:01:58,960 Speaker 4: and found the leadership of the US airlines and convinced 36 00:01:58,960 --> 00:02:01,760 Speaker 4: them that this was a big opportunity to utilize their 37 00:02:02,000 --> 00:02:05,640 Speaker 4: air capacity and their jets to help retailers localizer packages. 38 00:02:06,200 --> 00:02:08,799 Speaker 3: And when you say the legacy providers, you're talking about 39 00:02:08,840 --> 00:02:10,960 Speaker 3: FedEx ups, US Postal Service. 40 00:02:11,680 --> 00:02:11,920 Speaker 2: YEP. 41 00:02:12,080 --> 00:02:15,919 Speaker 4: Yes, national carriers are traditionally what everyone in the country 42 00:02:15,919 --> 00:02:18,240 Speaker 4: has been used to have as a requirement wasn't a 43 00:02:18,240 --> 00:02:22,440 Speaker 4: lot of optionality. And you know, we are also big 44 00:02:22,480 --> 00:02:24,640 Speaker 4: fans of ups FedEx Amazon. 45 00:02:25,360 --> 00:02:27,240 Speaker 2: Our model is very carrier neutral. 46 00:02:27,440 --> 00:02:32,360 Speaker 4: However, we majority of customers we see have a big blend. 47 00:02:32,360 --> 00:02:33,600 Speaker 2: We call it a supercarrier. 48 00:02:33,760 --> 00:02:36,880 Speaker 4: So what that basically means in a nutshelle is you 49 00:02:36,919 --> 00:02:38,960 Speaker 4: can move one hundred percent of your packages to every 50 00:02:39,080 --> 00:02:41,400 Speaker 4: zip code in the country through Clearjet, and that might 51 00:02:41,440 --> 00:02:43,639 Speaker 4: go through a regional carrier. I might go through a 52 00:02:43,720 --> 00:02:47,040 Speaker 4: hyper local carrier and a national carrier for some zip codes. 53 00:02:47,919 --> 00:02:52,440 Speaker 3: Gotcha, And so you know these national carriers, they're your 54 00:02:52,480 --> 00:02:55,639 Speaker 3: competitors and they're your capacity providers. Is that correct? 55 00:02:56,040 --> 00:02:57,600 Speaker 2: Yeah, it's a great way to look at it. 56 00:02:57,639 --> 00:03:02,520 Speaker 4: We're we really have a firm belief that the point 57 00:03:02,560 --> 00:03:05,679 Speaker 4: to point delivery network that we created ten thousand commercial 58 00:03:05,680 --> 00:03:08,919 Speaker 4: flight today connecting city A to city B, is such 59 00:03:09,000 --> 00:03:10,280 Speaker 4: a more efficient. 60 00:03:10,400 --> 00:03:12,840 Speaker 2: Model than a hub and spoke modeling. 61 00:03:13,880 --> 00:03:16,760 Speaker 4: Yeah, we're seeing a lot of really fantastic conversions of customers. 62 00:03:16,760 --> 00:03:20,200 Speaker 4: I just want to deliver that Amazon Prime experience, but 63 00:03:20,240 --> 00:03:23,080 Speaker 4: without the complexity or the cost structures that they can't obtain. 64 00:03:24,120 --> 00:03:26,880 Speaker 3: And so if I'm say how many e commerce provider 65 00:03:28,120 --> 00:03:30,880 Speaker 3: seller of I don't know, I got to think of 66 00:03:30,919 --> 00:03:31,919 Speaker 3: something clean and funny. 67 00:03:31,919 --> 00:03:32,760 Speaker 2: Here hats. 68 00:03:32,760 --> 00:03:36,960 Speaker 3: We'll say hats. I'm a seller of hats habitasheri dot com, 69 00:03:37,480 --> 00:03:39,640 Speaker 3: so maybe I don't know if that's actually a site, 70 00:03:39,640 --> 00:03:42,320 Speaker 3: but anyway, I sell hats and I want to go 71 00:03:42,360 --> 00:03:44,920 Speaker 3: to you. So could you talk about the process. Like, 72 00:03:45,520 --> 00:03:49,920 Speaker 3: I'm on your your technology platform, I log in, I say, 73 00:03:49,960 --> 00:03:51,760 Speaker 3: I have a bunch of hats that need to get 74 00:03:51,800 --> 00:03:55,920 Speaker 3: to from New Jersey to California. Can you tell me 75 00:03:56,320 --> 00:03:58,800 Speaker 3: talk to me through you know, how you work with 76 00:03:58,840 --> 00:04:01,600 Speaker 3: the capacity provider to make sure that my hats get 77 00:04:01,600 --> 00:04:02,480 Speaker 3: to where they need to go. 78 00:04:03,400 --> 00:04:03,600 Speaker 2: Yeah. 79 00:04:03,680 --> 00:04:06,760 Speaker 4: Absolutely, So you're right. A lot of people meet clear 80 00:04:06,880 --> 00:04:08,680 Speaker 4: Jet and be like wow, okay, how does this work? 81 00:04:08,720 --> 00:04:12,080 Speaker 4: And the infrastructure Really the goal was to feel as 82 00:04:12,160 --> 00:04:14,720 Speaker 4: native and natural as what they're used to today. So 83 00:04:14,760 --> 00:04:17,440 Speaker 4: we want to be there at five o'clock. As an example, 84 00:04:17,960 --> 00:04:21,839 Speaker 4: just like a ups FedEx or carrier they've used prior seamlessly, 85 00:04:21,880 --> 00:04:24,440 Speaker 4: they can print all their labels through a Clearjet API. 86 00:04:25,160 --> 00:04:27,760 Speaker 4: Those labels that are printed our final mild carriers, they're 87 00:04:27,800 --> 00:04:31,480 Speaker 4: not Clearjet, So they could be five different carriers that 88 00:04:31,520 --> 00:04:34,479 Speaker 4: we pick up in one consolidation, like a Gaylord and 89 00:04:34,560 --> 00:04:37,760 Speaker 4: our truck is there and these are multi size assets. 90 00:04:37,800 --> 00:04:41,279 Speaker 4: These are third party gig drivers that work for Clearjet Drive. 91 00:04:41,360 --> 00:04:44,560 Speaker 4: It's a program we manage in house and essentially they're 92 00:04:44,600 --> 00:04:48,279 Speaker 4: bringing the packages to an airport that's close to them 93 00:04:48,400 --> 00:04:51,080 Speaker 4: and from there, Clearjet does its work at the airport. 94 00:04:51,160 --> 00:04:53,760 Speaker 4: So we sort the packages by lane. So think of 95 00:04:53,839 --> 00:04:56,240 Speaker 4: if you're in LA, we're going out. We've got Chicago lane, 96 00:04:56,279 --> 00:04:58,360 Speaker 4: in a New York, New Jersey lane at land a 97 00:04:58,440 --> 00:05:02,280 Speaker 4: lane at Texas, Dallas lane, maybe a Miami Florida, and 98 00:05:02,320 --> 00:05:06,160 Speaker 4: we consolidate those into air containers called clear Jet bags. 99 00:05:06,800 --> 00:05:10,039 Speaker 4: Those fly that night and they land first thing in 100 00:05:10,080 --> 00:05:12,120 Speaker 4: the morning. Traditionally it's you know, five to six hour 101 00:05:12,160 --> 00:05:14,680 Speaker 4: flight that's going all across the country and then we're 102 00:05:15,120 --> 00:05:17,080 Speaker 4: recovering them. So we were picking them up with a 103 00:05:17,120 --> 00:05:19,599 Speaker 4: truck on the reverse side at the airport and we 104 00:05:19,640 --> 00:05:22,359 Speaker 4: are taking them to each final mile carrier. What's pretty 105 00:05:22,400 --> 00:05:24,440 Speaker 4: neat is like let's say we land in New Jersey, 106 00:05:24,480 --> 00:05:27,159 Speaker 4: we might go to Veho and then over to on 107 00:05:27,320 --> 00:05:29,800 Speaker 4: Track and then over to the postal Service or over 108 00:05:29,839 --> 00:05:32,159 Speaker 4: to UPS or to FedEx. And we do this by 109 00:05:32,240 --> 00:05:36,280 Speaker 4: millions of packages. It's quite fascinating, and we've really orchestrated 110 00:05:36,279 --> 00:05:39,599 Speaker 4: this this where it seems so seamless that the retailers like, wow, 111 00:05:39,880 --> 00:05:42,440 Speaker 4: you delivered faster than I've ever had before unless I 112 00:05:42,480 --> 00:05:45,440 Speaker 4: was willing to pay for overnight or two day air 113 00:05:45,520 --> 00:05:48,000 Speaker 4: with ups FedEx from a west coast to East coast 114 00:05:48,000 --> 00:05:48,479 Speaker 4: type model. 115 00:05:48,920 --> 00:05:51,919 Speaker 3: And when you're sorting, do you have a sortation facility 116 00:05:51,960 --> 00:05:54,040 Speaker 3: that so, do you guys have assets on the ground 117 00:05:54,200 --> 00:05:55,520 Speaker 3: or how are you doing this? 118 00:05:56,120 --> 00:05:56,479 Speaker 2: We do. 119 00:05:56,839 --> 00:05:59,320 Speaker 4: We're a blended model, so we have a mix between 120 00:06:00,120 --> 00:06:03,120 Speaker 4: airport So airlines are very very close to us and 121 00:06:03,120 --> 00:06:05,800 Speaker 4: some are investors in Clearjet, and what we do is 122 00:06:05,839 --> 00:06:09,080 Speaker 4: we actually sort on their facility grounds at the airport 123 00:06:09,520 --> 00:06:12,680 Speaker 4: or in our own buildings. Example Los Angeles, Clearjet has 124 00:06:12,720 --> 00:06:16,640 Speaker 4: its own building in the Lax Airport, so we we 125 00:06:16,720 --> 00:06:19,840 Speaker 4: have managed one hundred percent in house. It's in our building, 126 00:06:19,920 --> 00:06:23,440 Speaker 4: it's in our shortation machines, and then and then goes 127 00:06:23,440 --> 00:06:25,919 Speaker 4: into the national normal network in the airline. 128 00:06:26,320 --> 00:06:28,320 Speaker 3: So you guys are three years old, so obviously you're 129 00:06:28,360 --> 00:06:30,599 Speaker 3: in startup and growth mode. Can you talk about like 130 00:06:30,640 --> 00:06:33,840 Speaker 3: how many packages you deliver? I don't know if it's 131 00:06:33,880 --> 00:06:36,400 Speaker 3: a day, a week, a month, whatever's metric that you have, 132 00:06:36,480 --> 00:06:38,720 Speaker 3: and and kind of talk to you know, how you've 133 00:06:38,720 --> 00:06:41,200 Speaker 3: been growing and where do you need to grow to 134 00:06:41,200 --> 00:06:44,320 Speaker 3: get the density that obviously is so important with freight 135 00:06:44,360 --> 00:06:45,640 Speaker 3: transportation logistics. 