FTL and Less than truckload (LTL) are the two main truckload freight options available over road shipping. PNG Logistics state that full truckloads carry 42,500 pounds or 24 pallets, while shipments that carry lesser weights than that normally use LTL shipping.
Every business owner and manufacturer is looking for a way of making more profit in logistics. This calls for cost-effective transport mode and proper strategy. The minimum weight and volume have a tendency to put off most companies from using full truckload freight as their preferred shipping mode. However, it can be used positively to benefit those making shipments more than LTL in some cases.
This article will help you understand the benefits of FTL shipping from a strategic point of view which many truckload freight shippers tend to overlook. These benefits include:
- Additional backhaul opportunity: PNG Logistics usually advise drivers to secure a backhaul load. In these high volume destinations, the shipment operators consolidate parcels and LTL shipments until it’s a full truckload. This can enable the manufacturer, the end client, and the truckload carriers to save both time and money.
- FTL is often less risky: FTL is considered less risky than other freight modes because it requires fewer touch points along its route. Normally, the marginal risk is calculated from the time a truck takes to arrive at its destination. Full truckload, therefore, reduces the risk since it relies on express shipments.
- Faster delivery: Full truckload freight usually travels to one destination. This means fewer stopovers thus faster delivery. This is a better freight mode, especially for perishable goods.
- Better bargaining power: Full truckload shipping rates depend on distance and fuel costs. This means haulers have more bargaining power with drivers and truckload carriers which can reduce the total cost involved. According to USA Trucking Services, full truckload freight is often a faster and safer method compared to LTL because these shipments are transported express to its destination without being transferred to another truck midway. This reduces expenses involved.
To enjoy the benefits of full truckload freight, both product manufacturers and end companies should understand freight characteristics that signify the use of FTL shipping as highlighted above. Shippers should also know how to push in orders to enjoy full truckload shipping rates. They have to involve carriers, more drivers and third parties. In fact, the U.S. Department of Transportation recorded that the value of freight moved is likely to rise from $882 in 2007 to $1377 in 2040 for every ton. This calls for proper truckload logistics and improved strategies as more drivers become independent contractors.
For more information on how you can benefit from full truckload freight shipping, contact Diversified Transportation Services today.