The shipping industry is the backbone of the e-commerce world and is constantly on the verge of delivering packages safely and on time. Hence, to ensure that it continues to operate efficiently and meet users’ needs, the industry has introduced multiple shipping options.
One of them happens to be LTL shipping. If you’ve heard of this term and want to learn more, you’ve landed on the right page. Hop on below to read a detailed guide on what LTL shipping is and how it can benefit your business.
LTL Freight Definition
Less than truckload, or better known as LTL, is a form of shipment in which the overall space and weight occupied by the shipment is less than one full truck. Hence, businesses can rent only a part of the cargo space in a cargo truck required by them, rather than renting the whole truck bed.
This way, they will have to pay only for the pace they need and will save a good amount on the shipment cost. The shared cargo shipment makes LTL shipping one of the cheapest means to ship larger than an average parcel freight without having to pay a full truck cost.
LTL vs. FTL: What’s the Difference?
Now that you understand LTL, there is another term similar to it that you will hear a lot about in the shipping industry, and it happens to be FTL. So, what is the difference between the two?
Well, while LTL only involves taking up a shared space within a truck, FTL consists of transporting goods in an amount that occupies the entirety of a car. This means that one whole truck will be filled with the cargo of one business alone, and there will be no sharing.
While FTL does add up to the shipping cost, it has its own set of benefits like better security, reduce risk of damage and a better trasnit time because the truck wont have to stop at multiple locations ans pakcages will not have to go through loading and unloading again because of the product drop offs for other businesses.
LTL Shipping Costs
The shipping cost for LTL (Less Than Truckload) generally ranges anywhere between $50 – $ 50’000 or more. However, this cost range can fluctuate significantly depending on several factors, which are mentioned below:
Factors Impacting LTL Shipping Cost
Distance: The longer the distance, the higher the shipping cost on your goods will be.
Weight and Dimension: The weight and size of your package are key factors in determining the space it will occupy in the truck, significantly impacting the cost.
Fuel Surcharges: Any fluctuations in fuel prices will impact the final cost of your shipment.
Negotiated Rates: Making long-term contracts with shippers and achieving volume discounts can help you secure lower rates.When to Use LTL Shipping?
While LTL shipping is a great choice for businesses, it may not be the best fit for every aspect of operations. So, how would you know when choosing LTL shipping is a great idea? Well, we have a list of situations where choosing LTL freight shipping works the best for any business or individual:
Smaller Shipments: If you have a shipment that is too small to fill an entire truck, then LTL shipping might be the perfect fit for you. Not only will your packages reach safely, protected by a pallet, but they will also do so at an affordable price.
Flexible Delivery Time: LTL is a good option for businesses with shipments that are not time-sensitive and can accommodate flexible delivery times. This is because with multiple shipments in one truck, the delivery might take some time.
Local or Regional Moves: LTL is a good choice for regional and local shipments, especially when the destination is close by.
Sustainability Goals: This form of shipment is also eco-friendly, as it consolidates multiple shipments into a single storage, thereby reducing the carbon footprint. So, if you care about the environment, this might be a great pick for you.
How to Prepare LTL Freight Shipping?
If you have now decided to use LTL freight shipping as a means of transportation for your goods, you will have to make the necessary preparations. Here is all that you need to do:
Dimensions
Ensure that you round up every next inch when measuring the width, length, and height of your shipment. Accurate dimensions can help carriers maximize their capacity and adjust fees accordingly.
Documentations
Complete the bill of lading accurately and give it to the carrier on arrival. This document serves as a receipt for the goods being shipped.
Packaging and Labeling
Load goods onto the pallets to condense and protect heavy shipments. Ensure to place heavy objects at the bottom and label them on the side.
LTL Shipping Options Comparison
Carrier Coverage Speed Options Pricing Best For
- FedEx US and Canada Standard, Express Medium Reliable national shipments
- UPS US, Canada and Mexico Standard, Expediated Medium, High Cross borders and national freight
- XPO US + International Standard, Fast, Custom Competitive Tech friendly and flexible solutions
- Old Dominion US only Standard, Expediated Higher High service and time sensitive
- Regional Carriers Local Areas Varies Lower Short-distance budget
Reduce the LTL Freight Shipping Cost with NextSmartShip
NextSmartShip helps businesses cut LTL freight shipping costs by offering them an optimized carrier selection and real-time rate comparison. With smart logistics planning and exceptional warehousing solutions, the service not only helps minimize fees but also reduces transit time and ensures a cost-effective delivery without sacrificing reliability.
If you’re looking for a freight shipping business to run your operations, we highly recommend NextSmartShip for the best shipping services.
FAQs
If you are shipping over 150 pounds, consider LTL shipping with a service that provides you with competitive rates.
LTL shipments can deliver your products within a standard number of days. Still, they will be slightly slower than FTL shipments due to the multiple business deliveries required, which necessitate rerouting.
For smoother transfer of LTL freight, ensure to give the driver your bill of lading
Conclusion
If you’re interested in learning more about LTL shipping, we hope this article was helpful for you. While the service is incredible, choosing a business that provides it with professionalism is also highly important. For this, we highly suggest you look into NextSmartShip and its exceptional operations.