136 00:06:46,680 --> 00:06:49,240 Speaker 4: Yeah, so you know, yeah, you're absolutely right. We spent 137 00:06:49,279 --> 00:06:52,320 Speaker 4: the first year just building the team. Started with hiring 138 00:06:52,400 --> 00:06:56,760 Speaker 4: airline leadership from the cargo companies from Southwest, from United 139 00:06:57,600 --> 00:06:59,800 Speaker 4: and really started to build our leadership team. Then we 140 00:06:59,800 --> 00:07:03,039 Speaker 4: went and grabbed some other team members on the ground side, 141 00:07:03,040 --> 00:07:06,120 Speaker 4: so ex FEDEXX Amazon staff, the build kind of that 142 00:07:06,200 --> 00:07:09,520 Speaker 4: leadership model, and really what we wanted to be able 143 00:07:09,520 --> 00:07:12,000 Speaker 4: to do is to create the endless in model. So 144 00:07:12,000 --> 00:07:15,760 Speaker 4: where we are today is we've delivered thirty million packages 145 00:07:16,680 --> 00:07:20,080 Speaker 4: since we launched. We've been running what I call in 146 00:07:20,120 --> 00:07:24,240 Speaker 4: the air for well since January of last year, so 147 00:07:24,400 --> 00:07:26,000 Speaker 4: not even a full two years. 148 00:07:26,920 --> 00:07:28,440 Speaker 2: We've had hyper growth. 149 00:07:29,360 --> 00:07:32,760 Speaker 4: You know, many of the major retailers everybody knows uses us. 150 00:07:33,120 --> 00:07:35,520 Speaker 2: We also work a ton with the regional carriers. 151 00:07:35,560 --> 00:07:39,160 Speaker 4: We are one of their most interconnected air partners for 152 00:07:39,360 --> 00:07:42,520 Speaker 4: most of the regional carriers, and our whole strategy was 153 00:07:43,000 --> 00:07:46,600 Speaker 4: helping with an underutilization that we saw. I had first 154 00:07:46,600 --> 00:07:50,000 Speaker 4: had experience in my e commerce business trying to zone 155 00:07:50,040 --> 00:07:54,280 Speaker 4: skip with trucks. And you know, in twenty nineteen, I 156 00:07:54,360 --> 00:07:56,800 Speaker 4: moved almost ten million packages and I had three and 157 00:07:56,840 --> 00:08:00,160 Speaker 4: a half million dollars in underutilization costs. That killed me 158 00:08:00,600 --> 00:08:02,600 Speaker 4: and I thought, Wow, I saved all this money get 159 00:08:02,680 --> 00:08:05,320 Speaker 4: into a regional But know I sent three trucks out 160 00:08:05,360 --> 00:08:08,640 Speaker 4: from LA eastbound and I couldn't fill it up even 161 00:08:08,680 --> 00:08:11,680 Speaker 4: with the volume that I had in e commerce seven 162 00:08:11,760 --> 00:08:12,280 Speaker 4: days a week. 163 00:08:12,360 --> 00:08:13,800 Speaker 2: And this is what really drove me. 164 00:08:13,800 --> 00:08:16,280 Speaker 4: To start to figure out how how can I think 165 00:08:16,320 --> 00:08:19,080 Speaker 4: about the business model different because every retailer, unless you're 166 00:08:19,080 --> 00:08:21,240 Speaker 4: going to build locations everywhere, is going to feel this 167 00:08:21,320 --> 00:08:21,720 Speaker 4: pain point. 168 00:08:21,760 --> 00:08:23,840 Speaker 2: And that's why I've created clear Jet. 169 00:08:24,800 --> 00:08:26,920 Speaker 3: And so, you know, there's a lot of different people 170 00:08:26,920 --> 00:08:30,440 Speaker 3: that listen to this podcast. Some know a lot about transports, 171 00:08:30,440 --> 00:08:34,600 Speaker 3: some don't know anything, some somewhere in between like myself. 172 00:08:34,840 --> 00:08:38,400 Speaker 3: So can you talk about the zone skipping? What exactly 173 00:08:38,520 --> 00:08:40,600 Speaker 3: is that and why do you want to do that? 174 00:08:41,720 --> 00:08:43,080 Speaker 2: Yeah? Great, great question. 175 00:08:43,200 --> 00:08:47,800 Speaker 4: So zone skipping essentially is localization and what you find 176 00:08:47,880 --> 00:08:51,800 Speaker 4: in any transportation that the closer you are to the endpoint, 177 00:08:51,880 --> 00:08:52,679 Speaker 4: the cheaper it is. 178 00:08:53,080 --> 00:08:53,959 Speaker 2: So in the us. 179 00:08:54,080 --> 00:08:56,840 Speaker 4: There's eight zones across the country, so I think of 180 00:08:56,920 --> 00:08:59,480 Speaker 4: zones one through eight. Really two through eight is what 181 00:08:59,520 --> 00:09:02,079 Speaker 4: you tradition we see on a on a national rate card, 182 00:09:02,520 --> 00:09:04,800 Speaker 4: and what we try to do is erase half those zones. 183 00:09:04,880 --> 00:09:06,960 Speaker 4: We want when we when we pick up a package 184 00:09:07,000 --> 00:09:09,559 Speaker 4: in LA, when we land, we want to be back 185 00:09:09,559 --> 00:09:11,720 Speaker 4: in zone too. We want to start over as if 186 00:09:11,800 --> 00:09:14,000 Speaker 4: the package had been sitting there locally the whole time. 187 00:09:14,440 --> 00:09:17,360 Speaker 4: So what that now creates is the question really for 188 00:09:17,400 --> 00:09:20,839 Speaker 4: the customer is Okay, I see how you've erased my zones. 189 00:09:20,880 --> 00:09:24,400 Speaker 4: You lowered my costs by forty plus percent. Now can 190 00:09:24,480 --> 00:09:26,719 Speaker 4: you the cost that you're going to charge me to 191 00:09:26,800 --> 00:09:27,120 Speaker 4: fly it? 192 00:09:27,200 --> 00:09:29,520 Speaker 2: There? Is there any savings in between? And the answer 193 00:09:29,600 --> 00:09:30,440 Speaker 2: is one hundred percent. 194 00:09:31,440 --> 00:09:34,520 Speaker 4: We are so hyper efficient by the way we built 195 00:09:34,559 --> 00:09:36,920 Speaker 4: a model because we are not supporting a capex or 196 00:09:36,960 --> 00:09:40,760 Speaker 4: an optics that a air cargo division or company has. 197 00:09:41,280 --> 00:09:45,040 Speaker 4: We are we are essentially writing the bellies of already 198 00:09:45,080 --> 00:09:46,800 Speaker 4: existing passenger aircraft. 199 00:09:47,520 --> 00:09:50,000 Speaker 3: Now, I know you're not going to you know, give 200 00:09:50,200 --> 00:09:53,800 Speaker 3: you know name names in terms of your customers. So 201 00:09:53,920 --> 00:09:57,959 Speaker 3: are all your customers just everyone that's competing against Amazon? 202 00:09:58,760 --> 00:10:02,040 Speaker 3: Do you do do you work with Amazon. 203 00:10:03,120 --> 00:10:06,439 Speaker 4: So it's it's not an Amazon versus not Amazon. Our 204 00:10:06,679 --> 00:10:09,280 Speaker 4: models we would we'd love to move packages to Amazon 205 00:10:09,480 --> 00:10:12,320 Speaker 4: to customers that buy on Amazon dot Com or that 206 00:10:12,360 --> 00:10:15,720 Speaker 4: can buy on Shopify through a retailer brand or website. 207 00:10:15,760 --> 00:10:19,240 Speaker 4: We are one hundred percent carrier neutral and and yes 208 00:10:19,280 --> 00:10:21,920 Speaker 4: we do work with Amazon. We work with everybody. So 209 00:10:22,200 --> 00:10:24,120 Speaker 4: if you look at and it's on our site, it's 210 00:10:24,200 --> 00:10:28,080 Speaker 4: very public information that we're essentially connected to every asset 211 00:10:28,120 --> 00:10:30,800 Speaker 4: provider in the country that we believe has high impact 212 00:10:30,800 --> 00:10:32,640 Speaker 4: and great service and a certain zip code. 213 00:10:33,480 --> 00:10:37,079 Speaker 3: And so you know, using your service, obviously, cost is 214 00:10:37,120 --> 00:10:38,760 Speaker 3: one of the main reasons why people are going to 215 00:10:38,760 --> 00:10:40,360 Speaker 3: be using you. 216 00:10:40,480 --> 00:10:40,920 Speaker 2: How do you. 217 00:10:40,880 --> 00:10:44,600 Speaker 3: Benchmark your costs to the to the shipper relative to 218 00:10:44,640 --> 00:10:47,080 Speaker 3: a FedEx UPS or even the US Postal Service. 219 00:10:48,040 --> 00:10:51,760 Speaker 4: Yeah, you know, one of the biggest differentiations between going 220 00:10:51,800 --> 00:10:54,400 Speaker 4: to Clearjet direct or going to a National Care direct 221 00:10:54,440 --> 00:10:58,040 Speaker 4: is agility. We allow you to say, here's my pain points, 222 00:10:58,160 --> 00:11:00,800 Speaker 4: what part of your network will solve my problems. So 223 00:11:01,120 --> 00:11:03,560 Speaker 4: if I'm a you know, a customer in New York 224 00:11:03,559 --> 00:11:05,480 Speaker 4: and I'm like, I need to get to Seattle, that's 225 00:11:05,480 --> 00:11:08,560 Speaker 4: a tough that's a tough slog for a national carrier. 226 00:11:08,840 --> 00:11:11,160 Speaker 4: Now you could use a traditional just ground model and 227 00:11:11,240 --> 00:11:13,600 Speaker 4: depending on how your your rate is built, like if 228 00:11:13,640 --> 00:11:15,960 Speaker 4: you have a flat zone, that's one model that ups 229 00:11:16,000 --> 00:11:19,360 Speaker 4: FedEx have had historically. That's changed a lot postal service. 230 00:11:19,400 --> 00:11:21,480 Speaker 4: If you look at what a ground advantage price point 231 00:11:21,520 --> 00:11:23,640 Speaker 4: is from LA to New York, it can be over 232 00:11:24,000 --> 00:11:26,280 Speaker 4: fifty like a double the price. So if I have 233 00:11:26,360 --> 00:11:29,600 Speaker 4: a seven dollars package there, somehow it's fifteen dollars or 234 00:11:29,600 --> 00:11:31,720 Speaker 4: fourteen dollars going to New York. He's like, God, it's 235 00:11:31,720 --> 00:11:35,720 Speaker 4: such a massive, you know, distribution of costs. We completely 236 00:11:36,200 --> 00:11:38,040 Speaker 4: kind of erase that model. We say, hey, we're going 237 00:11:38,120 --> 00:11:40,160 Speaker 4: to start at the ground price once we cross the 238 00:11:40,200 --> 00:11:42,000 Speaker 4: country for you know, call it a dollar. 