If you use less than truckload (LTL) freight shipping or are planning to use it, there are some important things you need to know.
Here are some myths you shouldn't believe about LTL shipping:
When it comes to LTL freight companies, not all are the same. This is especially true when it comes to accessorials, also known as extra services. In fact, accessorial charges can fluctuate from carrier to carrier by up to 50%. To figure out a carrier's rates, you can look at their Rules Tariff. It will give you a breakdown of all their accessorials and their rates.
Some people often think that if they've been shipping the same freight for years, their class won't change. The National Motor Freight Classification (NMFC) determines freight class. They meet twice a year to revise the current freight classes for many different commodities. So, it is quite possible that your freight class can change at any given time.
When it comes to LTL shipping services, there is no way to guarantee when your freight will be delivered. A carrier is more likely to give you a timeframe for delivery than a set date and time. The timeframe is based on the location of delivery and the schedule of the carrier. You may get your freight faster if you are located in a place where trucks come and go often instead of in a remote area.
No one wants to argue with discounts, but it's still important to look at the base cost too. Don't let a large discount trick you into thinking you're getting a good price when you might be able to find better base costs somewhere else.
Just like most things in life, you get what you pay for. If you get the lowest rate, then your level of expectations should also be just that, pretty low. Sometimes, shippers think it may make sense to get multiple rates and use the lowest price option. But, if you're not comparing true apples to apples then you're going to be unhappy after you determine that you made a critical error using the cheapest option when you wanted a "Quality Value Driven" option.
The e-commerce revenue in the United States is about $423.3 billion, and it is climbing steadily. Whether it's full truckload shipping, less than truckload (LTL shipping), or parcel shipping, freight carriers have to change to adjust to the changes in the retail industry. If you need to utilize LTL shipping services, make sure you don't believe these common myths. For more information about LTL freight shipping, contact us today.
Whether you're a company looking to improve one facet of your supply chain, your entire supply chain, or simply looking for a transportation and logistics consultation, we can help.
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