If your company ships goods by land, it’s likely you’ve heard the abbreviation LTL used as a shipping option, but it’s also possible there is some confusion as to the definition of this term. LTL means “less than truckload shipping”; simply put, it’s a method of transporting freight in smaller, irregular quantities, rather than using an entire truck to haul a partial load.
A courier broker, with whom you normally consult when you want to utilize LTL rates, negotiates rates based upon a variety of factors, including hauling distance, the nature and size of the load, the length of time the load will be on the truck, fuel rates, and more. LTL, as a shipping method, is well suited to small companies, which often need to move irregular or unpredictable quantities. It also works well for those whose customers rely on rapid order fulfillment from warehouses geographically distant from the company proper. In these cases, LTL means significant savings, because loads from several orders can be combined and shipped together, which results in the cost of the transport being shared among the shippers. If a single truck were hired by each company, then each would bear the full cost despite the unused space – think of it as a ride share program for freight. According to the DG&A report on the North American Freight Industry for 2018, demand for LTL carriers is high, and the rates for these services are rising as the industry becomes more disciplined in its pricing. When a courier broker like netParcel negotiates rates, your company will benefit from the broker’s knowledge – rather than calculating fuel consumption, rates per kilometer, tolls, and other details, you can focus on your business. Your courier broker is paid to do the research and understand the LTL market, and you can rest assured that you are getting the best possible rate to move your product where you need it to go.
LTL also means efficiency, as it’s better for a sustainable economy. Loading trucks in full uses less fuel, and creates fewer emissions than sending out several trucks, each with only a partial load. It takes the principle of carpooling, essentially, and applies it to the world of shipping goods. By utilizing LTL shipping, your company will reduce its environmental impact with each load, doing your part to minimize your carbon footprint. When a courier broker negotiates rates to ensure your company the best fiscal value using LTL, your business benefits financially as well as ethically. Less Than Truckload shipping is a viable option for many companies, both big and small, and to neglect its benefits is to miss out on significant potential savings –if your business ships partial loads in separate trucks, you are leaving savings on the loading platform. Contact a reputable courier brokerage company today and take advantage of the discounted empty space waiting for your freight on a partially filled truck.LTL might seem like just another piece of shipping jargon, but it can really benefit your business.