239 00:11:43,040 --> 00:11:45,880 Speaker 3: And do you guys do like like your shippers, do 240 00:11:45,960 --> 00:11:49,280 Speaker 3: they ship everything? Do you work in perishables like wine, 241 00:11:49,480 --> 00:11:51,880 Speaker 3: like you know, some specialty stuff like that? Are you 242 00:11:51,920 --> 00:11:57,040 Speaker 3: pretty much kind of like plain old retail like clothes 243 00:11:57,240 --> 00:11:58,680 Speaker 3: and things of that nature? Apparel? 244 00:11:59,640 --> 00:12:02,720 Speaker 4: Most our customers fall in the ladder. We have had 245 00:12:02,760 --> 00:12:05,760 Speaker 4: lots of conversations. So the really only blockers for us 246 00:12:05,800 --> 00:12:09,200 Speaker 4: are hazmat So wind's no problem. But booze is a problem. 247 00:12:09,200 --> 00:12:13,240 Speaker 4: You know, anything it's flammable, anything, anything it's in hazmat category, 248 00:12:13,360 --> 00:12:16,880 Speaker 4: so ion linted ion batteries or something that we have 249 00:12:16,960 --> 00:12:19,560 Speaker 4: to you know, we do have hazmat certification. We are 250 00:12:19,600 --> 00:12:21,199 Speaker 4: an iak as a company, so we have a lot 251 00:12:21,240 --> 00:12:23,800 Speaker 4: of compliance officers and stuff on in the company that 252 00:12:23,800 --> 00:12:26,839 Speaker 4: work locally. And one of the things that we've we 253 00:12:26,880 --> 00:12:29,600 Speaker 4: look at is there's a very simple rule set out 254 00:12:29,600 --> 00:12:32,040 Speaker 4: there what can move and the passenger aircraft and what can't. 255 00:12:32,120 --> 00:12:33,520 Speaker 2: And we kind of follow those guidelines. 256 00:12:33,559 --> 00:12:36,319 Speaker 4: But you know, like the batteries are inside the device, 257 00:12:36,360 --> 00:12:37,960 Speaker 4: it's not it's it's not a problem. But if you're 258 00:12:38,000 --> 00:12:40,360 Speaker 4: just carrying a bunch of multipacks of batteries, it's not. 259 00:12:40,720 --> 00:12:41,560 Speaker 2: They won't let that happen. 260 00:12:41,600 --> 00:12:44,600 Speaker 4: So but we're we haven't had that as a major 261 00:12:44,600 --> 00:12:48,040 Speaker 4: blocker with any customers we're working with. I'd say, we don't. 262 00:12:48,280 --> 00:12:50,640 Speaker 4: We don't move fragrances. So you know, we start thinking 263 00:12:50,679 --> 00:12:53,520 Speaker 4: about companies that have a mixed category. Those are ones 264 00:12:53,520 --> 00:12:56,160 Speaker 4: we haven't touched just because they're more highly flammable. But 265 00:12:56,240 --> 00:12:59,600 Speaker 4: generally speaking, we're we're one to five pounds is our 266 00:12:59,679 --> 00:13:02,400 Speaker 4: average customer we're one to ten pounds is kind of 267 00:13:02,440 --> 00:13:04,360 Speaker 4: like our you know what, when we look at a 268 00:13:04,360 --> 00:13:06,800 Speaker 4: customer's data file, that's where we find that we're the 269 00:13:06,800 --> 00:13:10,840 Speaker 4: most effective. And we're also we love kind of I 270 00:13:10,920 --> 00:13:13,800 Speaker 4: call it like boots size boxes smaller if you kind 271 00:13:13,800 --> 00:13:16,840 Speaker 4: of you think of general size. So from a dimensional factor, 272 00:13:17,679 --> 00:13:19,480 Speaker 4: you know, we want to we want to keep our 273 00:13:20,280 --> 00:13:23,240 Speaker 4: our dim factors very concentrated so that we can just 274 00:13:23,280 --> 00:13:25,520 Speaker 4: move a lot. And I can tell you more about 275 00:13:25,520 --> 00:13:28,199 Speaker 4: how we move what makes us kind of unique in 276 00:13:28,200 --> 00:13:28,840 Speaker 4: that way as well. 277 00:13:29,280 --> 00:13:31,520 Speaker 3: So my hat business be a perfect business for you. 278 00:13:31,960 --> 00:13:32,840 Speaker 2: We love some hats. 279 00:13:33,160 --> 00:13:36,559 Speaker 3: Love hats, yeah, so please continue, like do tell us 280 00:13:36,559 --> 00:13:39,400 Speaker 3: like how do you work with them? 281 00:13:39,720 --> 00:13:42,280 Speaker 4: So one of the things that I learned, so for 282 00:13:42,320 --> 00:13:45,000 Speaker 4: people that don't know my story, I started this vision 283 00:13:45,080 --> 00:13:47,480 Speaker 4: of the company in twenty twenty January twenty twenty, I 284 00:13:47,520 --> 00:13:52,360 Speaker 4: met this the CEO of United Cargo and pitch the 285 00:13:52,440 --> 00:13:55,520 Speaker 4: vision and really actually was asked. It was like, hey, 286 00:13:55,880 --> 00:13:58,319 Speaker 4: I have this need. You guys have airplanes that can 287 00:13:58,360 --> 00:14:02,520 Speaker 4: move it, And that really moved quickly into we've been 288 00:14:02,559 --> 00:14:05,040 Speaker 4: talking about me being the airline's been talking about being 289 00:14:05,080 --> 00:14:08,520 Speaker 4: in in e commerce delivery on a domestic us level 290 00:14:08,920 --> 00:14:11,679 Speaker 4: for twenty years, but not one of them had done it, 291 00:14:11,720 --> 00:14:14,719 Speaker 4: and so I really got into the weeds of them, 292 00:14:14,840 --> 00:14:17,920 Speaker 4: like why, and I learned so much that the airline cargoes, 293 00:14:18,200 --> 00:14:21,720 Speaker 4: you know, bays are they're they're very small compared to 294 00:14:21,800 --> 00:14:24,400 Speaker 4: the parent company and the passenger side of their business, 295 00:14:24,480 --> 00:14:26,960 Speaker 4: and so you have a lot of third parties doing 296 00:14:27,000 --> 00:14:29,320 Speaker 4: a lot of the actual groundwork. So trans you know, 297 00:14:29,360 --> 00:14:32,040 Speaker 4: these are ground handlers that do tons of services from 298 00:14:32,080 --> 00:14:34,040 Speaker 4: putting food on the plane to cleaning the plane, to 299 00:14:34,800 --> 00:14:38,720 Speaker 4: sortation and bags and and so the orchestration was actually 300 00:14:38,800 --> 00:14:41,120 Speaker 4: quite complex because you have to work with so many 301 00:14:41,160 --> 00:14:43,640 Speaker 4: providers and and if you're going to create an excellence model, 302 00:14:43,760 --> 00:14:46,040 Speaker 4: you have to you have to create a model that's 303 00:14:46,040 --> 00:14:48,320 Speaker 4: basically your model, and then the teams that you hire 304 00:14:48,360 --> 00:14:51,240 Speaker 4: and hourly contractors have to have to sync up with 305 00:14:51,280 --> 00:14:54,920 Speaker 4: that dynamic. And obviously software, you know, the air cargo 306 00:14:55,120 --> 00:14:58,720 Speaker 4: are air cargo airlines and airlines are really behind in technology. 307 00:14:58,840 --> 00:15:01,760 Speaker 2: So we're we've brought a whole new new way of 308 00:15:01,760 --> 00:15:03,600 Speaker 2: looking at the world. We do a lot through AI. 309 00:15:03,720 --> 00:15:06,320 Speaker 2: We can unpack that here in a minute, but. 310 00:15:06,080 --> 00:15:08,440 Speaker 4: That was our idea was like, Okay, we started with 311 00:15:08,520 --> 00:15:11,880 Speaker 4: United Airlines, we went and brought in all the other airlines. 312 00:15:11,920 --> 00:15:15,160 Speaker 4: The pandemic was a real challenge, put us on a 313 00:15:15,160 --> 00:15:18,120 Speaker 4: complete hole for two years because the airlines started canceling flights. 314 00:15:19,040 --> 00:15:22,800 Speaker 4: So twenty three we launched clear Jet officially and we 315 00:15:22,880 --> 00:15:27,920 Speaker 4: launched you know, we had United, American, Delta, Southwest Jet, 316 00:15:27,920 --> 00:15:32,200 Speaker 4: Blue Air, Canada, West Jet, We've got cargo Jet partners. 317 00:15:32,200 --> 00:15:35,520 Speaker 4: So we've we've really built a probably the one the 318 00:15:35,600 --> 00:15:39,000 Speaker 4: largest capacity of air available, and we've made it, you know, 319 00:15:40,080 --> 00:15:42,600 Speaker 4: structurally where it's easy. What I found when I first 320 00:15:42,640 --> 00:15:45,320 Speaker 4: started doing this, retailers had tried to go to airlines 321 00:15:45,360 --> 00:15:48,360 Speaker 4: and had a lot of problems. And because they come 322 00:15:48,360 --> 00:15:51,680 Speaker 4: from two different worlds, a retailer like, hey, why don't 323 00:15:51,720 --> 00:15:53,320 Speaker 4: you just do what UPS does in the airlines like 324 00:15:53,360 --> 00:15:56,320 Speaker 4: I don't even know what that means, and they want 325 00:15:56,360 --> 00:15:58,280 Speaker 4: you to bring the cargo to their cargo bay, and 326 00:15:58,320 --> 00:16:00,720 Speaker 4: then you know all the challenge that you find where 327 00:16:00,720 --> 00:16:04,560 Speaker 4: they don't want but two, I guess operators don't understand 328 00:16:04,560 --> 00:16:07,000 Speaker 4: each other's businesses and the end result is failed product. 