Jan 15 2018
WHAT YOU MAY NEED TO KNOW ABOUT LESS THAN TRUCKLOAD (LTL) FREIGHT
Before choosing which ground freight shipping option is best for you, take the time to consider your business needs. How will your shipments make it from the origin to the destination? Less than truckload (LTL) may be the right option for your business, depending on what product you are shipping.
LTL is a form of freight transportation that combines shipments from a variety of customers, all in one truckload. Each customer takes up a portion of the truck trailer with their products and only pays according to the amount of product shipped, factoring in weight, size, and overall length of travel.
As such, the pricing model is also more complex than full truckload (FTL). Freight consolidators often determine the fees by weighing a variety of factors including weight, size, distance, minimum charges, product classification, etc. As such, it might be difficult to compare your rates as you are consulting with LTL providers.
Is shipping LTL right for you? We’ve highlighted the advantages and disadvantages below for your consideration:
- More cost effective than FTL, with flexible pricing models
- Viable for small business, as they tend to send out smaller shipments than larger companies
- Environmentally friendly because a truck won’t leave until it’s full, lessening the amount of trucks on the road
- Longer delivery times, as the trucks often stop and unpack and repack, and the shipment doesn’t get sent off by the provider until the truck is entirely full
- Finding a carrier can be tricky because of demand for LTL
- Not ideal for sensitive or fragile cargo, as the multiple handling times throughout the route
If you don’t have a full load to ship on a regular basis, working with a full truckload provider is probably not ideal. With FTL, you can send trucks out that are not entirely full, but for a higher cost. LTL/freight consolidators add value to the supply chain by reducing costs and emissions.
As a shipper, it’s wise to know your options. Depending on what kind of shipments the business regularly does, the benefits of LTL can outweigh the downfalls. If you are a small business, send low volume shipments, are looking to save some cash, or environmentally conscious -- LTL is likely to be the best avenue for your shipping needs.
To learn more about how Seldat is becoming the global leader in technology-driven supply chain solutions, reach out to our team today:
Phone: 646.517.6767 x100
Email: Global Sales
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