Should I use FTL or LTL shipping?
Choosing the right ground freight transport for your specific business depends on various factors, including the type of freight, the size and weight of the shipment, the delivery timeline, and your budget. To make an informed decision, let's break down the differences, benefits, and scenarios in which FTL or LTL shipping might be the better fit.
What is FTL shipping?
Full Truckload (FTL) shipping operates on a point-to-point distribution model, making it a preferred option for businesses that require dedicated transportation. When you choose FTL, a single shipment occupies the entire truck, regardless of whether the truck is filled to capacity. The shipper loads and secures the cargo, seals the trailer (if applicable), and the driver transports the freight directly to the delivery location without making additional stops along the way. This direct route significantly reduces the handling of goods, which in turn minimizes the risk of damage, delays, and potential mismanagement.
FTL is ideal for businesses that need to transport large shipments—typically exceeding 10 pallets or 15,000 pounds—or for those who require strict delivery schedules. It’s also an excellent option for sensitive or high-value cargo that demands a higher level of care and security throughout the shipping process.
What is LTL shipping?
Less-Than-Truckload (LTL) shipping is multiple small shipments from different shippers that are consolidated into one truck. LTL shipping often utilizes a hub-and-spoke distribution model, which is designed to maximize efficiency and minimize costs for shippers with smaller loads. In LTL shipping, multiple small shipments from different shippers are consolidated into one truck. These assorted shipments are collected at a regional hub, where they are loaded onto a truck that will make several stops along its route to deliver goods to their respective destinations.
Due to multiple handling points, including loading, unloading, and reloading, LTL shipments might take longer to reach their final destination. However, this method is usually more cost-effective, as shippers only pay for a portion of the truck they use instead of the entire vehicle. LTL is particularly suitable for small businesses or those with less frequent, smaller shipments.
The benefits of FTL shipping vs. LTL shipping
Both FTL and LTL shipping will get your goods where you need them to go, when you need them to get to their destination. Selecting one trucking mode over another will depend on multiple variables.
Choose FTL when
- You run a large business with shipments that typically exceed 10 pallets and/or 15,000 pounds.
- You want to streamline the shipping process to meet business demands efficiently.
- You require strict delivery schedules, with firm dates and times for pick-up and delivery.
- You prefer to minimize handling and ensure your freight is delivered directly to the consignee without changing hands.
- You seek greater security and reduced risk for losses or damage, compared to LTL.
Choose LTL when
- You run a small business with shipments of 10 pallets or less, and between 150 and 15,000 pounds.
- You’re looking for a cost-effective shipping option by sharing truck space with multiple shippers.
- Your business can accommodate flexible pick-up and delivery times, understanding that LTL shipments involve multiple stops.
- You require additional services like “white glove” delivery, liftgate services, or freeze protection.
Get the best bang for your truck
Selecting the right freight shipping mode is crucial because it directly impacts your costs, delivery timelines, and overall efficiency. Both FTL and LTL shipping methods offer tailored services to meet diverse transportation needs, so the best choice for your business will depend on your logistics requirements.
Cole provides you with half a century of global shipping and freight experience as a full-service freight partner. We help to ensure that your shipping solutions are optimized for your business needs. Connect with one of our freight forwarding leaders today to learn more.