329 00:16:09,800 --> 00:16:12,960 Speaker 3: So you know, we mentioned that. You know you're an entrepreneur, 330 00:16:13,480 --> 00:16:16,400 Speaker 3: so are you like a more of a tech guy 331 00:16:16,520 --> 00:16:20,160 Speaker 3: or a freak guy, or you know kind of like, 332 00:16:20,640 --> 00:16:24,440 Speaker 3: how did you realize that you needed to build this? 333 00:16:25,680 --> 00:16:26,600 Speaker 2: Yeah, I'm a tech guy. 334 00:16:27,240 --> 00:16:29,880 Speaker 4: I've been in e commerce since ninety seven. Most people 335 00:16:29,920 --> 00:16:32,840 Speaker 4: know my backgrounds from the sports and music industry. Here 336 00:16:32,880 --> 00:16:35,240 Speaker 4: in Austin, Texas. Willie Nelson was my client when I 337 00:16:35,240 --> 00:16:38,280 Speaker 4: was nineteen years old. I built all his online properties 338 00:16:38,320 --> 00:16:41,360 Speaker 4: and started selling his T shirts and that company grew 339 00:16:41,520 --> 00:16:44,240 Speaker 4: over twelve years, and I was working with most of 340 00:16:44,280 --> 00:16:46,200 Speaker 4: the people in the state that were in the music space. 341 00:16:46,240 --> 00:16:50,720 Speaker 4: And then went to Nashville, and Yeah, my takeaway was 342 00:16:50,760 --> 00:16:53,480 Speaker 4: I had I ended up having tons of retailers in 343 00:16:53,560 --> 00:16:56,640 Speaker 4: one lie. My other business that many know me from 344 00:16:57,360 --> 00:17:00,800 Speaker 4: is Shopify's largest agency. We have over twelve hundred shop 345 00:17:00,840 --> 00:17:04,159 Speaker 4: by plus stores. I mean, we've sold over a billion 346 00:17:04,200 --> 00:17:06,760 Speaker 4: dollars in GMV as. You can imagine working with so 347 00:17:06,920 --> 00:17:09,879 Speaker 4: many brands one on one for so many years of 348 00:17:09,920 --> 00:17:15,280 Speaker 4: my life, this concept of transportation was a real problem, 349 00:17:15,440 --> 00:17:18,600 Speaker 4: and I realized that it didn't matter how big your 350 00:17:18,600 --> 00:17:20,879 Speaker 4: brain your customer was or how small, they all have 351 00:17:21,000 --> 00:17:24,120 Speaker 4: the same problem. That you go to negotiate a national 352 00:17:24,119 --> 00:17:28,240 Speaker 4: carrier contract and your rates are extremely hard to win, 353 00:17:28,280 --> 00:17:30,399 Speaker 4: and so not all the SMBs. So to think of 354 00:17:30,440 --> 00:17:33,159 Speaker 4: the small brands, they're kind of toast and they had 355 00:17:33,160 --> 00:17:35,840 Speaker 4: to kind of go to platforms to get whatever rates 356 00:17:35,880 --> 00:17:37,520 Speaker 4: are available on the platform. And then if you're the 357 00:17:37,560 --> 00:17:41,960 Speaker 4: big brand, you're constantly toggling, negotiating between ups FedEx back 358 00:17:41,960 --> 00:17:43,679 Speaker 4: and forth. And now Amazon's coming the picture, and then 359 00:17:43,720 --> 00:17:45,160 Speaker 4: you have the post Office has just been all over 360 00:17:45,200 --> 00:17:48,600 Speaker 4: the map and mostly known for the outspace business and 361 00:17:48,640 --> 00:17:51,919 Speaker 4: the first class it's downground advantage. What I wanted to 362 00:17:51,960 --> 00:17:54,520 Speaker 4: do is I wanted to completely get away from the 363 00:17:54,600 --> 00:17:57,919 Speaker 4: traditional hub and spoke national carriers and create. 364 00:17:57,760 --> 00:17:59,680 Speaker 2: A model where you can plug and play. 365 00:17:59,680 --> 00:18:02,399 Speaker 4: What I about Shopify and Stripe and brands that I 366 00:18:02,480 --> 00:18:06,080 Speaker 4: watched create an infrastructure. You could plug into them and 367 00:18:06,119 --> 00:18:08,320 Speaker 4: do so many things. You can stand up a store 368 00:18:08,880 --> 00:18:11,040 Speaker 4: or on Stripe, you could instantly take payments from so 369 00:18:11,040 --> 00:18:14,880 Speaker 4: many places. And that's really what Clearjet's building. Behind the scenes. 370 00:18:15,840 --> 00:18:18,640 Speaker 4: We are completely vertically integrating. We're building our own driver 371 00:18:18,720 --> 00:18:21,920 Speaker 4: network of drivers with box trucks and vans and fifty 372 00:18:21,920 --> 00:18:25,160 Speaker 4: three footers all over the country. We're in thirty three 373 00:18:25,200 --> 00:18:28,399 Speaker 4: airports across the country. Some of our investors as you 374 00:18:28,400 --> 00:18:30,440 Speaker 4: guys if you look up, you know Venture fifty three. 375 00:18:30,480 --> 00:18:33,280 Speaker 4: So we have the SDS Trucking Company behind us, so 376 00:18:33,320 --> 00:18:36,040 Speaker 4: we have access to all their facilities as hundreds of facilities, 377 00:18:36,080 --> 00:18:38,360 Speaker 4: so we can localize pickups around the country. 378 00:18:39,240 --> 00:18:41,040 Speaker 2: We really have a big, big mission. 379 00:18:40,720 --> 00:18:44,480 Speaker 4: Here and we are we're almost partners with everybody, you know. 380 00:18:44,800 --> 00:18:47,919 Speaker 4: You know, anyone that sees us as competitor may not 381 00:18:47,960 --> 00:18:50,320 Speaker 4: really understand what we are because they could use us. 382 00:18:50,520 --> 00:18:52,720 Speaker 4: They could instantly say, oh wait, hold on, I thought 383 00:18:52,720 --> 00:18:54,480 Speaker 4: you were a competitor. Can you give me a flight 384 00:18:54,520 --> 00:18:56,919 Speaker 4: from here to here? And we would love to take it. 385 00:18:58,000 --> 00:19:00,560 Speaker 3: And so when you when you're buying, I guess, so 386 00:19:00,560 --> 00:19:02,919 Speaker 3: what do you do? So do you buy capacity and 387 00:19:03,000 --> 00:19:07,760 Speaker 3: then kind of resell that capacity to shippers and the 388 00:19:07,800 --> 00:19:10,720 Speaker 3: capacity that if that's true, like, are these like long 389 00:19:10,840 --> 00:19:14,320 Speaker 3: term contracts, Like how do the you know, broadly speaking, 390 00:19:14,359 --> 00:19:18,240 Speaker 3: the economics work with Let's stick with the air capacity 391 00:19:18,280 --> 00:19:20,879 Speaker 3: first and then we can go talk about the ground capacity. 392 00:19:21,720 --> 00:19:21,960 Speaker 2: Yeah. 393 00:19:21,960 --> 00:19:24,119 Speaker 4: I think one of the things that's that could be 394 00:19:24,160 --> 00:19:25,919 Speaker 4: a misconception is that they're like, oh, there's they're just 395 00:19:25,920 --> 00:19:28,639 Speaker 4: a freight forward or forwarding you know, air air freight 396 00:19:28,960 --> 00:19:32,720 Speaker 4: and We're actually much more complex than that, and that's 397 00:19:32,800 --> 00:19:35,520 Speaker 4: why also why the air carriers like us, because we're 398 00:19:35,520 --> 00:19:38,040 Speaker 4: actually bringing a lot more value than just reselling space. 399 00:19:38,119 --> 00:19:40,720 Speaker 2: Of course they're happy to take everyone's money, but it's. 400 00:19:40,560 --> 00:19:43,240 Speaker 4: A little bit different where we are actually handling the 401 00:19:44,280 --> 00:19:46,399 Speaker 4: point to point supply chain. We're handling the trucking that 402 00:19:46,440 --> 00:19:48,480 Speaker 4: they have nothing to do with. We're handing the sortation 403 00:19:48,560 --> 00:19:50,199 Speaker 4: that they have nothing to do with, and then we 404 00:19:50,440 --> 00:19:53,000 Speaker 4: take the air routes and then we'll recover they have 405 00:19:53,080 --> 00:19:55,160 Speaker 4: nothing to do with. So I say they being airlines 406 00:19:55,440 --> 00:19:57,480 Speaker 4: and air carriers and then final mile. 407 00:19:57,880 --> 00:20:00,160 Speaker 2: We've created a model where you can bring your our. 408 00:20:00,080 --> 00:20:02,320 Speaker 4: Own rates, which is unheard of, meaning hey, you can 409 00:20:02,400 --> 00:20:05,639 Speaker 4: give Clearjet five different carriers and cutting including ups, FedEx 410 00:20:05,680 --> 00:20:08,480 Speaker 4: and and all the regionals that are awesome, or you 411 00:20:08,520 --> 00:20:10,320 Speaker 4: can have you can use our rates and you can 412 00:20:10,400 --> 00:20:12,720 Speaker 4: use our API to to toggle between them. We wanted 413 00:20:12,720 --> 00:20:17,200 Speaker 4: to create this optionality that gives you the best price 414 00:20:17,280 --> 00:20:19,399 Speaker 4: and speed based on what your goal is to a 415 00:20:19,400 --> 00:20:21,720 Speaker 4: certain area. We really look at the world and or 416 00:20:22,040 --> 00:20:25,399 Speaker 4: the states mostly around a zip code. How can we 417 00:20:25,440 --> 00:20:27,680 Speaker 4: get it to a you know, a Seattle zip code, 418 00:20:27,680 --> 00:20:30,679 Speaker 4: which is pretty inconvenient when you think about population, but 419 00:20:30,720 --> 00:20:32,439 Speaker 4: you still got a lot of customers. You've got a service, 420 00:20:32,600 --> 00:20:34,600 Speaker 4: but also make the same price point as you know 421 00:20:34,640 --> 00:20:35,320 Speaker 4: downtown LA. 422 00:20:36,000 --> 00:20:40,720 Speaker 3: So for my habitatari business, uh, I can go onto 423 00:20:41,080 --> 00:20:43,440 Speaker 3: you know your system, and then I can see the 424 00:20:43,560 --> 00:20:46,520 Speaker 3: rates that I negotiated with FedEx and UPS and then 425 00:20:46,520 --> 00:20:49,320 Speaker 3: I can see alternative rates that you know, you guys 426 00:20:49,440 --> 00:20:52,000 Speaker 3: might be able to provide. Is that is that? Am 427 00:20:52,040 --> 00:20:53,200 Speaker 3: I understanding that correctly? 428 00:20:53,960 --> 00:20:54,160 Speaker 1: Yeah? 429 00:20:54,160 --> 00:20:54,520 Speaker 2: That's right. 