LTL Shipping 101: How to Be an Efficient Shipper and Get Your Money’s Worth (10/7/2024)

Less-than-truckload shipping is a cost-effective way for businesses to deliver freight without paying for an entire truck. Here are some of the options and services available to make sure your shipment makes it on time.

Getting freight from your warehouse to distributors or customers promptly is essential. When your shipment doesn’t justify a whole trailer, however, you need to get creative to transport your goods efficiently. Less than load (LTL) shipping is a great option when your freight is too big for the post office or FedEx, but too small for a full truckload.

Here is what you need to know about the LTL shipping options available to you. Consider these services to ensure that your items are delivered to your specifications with the least amount of hassle.

Options to look for in an LTL provider

Before selecting a less than truckload provider, consider its list of services.

• What is the carrier’s service area? Do they only offer direct service to a few states, or do they service every state?

• What are their transit times from the origin to the final destination? Regional carriers are usually set up to deliver freight next day up to 500 miles away. Other carriers may service that same destination, but take two days or more to deliver the shipment because of the way their system and carrier routes are configured.

• ·What is the carrier’s reputation in the marketplace?

• ·Is it easy to get pricing information from the carrier?

• ·Do they offer a simple website interface to track and trace your shipment?

• Do they offer expedited shipping services? While LTL generally takes longer than other forms of shipping, since you're sharing the truck with other businesses, an expedited shipping option ensures that any time-sensitive freight gets there without delay. Some providers offer overnight, next-day, two-day, and three-day levels on LTL freight.

Another thing to consider is the company's first and final mile services. Do they include packing and dismantling? Will they deliver your freight inside your customer's building? Do they remove packaging materials? All of these aspects provide added value to your customers. After all, you may get a complaint if your shipping company leaves a pallet and plastic wrap in your client's office.

Do they provide lift gate services? In many cases, small businesses that you're delivering to won't have a forklift or even a loading dock. If you know this to be the case, find a carrier that offers this service to ensure they can get your freight off the truck.

Make sure your carrier can get into restricted zones. Some cities don't allow trucks of a certain size into school zones, residential neighborhoods, or construction sites. If the truck is too large to get into these areas, your freight won't be delivered. Your carrier should have a plan to access these domains.

Are the delivery times guaranteed? When you need something delivered by a specific time or date, you shouldn't be left guessing whether or not it will actually happen. Your carrier should give you a window and offer the option to guarantee that the shipment will arrive without delay. Be prepared to pay a fee for this service when you require it. A guarantee may be a simple 20% to 30% upcharge on the freight fees, but that varies by carrier. (Also keep in mind that reliable carriers are generally 95% to 98% on time and 90% of all shipments are delivered before noon on the day of delivery.)

Does the carrier deal with perishables or hazardous materials? Depending on your business, you might need these things delivered, so make sure you are clear on what your carrier does and doesn't handle.

Once you're aware of the available options, it’s easier to choose a carrier for your LTL needs.

Things to consider before starting an LTL shipment

The amount you'll pay for an LTL shipment is determined by a few factors.

The distance between pick-up and drop-off sites is very important to the overall cost. The further the destination, the more you can expect to pay. Being further from major metro areas can also make your shipment more expensive.

The size and weight of your freight also influence how much you'll pay for LTL freight, as you are basically paying for space on a truck. Larger, lighter shipments cost more to deliver because they take up more of the truck's capacity, whereas dense items that only take up one or two pallet positions will cost less. Remember, if your shipment is too large, you're better off going with a full truckload or partial truckload shipment. (We will be publishing a partial truckloads blog in the near future.)

Finally, the service level options you select will influence the cost. Expedited shipments cost more, as do those that require special equipment or handling instructions.

Have the best LTL shipping experience

For the best possible experience, start by providing accurate information about your shipments. When the carrier has to spend extra time dealing with freight that isn't reported correctly, it could hinder your business relationship and add to your expense.

You might also consider relying on the expertise of a logistics management consultant to help you find the best possible prices and deal with your LTL contracts. That way, you’ll have the information and tools necessary to get your freight to its destination as quickly as possible at the lowest price.

Resource Logistics Group provides request-for-quote management and implementation, contract management, and other logistics services in the freight shipping industry. We ensure your logistics department has the assistance it needs to get your freight to its destination at a price that won’t eat your profits. Contact us today for more information on our freight logistics services, and we will even perform a free benchmarking analysis for your company