430 00:20:54,560 --> 00:20:58,160 Speaker 4: It's traditionally we're today we work with mostly enterprise customers. 431 00:20:58,200 --> 00:21:00,560 Speaker 4: We have we are rolled out a connect product I'd 432 00:21:00,600 --> 00:21:02,639 Speaker 4: love to talk about in the moment, but our enterprise customers 433 00:21:02,680 --> 00:21:06,239 Speaker 4: traditionally have a TMS platform that's that's rate shopping, and 434 00:21:06,280 --> 00:21:09,879 Speaker 4: we are a carrier that in that face. Okay, they 435 00:21:09,960 --> 00:21:13,119 Speaker 4: do have the option to use us full door to door, 436 00:21:13,400 --> 00:21:15,240 Speaker 4: or they could use us just for first mile, middle 437 00:21:15,240 --> 00:21:18,520 Speaker 4: mile and recovery meaning injection to their carrier contracts. 438 00:21:18,520 --> 00:21:23,200 Speaker 3: To your point, gotcha, So I guess talk about your 439 00:21:23,640 --> 00:21:26,359 Speaker 3: you know, I guess the final mile portion of it. 440 00:21:26,400 --> 00:21:27,720 Speaker 3: You know you said that it's a lot of gig 441 00:21:27,760 --> 00:21:32,480 Speaker 3: economy people. How does that work? So you're sourcing capacity 442 00:21:32,960 --> 00:21:36,000 Speaker 3: and are these people that are just working with you 443 00:21:36,040 --> 00:21:40,440 Speaker 3: guys or they're just they're just gig economy people and 444 00:21:40,680 --> 00:21:43,760 Speaker 3: they're going to go work wherever the freight is. 445 00:21:44,720 --> 00:21:47,480 Speaker 4: Yeah, so so big distinction. We don't deliver final mile 446 00:21:47,520 --> 00:21:51,879 Speaker 4: as a company clear Jet. We we inject to every 447 00:21:51,960 --> 00:21:54,920 Speaker 4: final mile carrier. That's a very well served market that 448 00:21:54,960 --> 00:21:57,760 Speaker 4: we we realized that was not where the pain point was. 449 00:21:57,800 --> 00:21:59,240 Speaker 4: It's like, hey, if you want to get to VHO 450 00:21:59,320 --> 00:22:03,840 Speaker 4: and door Dash and the gig drip companies, awesome, We're 451 00:22:03,920 --> 00:22:05,960 Speaker 4: very excited, and that is our goal is to be 452 00:22:05,960 --> 00:22:08,879 Speaker 4: able to get to them really fast and efficiently. We 453 00:22:08,920 --> 00:22:12,000 Speaker 4: do do to your question, we do hire the direct 454 00:22:12,080 --> 00:22:15,960 Speaker 4: gig drivers for the on the asset side, for first 455 00:22:16,000 --> 00:22:19,680 Speaker 4: mile and for recovery so airport to those finalmentel carriers 456 00:22:19,680 --> 00:22:23,399 Speaker 4: sort locations. So we we found that this was a 457 00:22:23,480 --> 00:22:26,320 Speaker 4: really weak area in the in the supply chain where 458 00:22:26,840 --> 00:22:31,280 Speaker 4: there's there's resellers marketplaces for think of box trucks and vans, 459 00:22:32,359 --> 00:22:34,280 Speaker 4: but the price points were way too high and so 460 00:22:34,640 --> 00:22:37,399 Speaker 4: they they might fit you know a business that's like 461 00:22:37,440 --> 00:22:40,520 Speaker 4: delivering paint for like a Sherwin Williams or some kind 462 00:22:40,560 --> 00:22:45,720 Speaker 4: of retail or physical built I call hyper local delivery 463 00:22:45,760 --> 00:22:48,000 Speaker 4: with a bigger, big box, but they weren't built for 464 00:22:48,040 --> 00:22:48,520 Speaker 4: e commerce. 465 00:22:48,520 --> 00:22:50,840 Speaker 2: Were you really had to have density to make the 466 00:22:50,880 --> 00:22:51,400 Speaker 2: math work. 467 00:22:51,440 --> 00:22:54,959 Speaker 4: And so that's also one component of clear Jet Express 468 00:22:55,160 --> 00:22:58,000 Speaker 4: and and air Skip is that we work with enterprise 469 00:22:58,040 --> 00:23:00,720 Speaker 4: customers that have the volume that we can fill up 470 00:23:01,040 --> 00:23:04,240 Speaker 4: even a smaller sized asset like a van or a 471 00:23:04,240 --> 00:23:07,719 Speaker 4: box truck. What's happened with Connect. We've launched a new 472 00:23:07,720 --> 00:23:10,199 Speaker 4: product called Clearjet Connect. We're really excited about it is 473 00:23:10,320 --> 00:23:15,199 Speaker 4: our take on going to help all the retailers that 474 00:23:15,359 --> 00:23:18,480 Speaker 4: were my past type customers. So think of your traditional 475 00:23:18,560 --> 00:23:22,560 Speaker 4: shopify retailers out there. There's a few million plus just 476 00:23:22,600 --> 00:23:25,160 Speaker 4: in the domestic United States that are selling stuff online 477 00:23:25,200 --> 00:23:29,159 Speaker 4: like you've had example, we are going to help them launch. 478 00:23:29,359 --> 00:23:31,800 Speaker 4: So if you're sitting there in La or you're sitting 479 00:23:31,800 --> 00:23:35,880 Speaker 4: in some small city in Montana, as long as you're 480 00:23:35,880 --> 00:23:40,560 Speaker 4: close to an airport that has airline capacity, will be 481 00:23:40,600 --> 00:23:44,439 Speaker 4: your guys. And we've really created a model where our 482 00:23:44,480 --> 00:23:46,679 Speaker 4: team will what we call see the city, which is 483 00:23:46,680 --> 00:23:48,800 Speaker 4: where we put station managers. So we do have clear 484 00:23:48,840 --> 00:23:51,720 Speaker 4: Jet employees in every major airport. So that's a distinction 485 00:23:51,800 --> 00:23:55,000 Speaker 4: when people wonder, are we only a tech company? Know, 486 00:23:55,080 --> 00:23:58,160 Speaker 4: we are physical in some elements, and we've really done 487 00:23:58,240 --> 00:24:02,080 Speaker 4: that because the customer delivery experience is so important that 488 00:24:02,200 --> 00:24:04,760 Speaker 4: we were willing to invest that the team members are 489 00:24:04,760 --> 00:24:07,160 Speaker 4: on the ground are all a experts in cargo base 490 00:24:07,440 --> 00:24:09,639 Speaker 4: And second that that it moves at the speed of 491 00:24:10,080 --> 00:24:12,600 Speaker 4: you know what I call prime and you know cargo 492 00:24:12,680 --> 00:24:14,560 Speaker 4: companies in general generally don't move. 493 00:24:14,359 --> 00:24:17,840 Speaker 3: That fast, right And can you share? You know, so 494 00:24:18,160 --> 00:24:20,720 Speaker 3: you don't do the you know you said you're injecting 495 00:24:20,760 --> 00:24:23,760 Speaker 3: into the final mile. So so what kind of companies 496 00:24:23,760 --> 00:24:27,320 Speaker 3: do you do you inject your your freight into or 497 00:24:27,359 --> 00:24:28,240 Speaker 3: your shipments into. 498 00:24:29,119 --> 00:24:34,040 Speaker 4: Yeah, so I mean everybody from I mean well all UPS, Postal, DHL, 499 00:24:35,119 --> 00:24:39,399 Speaker 4: on Track, g LS, VHO, Jitsu, c D l U, 500 00:24:39,480 --> 00:24:40,000 Speaker 4: d s. 501 00:24:41,560 --> 00:24:44,920 Speaker 2: UH, Door dash H We're we're we. 502 00:24:45,200 --> 00:24:48,400 Speaker 4: The way to think about it is a large retailer 503 00:24:48,440 --> 00:24:50,520 Speaker 4: will come to us and say, hey, I want to 504 00:24:50,560 --> 00:24:53,160 Speaker 4: go here. Do you work with this company this final 505 00:24:53,200 --> 00:24:56,280 Speaker 4: mile carry I've got rates with them, or you'll say, hey, I. 506 00:24:56,240 --> 00:24:59,880 Speaker 2: Just wanted to your service level. I have interesting enough. 507 00:24:59,920 --> 00:25:01,360 Speaker 2: I have some really. 508 00:25:01,119 --> 00:25:03,840 Speaker 4: Large retailers that have three to five warehouses around the 509 00:25:03,840 --> 00:25:06,000 Speaker 4: country and we still move millions of packages for them, 510 00:25:06,320 --> 00:25:08,359 Speaker 4: And that was kind of interesting to me because the 511 00:25:08,400 --> 00:25:10,080 Speaker 4: whole point of having on warehouses is so that you 512 00:25:10,119 --> 00:25:14,119 Speaker 4: don't need clear Jet and and what what we find 513 00:25:14,240 --> 00:25:18,960 Speaker 4: is inventory distribution is tough. You create products, you put 514 00:25:19,000 --> 00:25:20,920 Speaker 4: them in and then you might have all your sales 515 00:25:20,960 --> 00:25:22,320 Speaker 4: on the West Coast go fast, and then now it's 516 00:25:22,359 --> 00:25:24,040 Speaker 4: empty and all you do is spend money on line 517 00:25:24,040 --> 00:25:27,840 Speaker 4: halls to try to refill your your three pls. And 518 00:25:27,840 --> 00:25:31,160 Speaker 4: then the other type customers are they have their inventory 519 00:25:31,200 --> 00:25:34,719 Speaker 4: in one location because they just purely can't afford multiple warehouses, 520 00:25:34,880 --> 00:25:37,280 Speaker 4: or they look at the cost of paying at three 521 00:25:37,280 --> 00:25:41,320 Speaker 4: pl to do pickpack, ship and the rate for the 522 00:25:41,440 --> 00:25:44,080 Speaker 4: call at two to four local delivery, and they go, 523 00:25:44,160 --> 00:25:45,680 Speaker 4: you know what, we'd have been cheaper if we'd have 524 00:25:45,680 --> 00:25:48,480 Speaker 4: had our own Salt Lake City warehouse and had a 525 00:25:48,520 --> 00:25:51,000 Speaker 4: clear jet connect us so we can get all around 526 00:25:51,040 --> 00:25:53,359 Speaker 4: the country at his own two three four, but not 527 00:25:53,480 --> 00:25:56,359 Speaker 4: have to pay the third party, you know, for the 528 00:25:56,400 --> 00:25:58,520 Speaker 4: hosting of the inventory. 529 00:25:58,280 --> 00:26:00,760 Speaker 3: Okay, so let's talk about growth. As you said, you're 530 00:26:00,800 --> 00:26:03,680 Speaker 3: you've only been starting like in the air since January 531 00:26:03,720 --> 00:26:07,800 Speaker 3: of last year. I think you mentioned thirty million packages 532 00:26:07,840 --> 00:26:13,160 Speaker 3: so far. What's your trajectory, like, where do you where 533 00:26:13,160 --> 00:26:16,320 Speaker 3: do you see the company? Not only you want to 534 00:26:16,359 --> 00:26:18,240 Speaker 3: get to, but where do you kind of have to 535 00:26:18,280 --> 00:26:23,080 Speaker 3: get to maybe you know, become profit, become profitable because 536 00:26:23,119 --> 00:26:24,760 Speaker 3: as a startup of assuming you're not. 537 00:26:26,119 --> 00:26:28,560 Speaker 4: Yeah, so you know, we were well on the hundreds 538 00:26:28,560 --> 00:26:32,720 Speaker 4: plus percent year over year growth rate from when we 539 00:26:32,800 --> 00:26:37,320 Speaker 4: launched in January twenty four. You know, I would say 540 00:26:37,359 --> 00:26:40,400 Speaker 4: that the company, we believe we're our guidance that will 541 00:26:40,440 --> 00:26:44,360 Speaker 4: be profitable this year. And that's mostly driven because when 542 00:26:44,400 --> 00:26:47,800 Speaker 4: we convert customers, they're just absolutely large and they just 543 00:26:47,880 --> 00:26:50,800 Speaker 4: move a ton of volume. We are growing as a company. 544 00:26:50,840 --> 00:26:53,960 Speaker 4: We're well on one hundred plus employees. We have hundreds 545 00:26:53,960 --> 00:26:59,399 Speaker 4: of hourly contractors in our network and in our drive program. 546 00:26:59,080 --> 00:27:00,280 Speaker 2: Which is the dry vers. 547 00:27:01,440 --> 00:27:03,560 Speaker 4: But but we are you know, I think you'll see 548 00:27:03,560 --> 00:27:06,640 Speaker 4: we have a lot of engineers software really we're Our 549 00:27:06,880 --> 00:27:10,840 Speaker 4: vision is to run this entire supply chain through digital 550 00:27:10,880 --> 00:27:13,919 Speaker 4: AI and and have If you look at we have 551 00:27:13,960 --> 00:27:16,800 Speaker 4: a large team of logistics planners or these are if 552 00:27:16,920 --> 00:27:18,919 Speaker 4: for people that are not familiar, these are these are 553 00:27:18,920 --> 00:27:20,880 Speaker 4: the operators. These are the ones that are making sure, 554 00:27:20,880 --> 00:27:22,800 Speaker 4: twenty four hours a day, we have customers come in 555 00:27:22,840 --> 00:27:25,159 Speaker 4: from Asia that we had to handle. We watched the 556 00:27:25,160 --> 00:27:27,760 Speaker 4: flights in the night coming from Asia landing in major 557 00:27:27,880 --> 00:27:30,480 Speaker 4: airport hubs like LA and then we have the trucks 558 00:27:30,480 --> 00:27:32,800 Speaker 4: sitting there five to four in the morning for transfer, 559 00:27:32,920 --> 00:27:34,800 Speaker 4: and we send those, take those transfers and we pull 560 00:27:34,800 --> 00:27:36,600 Speaker 4: them apart. And then we take those and we pull 561 00:27:36,600 --> 00:27:38,920 Speaker 4: out apart again down to like a really micro or 562 00:27:39,080 --> 00:27:40,720 Speaker 4: or kind of a local hyper. 563 00:27:40,480 --> 00:27:45,880 Speaker 2: Local injection model. And so we're the team itself. 564 00:27:45,960 --> 00:27:48,720 Speaker 4: I think what we believe is that with what's happening 565 00:27:48,760 --> 00:27:51,440 Speaker 4: in innovation is that we will we will we won't 566 00:27:51,440 --> 00:27:54,119 Speaker 4: have to scale with people as much as in the past. 567 00:27:54,520 --> 00:27:57,119 Speaker 4: So a lot of the AI agents out there that 568 00:27:57,160 --> 00:27:59,760 Speaker 4: we're building are going to do a ton of ton 569 00:27:59,760 --> 00:28:03,399 Speaker 4: of this what I call logistics, planning and strategy when 570 00:28:03,440 --> 00:28:04,159 Speaker 4: it comes to parcel. 571 00:28:05,560 --> 00:28:07,879 Speaker 3: So, I guess can you talk a little bit more 572 00:28:07,920 --> 00:28:10,120 Speaker 3: about the AI. I'm sure you want to talk about 573 00:28:10,119 --> 00:28:11,760 Speaker 3: AI a lot because that probably gives you a couple 574 00:28:11,880 --> 00:28:15,920 Speaker 3: more turns on the multiple there evaluation multiple you're able 575 00:28:15,960 --> 00:28:19,119 Speaker 3: to bring in AI. So, so talk about that. So 576 00:28:19,320 --> 00:28:22,600 Speaker 3: what what not? Only? So what is AI? Going to 577 00:28:22,680 --> 00:28:26,600 Speaker 3: do for the customer, I guess. 578 00:28:26,640 --> 00:28:29,560 Speaker 4: So, you know, really what it does, it makes It 579 00:28:29,680 --> 00:28:34,400 Speaker 4: gives the customer an experience that is just unparallel from 580 00:28:34,400 --> 00:28:36,000 Speaker 4: a human capital perspective. 581 00:28:36,000 --> 00:28:36,680 Speaker 2: So think of it. 582 00:28:36,760 --> 00:28:39,400 Speaker 4: Instead of having thirteen logistics planners as we get ten 583 00:28:39,480 --> 00:28:42,920 Speaker 4: times bigger, I don't want to have a thousand, you know, 584 00:28:43,120 --> 00:28:46,920 Speaker 4: LPs and working in different time zones, different languages and 585 00:28:46,920 --> 00:28:50,440 Speaker 4: things like that. This this changes all that, and what 586 00:28:50,480 --> 00:28:54,320 Speaker 4: it's doing are simple things like rating, booking, and tracking. 587 00:28:54,400 --> 00:28:57,200 Speaker 4: It's it's kind of the three components of a package 588 00:28:57,200 --> 00:29:00,240 Speaker 4: delivery model. And what it's doing for us as it's 589 00:29:00,360 --> 00:29:02,920 Speaker 4: it's handling and what we're building it to handle kind 590 00:29:02,920 --> 00:29:05,720 Speaker 4: of our future state is it's making the phone calls 591 00:29:05,760 --> 00:29:08,600 Speaker 4: to the drivers. All this is, you know, digitally connected 592 00:29:08,600 --> 00:29:10,960 Speaker 4: with their APIs. But there's also like a hey, driver, 593 00:29:11,480 --> 00:29:13,640 Speaker 4: give us your dot number and then it says, okay, 594 00:29:13,680 --> 00:29:15,600 Speaker 4: I see you. You've been sitting there at the terminal 595 00:29:15,640 --> 00:29:18,920 Speaker 4: for thirty minutes, and how do we support you know, 596 00:29:19,000 --> 00:29:21,040 Speaker 4: is there an issue with trying and inject that package 597 00:29:21,120 --> 00:29:23,760 Speaker 4: or recovery? And this is all through AI phone agents, 598 00:29:23,960 --> 00:29:25,880 Speaker 4: you know, so those are non human base and it's 599 00:29:25,960 --> 00:29:31,280 Speaker 4: updating our you know, call it fifteen different tractable points 600 00:29:31,320 --> 00:29:33,840 Speaker 4: that we have in our tractable experience, and the our 601 00:29:33,880 --> 00:29:38,040 Speaker 4: customers can see every movement of the supply chain through 602 00:29:38,160 --> 00:29:41,920 Speaker 4: through their track er, either visually to their customers or 603 00:29:41,920 --> 00:29:43,160 Speaker 4: just internally for their off steam. 604 00:29:43,920 --> 00:29:48,720 Speaker 3: And you know, so, what's what's the future of your company? 605 00:29:48,760 --> 00:29:49,600 Speaker 4: Do you like? 606 00:29:49,840 --> 00:29:52,120 Speaker 3: Do you have thoughts of a I'd like to take 607 00:29:52,120 --> 00:29:56,120 Speaker 3: this public. No, I want to keep it private because 608 00:29:56,240 --> 00:29:58,680 Speaker 3: you know, you can be more nimble that way. Kind 609 00:29:58,680 --> 00:30:03,000 Speaker 3: of what's what's your thoughts on on that? And maybe 610 00:30:03,040 --> 00:30:05,600 Speaker 3: you can talk about kind of you know, the private 611 00:30:05,640 --> 00:30:08,640 Speaker 3: equity or the venture capital people that are involved. 612 00:30:09,600 --> 00:30:12,880 Speaker 4: Yeah, yeah, sure so we uh yeah, we're I love 613 00:30:12,920 --> 00:30:18,440 Speaker 4: the private flexibility. I think naturally a public company for 614 00:30:18,520 --> 00:30:22,760 Speaker 4: what we do makes sense and that's really mostly access 615 00:30:22,800 --> 00:30:23,280 Speaker 4: to This is. 616 00:30:23,200 --> 00:30:24,160 Speaker 2: A global company. 617 00:30:24,360 --> 00:30:27,320 Speaker 4: So what what people haven't seen from us yet because 618 00:30:27,360 --> 00:30:30,720 Speaker 4: of our age is is is a global infrastructure. You know, 619 00:30:30,800 --> 00:30:34,640 Speaker 4: it's replicating our model across the US. Obviously, we're already 620 00:30:34,680 --> 00:30:37,160 Speaker 4: and working with Air Canada and west Jet on a 621 00:30:37,200 --> 00:30:41,960 Speaker 4: complete interconnected North America. We'll do that across Europe and 622 00:30:42,080 --> 00:30:47,360 Speaker 4: Australia and Asia. Our our hope really is is to 623 00:30:47,400 --> 00:30:51,120 Speaker 4: create a category that people can rely on and they 624 00:30:51,160 --> 00:30:52,840 Speaker 4: just say, Hey, when I need to do this part 625 00:30:52,880 --> 00:30:55,600 Speaker 4: of my business, I'm going to go check out clear 626 00:30:55,680 --> 00:30:59,160 Speaker 4: Jets solution to solve X, Y and Z. It could 627 00:30:59,160 --> 00:31:01,760 Speaker 4: be something simple as like, hey, freight forwarding is really 628 00:31:01,760 --> 00:31:06,680 Speaker 4: tough from Europe to US or today I go into 629 00:31:06,680 --> 00:31:09,080 Speaker 4: five different airports, but I have all these challenges with 630 00:31:09,240 --> 00:31:11,320 Speaker 4: airport A, B or C. And we've seen this when 631 00:31:11,360 --> 00:31:13,840 Speaker 4: we started last year that companies come from China had 632 00:31:13,880 --> 00:31:16,480 Speaker 4: a lot of problems get in Chicago and Atlanta. And 633 00:31:16,720 --> 00:31:19,960 Speaker 4: it's not just price point, but it's also actually the 634 00:31:19,960 --> 00:31:22,120 Speaker 4: package is being stuck there for a long period of 635 00:31:22,120 --> 00:31:24,560 Speaker 4: time and being cleared. And so a lot of what 636 00:31:24,600 --> 00:31:27,960 Speaker 4: we've done is created a whole different way to look 637 00:31:27,960 --> 00:31:32,040 Speaker 4: at the model from both overseas and domestically. Today we 638 00:31:32,360 --> 00:31:34,920 Speaker 4: focused domestically, but we had a lot of customers that 639 00:31:35,000 --> 00:31:37,600 Speaker 4: had third parties clearing their own packages and then we 640 00:31:37,640 --> 00:31:39,720 Speaker 4: take over once it's in the US, you know, it 641 00:31:40,080 --> 00:31:42,560 Speaker 4: kind of unlocks everything. And what we've allowed is you 642 00:31:42,560 --> 00:31:45,400 Speaker 4: can now just go into one of the best airport 643 00:31:45,440 --> 00:31:47,920 Speaker 4: you can find from where you're at, and then we 644 00:31:47,960 --> 00:31:49,280 Speaker 4: will handle everything to connect it. 645 00:31:49,320 --> 00:31:54,800 Speaker 3: From a US perspective, what's the most difficult airport to 646 00:31:54,880 --> 00:31:55,320 Speaker 3: work with? 647 00:31:57,640 --> 00:32:01,360 Speaker 2: Well, you know, it's honestly most around. I can tell 648 00:32:01,400 --> 00:32:01,600 Speaker 2: you this. 649 00:32:01,680 --> 00:32:04,640 Speaker 4: The high capacity airports are the ones. So think of 650 00:32:04,880 --> 00:32:09,640 Speaker 4: lax E, WR, JFK and Atlanta. Those are ones that 651 00:32:09,640 --> 00:32:12,880 Speaker 4: we we see. And most of this comes down to 652 00:32:13,280 --> 00:32:17,320 Speaker 4: whoever has the most inbound outbound from from global So 653 00:32:17,440 --> 00:32:19,560 Speaker 4: think of going in and out of Asia and you know, 654 00:32:19,640 --> 00:32:21,920 Speaker 4: lots change at Terrace is that I don't know what 655 00:32:21,960 --> 00:32:24,280 Speaker 4: this will look like. You know, six months from now, 656 00:32:24,480 --> 00:32:28,840 Speaker 4: it's changed landscapes, changing a ton. The other thing is 657 00:32:28,840 --> 00:32:31,960 Speaker 4: that what I find is you have to really innovate 658 00:32:32,240 --> 00:32:34,400 Speaker 4: at the airport, and we've done a ton of innovation 659 00:32:34,440 --> 00:32:38,240 Speaker 4: at the airport we are we are trying to create 660 00:32:38,520 --> 00:32:42,000 Speaker 4: a lot of automation and dedicated dock doors. And if 661 00:32:42,000 --> 00:32:44,040 Speaker 4: you look at the US Postal Service, they used to 662 00:32:44,080 --> 00:32:47,560 Speaker 4: have three logos at every major air cargo bay and 663 00:32:47,640 --> 00:32:50,760 Speaker 4: you go, well, okay, they must be amazing. They pulled 664 00:32:50,760 --> 00:32:53,080 Speaker 4: that over a billion dollars in spend from their air 665 00:32:53,120 --> 00:32:56,600 Speaker 4: capacity moving to ground advantage. So the airline's super bummed 666 00:32:56,640 --> 00:32:58,840 Speaker 4: that they lost their most of their volume from the 667 00:32:58,960 --> 00:33:03,240 Speaker 4: from the from the US Postal Service, and so Clearjet's like, guys, 668 00:33:03,480 --> 00:33:07,280 Speaker 4: let's make this accessible to everybody. That's what Clearjet really is. 669 00:33:07,520 --> 00:33:09,160 Speaker 4: So instead of just being the post office that can 670 00:33:09,280 --> 00:33:11,560 Speaker 4: use your planes, I want everybody to use their planes. 671 00:33:11,720 --> 00:33:14,360 Speaker 4: And that's what we were trying to build behind the scenes. 672 00:33:14,360 --> 00:33:16,880 Speaker 4: And you think about those dedicade doctors. Clear Jet has 673 00:33:16,880 --> 00:33:19,480 Speaker 4: dedicad doctors at at all these airports. 674 00:33:20,400 --> 00:33:23,360 Speaker 3: Gotcha, And you know you mentioned, you know, getting into Europe, 675 00:33:23,400 --> 00:33:27,440 Speaker 3: Australia and different countries outside North America. Is that like 676 00:33:27,480 --> 00:33:30,080 Speaker 3: a year out, three years out, five years out. 677 00:33:31,480 --> 00:33:35,280 Speaker 4: Well, we'll be doing international next year. So twenty six 678 00:33:36,320 --> 00:33:39,840 Speaker 4: we're already doing some international, mostly mostly in North America. 679 00:33:40,880 --> 00:33:43,880 Speaker 4: And a lot of this has been slowed up a 680 00:33:43,880 --> 00:33:46,160 Speaker 4: little bit by watching what's happening with with the with 681 00:33:46,200 --> 00:33:49,720 Speaker 4: the tariffs. But one thing that's that's very distinct is 682 00:33:50,000 --> 00:33:52,160 Speaker 4: if you look at the air carriers we work with, 683 00:33:52,160 --> 00:33:54,920 Speaker 4: they're taking passengers to Europe all day long, back and forth, 684 00:33:55,000 --> 00:33:58,040 Speaker 4: hundreds and hundreds of huge wide body jets, and there's 685 00:33:58,080 --> 00:34:01,640 Speaker 4: just a ton of empty capacity. And our whole vision 686 00:34:01,760 --> 00:34:05,280 Speaker 4: is looking at looking at their capacity, marrying up the 687 00:34:05,320 --> 00:34:08,600 Speaker 4: relationship between the brand, the retailer or and and the 688 00:34:08,600 --> 00:34:11,920 Speaker 4: air carrier and get it first to the US and 689 00:34:11,960 --> 00:34:15,120 Speaker 4: then from the US across the US. And so our 690 00:34:15,120 --> 00:34:17,080 Speaker 4: goal is not always just to drop it in from 691 00:34:17,080 --> 00:34:19,120 Speaker 4: you know, if you're going from Europe to land in 692 00:34:19,320 --> 00:34:23,000 Speaker 4: JFK and all five locations, it's really we'll go with 693 00:34:23,200 --> 00:34:26,719 Speaker 4: a huge amount of capacity and the best rates from 694 00:34:27,160 --> 00:34:30,279 Speaker 4: international air capacity price point and then land it there 695 00:34:30,320 --> 00:34:33,239 Speaker 4: and then from there localize everything meaning US US lights. 696 00:34:34,080 --> 00:34:36,560 Speaker 3: And can you talk about you know, the venture capital 697 00:34:37,239 --> 00:34:39,560 Speaker 3: folks that you're working with and you know what round 698 00:34:39,600 --> 00:34:41,480 Speaker 3: of funding you're you're you're at right now? 699 00:34:42,520 --> 00:34:44,400 Speaker 4: Yeah, sure, So we did about a year ago we 700 00:34:44,400 --> 00:34:45,960 Speaker 4: did a Series A. So we've done a seed in 701 00:34:46,000 --> 00:34:49,319 Speaker 4: a Series A. You know, our our our investors, they 702 00:34:49,560 --> 00:34:52,960 Speaker 4: they are so excited about what we're building where we 703 00:34:53,160 --> 00:34:55,560 Speaker 4: we haven't done a Series B. We haven't needed to, 704 00:34:55,880 --> 00:34:59,440 Speaker 4: but we're we are moving really really fast. So our 705 00:34:59,440 --> 00:35:02,080 Speaker 4: growth has been and really exciting. I think when you 706 00:35:02,120 --> 00:35:04,040 Speaker 4: look at like some of the one of my first 707 00:35:04,200 --> 00:35:09,640 Speaker 4: key customers was Veho and most everybody seeing our press 708 00:35:09,640 --> 00:35:13,719 Speaker 4: releases with Vho, so that's out there. We helped them 709 00:35:14,080 --> 00:35:16,879 Speaker 4: move customers that would land from Asia, like let's say, 710 00:35:16,960 --> 00:35:19,040 Speaker 4: or out of LA into their network and they're kind 711 00:35:19,040 --> 00:35:22,319 Speaker 4: of Midwest Texas, Florida and Northeast. And this was a 712 00:35:22,320 --> 00:35:25,319 Speaker 4: big eye opener for us because we realized that one 713 00:35:25,360 --> 00:35:28,480 Speaker 4: of our greatest strengths is by being able to connect everybody. 714 00:35:29,640 --> 00:35:31,680 Speaker 4: And you know, if you look at their valuation in 715 00:35:31,719 --> 00:35:35,320 Speaker 4: twenty twenty two is they became a unicorn with revenue 716 00:35:35,320 --> 00:35:38,600 Speaker 4: similar to us. And so that's very exciting for clear Jet, 717 00:35:38,840 --> 00:35:41,520 Speaker 4: very exciting for our path. It's also very exciting when 718 00:35:41,520 --> 00:35:44,560 Speaker 4: you see people like Veho and door Dash and all 719 00:35:44,560 --> 00:35:50,759 Speaker 4: these other white call it gig and hyper growth companies utilizing. 720 00:35:50,239 --> 00:35:51,080 Speaker 2: And needing clear Jet. 721 00:35:51,440 --> 00:35:54,399 Speaker 4: And we're really excited about that because we're not seen 722 00:35:54,440 --> 00:35:57,120 Speaker 4: as competitor, we're enabler. I always when people come to me, 723 00:35:57,120 --> 00:35:58,880 Speaker 4: they're like, are you a competitor ground It's like, well, 724 00:35:59,080 --> 00:36:01,759 Speaker 4: let me ask you a question. You you consider a 725 00:36:01,800 --> 00:36:04,400 Speaker 4: trucking line haul competitor? Like now they move our they 726 00:36:04,440 --> 00:36:05,600 Speaker 4: move our stuff from here to here. I was like, 727 00:36:05,640 --> 00:36:09,000 Speaker 4: that's clear yet with planes, right, gotcha? 728 00:36:09,040 --> 00:36:13,480 Speaker 3: And so what what percentage of your shipments or revenue 729 00:36:13,560 --> 00:36:18,000 Speaker 3: or whatever originates outside the US, like from Asia? And 730 00:36:18,000 --> 00:36:20,600 Speaker 3: then gets here, then you guys move, Like do you 731 00:36:20,680 --> 00:36:21,600 Speaker 3: do you have that number? 732 00:36:22,920 --> 00:36:25,279 Speaker 4: It's less than it's it's about forty percent or less. 733 00:36:25,320 --> 00:36:29,040 Speaker 4: It's dropped because of what's happening. And you know, we 734 00:36:29,080 --> 00:36:31,040 Speaker 4: started for us only. It was kind of interesting. We 735 00:36:31,120 --> 00:36:35,239 Speaker 4: never planned in our original business model to be servicing 736 00:36:35,719 --> 00:36:38,319 Speaker 4: international because we were so focused on customers locally to 737 00:36:38,360 --> 00:36:40,920 Speaker 4: have pain points. But we obviously got a lot of 738 00:36:40,960 --> 00:36:43,480 Speaker 4: a lot of traction there as well from from retailers. 739 00:36:43,480 --> 00:36:44,920 Speaker 4: They are like, hey, I need a land here, and 740 00:36:44,920 --> 00:36:47,640 Speaker 4: then I need to moved around the country. So that's 741 00:36:47,719 --> 00:36:50,840 Speaker 4: that one's probably gonna grow a lot more domestically, and 742 00:36:50,880 --> 00:36:52,799 Speaker 4: really that numbers is probably gonna continue to drop, but 743 00:36:53,160 --> 00:36:55,359 Speaker 4: that it really depends, really I think on how how 744 00:36:55,560 --> 00:36:58,320 Speaker 4: customers move their volumes into the US. But what I 745 00:36:58,360 --> 00:37:01,240 Speaker 4: can say is domestic customers are by far our highest 746 00:37:01,239 --> 00:37:02,520 Speaker 4: scaling customers. 747 00:37:03,800 --> 00:37:08,120 Speaker 3: Gotcha. And so you're based in uh in Austin, Texas? 748 00:37:08,120 --> 00:37:10,320 Speaker 2: Correct, Yeah, we're based in Austin, Texas. 749 00:37:10,480 --> 00:37:12,960 Speaker 3: Does that mean you like barbecue? When you have a 750 00:37:12,960 --> 00:37:14,320 Speaker 3: favorite barbecue plays? 751 00:37:15,000 --> 00:37:17,640 Speaker 2: I do love barbecue, you know, blacks barbecues. 752 00:37:17,800 --> 00:37:20,920 Speaker 4: I always like to bring h take take customers, and 753 00:37:20,920 --> 00:37:24,719 Speaker 4: and and associates there because it's an experience. You go 754 00:37:24,760 --> 00:37:27,120 Speaker 4: there and they give you a they give you a 755 00:37:27,200 --> 00:37:29,080 Speaker 4: you know, a rack of ribs and the thing looks 756 00:37:29,080 --> 00:37:30,520 Speaker 4: like a side of a cow and they're like, this 757 00:37:30,640 --> 00:37:31,560 Speaker 4: is Texas right here. 758 00:37:32,360 --> 00:37:34,200 Speaker 3: Yeah, is that Terry Blacks? 759 00:37:34,680 --> 00:37:35,759 Speaker 2: Yeah, Terry Blacks. Yeah. 760 00:37:36,239 --> 00:37:38,280 Speaker 3: I was actually there last week. I was in Austin 761 00:37:38,360 --> 00:37:41,680 Speaker 3: for a t ms A conference, which I snuck out 762 00:37:41,719 --> 00:37:45,240 Speaker 3: and had some some dinner there by myself and uh, 763 00:37:45,719 --> 00:37:47,719 Speaker 3: you know, made a pig out of myself. So but 764 00:37:48,400 --> 00:37:50,760 Speaker 3: good good, it was always good eats excellent. 765 00:37:50,840 --> 00:37:52,320 Speaker 2: Yeah, it's it's one of one of my favorites. 766 00:37:53,120 --> 00:37:56,239 Speaker 3: And you know you mentioned you know your your your 767 00:37:56,440 --> 00:37:58,040 Speaker 3: you you started your career kind of in the in 768 00:37:58,080 --> 00:38:02,920 Speaker 3: the music industry. You know, it's it's summer concert season. 769 00:38:03,000 --> 00:38:04,680 Speaker 3: Don't mean to put you on the spot, but are 770 00:38:04,760 --> 00:38:07,120 Speaker 3: you going to uh a show this summer that you're 771 00:38:07,160 --> 00:38:07,920 Speaker 3: looking forward to? 772 00:38:08,880 --> 00:38:11,680 Speaker 2: You know? I will, I will say, here's my plug. 773 00:38:11,800 --> 00:38:14,200 Speaker 4: So I was just at a Kenny Chesney show at 774 00:38:14,200 --> 00:38:15,640 Speaker 4: the Sphere in Vegas. 775 00:38:15,960 --> 00:38:17,160 Speaker 2: Uh, and it was insane. 776 00:38:17,800 --> 00:38:20,440 Speaker 4: I first off, I'd never been the Sphere, which now 777 00:38:20,440 --> 00:38:21,520 Speaker 4: I want to see every band. 778 00:38:21,440 --> 00:38:23,239 Speaker 2: There, and it was like an experience. 779 00:38:23,280 --> 00:38:25,280 Speaker 4: You I've been doing the music side of the business 780 00:38:25,280 --> 00:38:27,360 Speaker 4: for so long, it's really cool to see innovation in 781 00:38:27,400 --> 00:38:28,359 Speaker 4: other areas of the world. 782 00:38:28,440 --> 00:38:30,480 Speaker 2: And uh, that was mind blowing. 783 00:38:30,640 --> 00:38:34,680 Speaker 4: Just the digital screen on all sides of your your sheet, 784 00:38:34,840 --> 00:38:36,719 Speaker 4: your the seat you're sitting in is part of the 785 00:38:36,800 --> 00:38:39,719 Speaker 4: experience at shakes, and You're like, wow, So that was 786 00:38:39,760 --> 00:38:42,239 Speaker 4: pretty pretty great as you can imagine. I've I have 787 00:38:42,400 --> 00:38:45,200 Speaker 4: so many relationships with artists, the music artists that I've 788 00:38:45,200 --> 00:38:47,480 Speaker 4: been worked with over the years, and you know, uh, 789 00:38:47,520 --> 00:38:50,959 Speaker 4: so I love going and seeing them, supporting them and 790 00:38:51,000 --> 00:38:52,759 Speaker 4: so yeah. 791 00:38:52,040 --> 00:38:54,200 Speaker 2: You know, Zach Brown's gonna have a gonna have a 792 00:38:54,320 --> 00:38:55,080 Speaker 2: you know, tour come up. 793 00:38:55,120 --> 00:38:57,600 Speaker 4: I love his his stuff, and I don't know, I'm 794 00:38:57,640 --> 00:39:00,080 Speaker 4: pretty much a fan of most of the bands. Of 795 00:39:00,120 --> 00:39:02,719 Speaker 4: my favorite shows was a great out Chili Peppers show 796 00:39:02,800 --> 00:39:05,640 Speaker 4: in New York. I went with the with the United 797 00:39:05,760 --> 00:39:08,840 Speaker 4: Airlines guys, and I was like, that was awesome. So 798 00:39:08,920 --> 00:39:10,200 Speaker 4: I'd love to see them with the sphere. 799 00:39:10,239 --> 00:39:10,719 Speaker 2: That'd be cool. 800 00:39:11,120 --> 00:39:14,879 Speaker 3: Yeah, that'd be fun. And so it's funny. And later 801 00:39:14,960 --> 00:39:17,759 Speaker 3: on this summer, I'm going to Vegas with my wife 802 00:39:17,800 --> 00:39:19,720 Speaker 3: and another couple and we wanted to go to the Sphere, 803 00:39:19,800 --> 00:39:22,319 Speaker 3: and there's, there's, there's. There's a group playing that wasn't 804 00:39:22,320 --> 00:39:24,520 Speaker 3: really on my list to see that, the Backstreet Boys. 805 00:39:24,560 --> 00:39:26,560 Speaker 3: So I'm going to see the back Street Boys at 806 00:39:26,640 --> 00:39:28,480 Speaker 3: the Sphere for the experience. 807 00:39:29,120 --> 00:39:32,120 Speaker 2: It's gonna be great. It's gonna be great. You probably 808 00:39:32,239 --> 00:39:34,200 Speaker 2: know the songs. We all know the songs from when 809 00:39:34,239 --> 00:39:34,600 Speaker 2: they were. 810 00:39:36,040 --> 00:39:40,200 Speaker 3: I'll probably end up dancing. Chris, I really appreciate the time. 811 00:39:40,280 --> 00:39:43,120 Speaker 3: This is a great conversation. I really enjoy this because 812 00:39:43,320 --> 00:39:45,920 Speaker 3: honestly before this, I didn't really know much about Clearjet. 813 00:39:46,040 --> 00:39:48,600 Speaker 3: Sounds like a really interesting model. And I look forward 814 00:39:48,640 --> 00:39:50,759 Speaker 3: to seeing you guys grow and what's next for you. 815 00:39:51,640 --> 00:39:53,480 Speaker 4: Thank you, Lee, I appreciate you taking the time take 816 00:39:53,680 --> 00:39:56,160 Speaker 4: and hear our story. We'll we'll definitely be seeing you 817 00:39:56,360 --> 00:39:56,799 Speaker 4: out there. 818 00:39:56,719 --> 00:39:58,680 Speaker 2: In the on the streets, all right. 819 00:39:59,280 --> 00:40:02,120 Speaker 3: Uh And I want thank you for tuning in. If 820 00:40:02,160 --> 00:40:05,000 Speaker 3: you'd like the episode, please subscribe and leave a review. 821 00:40:05,440 --> 00:40:08,040 Speaker 3: We've lined up a number of great guests for the podcast, 822 00:40:08,120 --> 00:40:13,200 Speaker 3: so please check back to hear conversations with C suite executives, shippers, regulators, 823 00:40:13,239 --> 00:40:16,880 Speaker 3: and decision makers within the freight markets. Also, if you 824 00:40:16,960 --> 00:40:20,279 Speaker 3: want to learn more about the freight transportation markets. Check 825 00:40:20,320 --> 00:40:25,000 Speaker 3: out our work at the Bloomberg Terminal at Bigo and 826 00:40:25,200 --> 00:40:28,960 Speaker 3: on social media. This is Lee Glasgow signing off and 827 00:40:29,080 --> 00:40:30,759 Speaker 3: thanks for talking transports with me.