The Ins And Outs Of Calculating Less Than Truckload Shipping Rates

The Ins And Outs Of Calculating Less Than Truckload Shipping Rates

The less than truckload shipping (LTL) market is worth an estimated $35 billion. Still, to many, it remains a little mysterious. LTL shipping services are their own special classification that means freight only takes up part of a shipping trailer. Thus, less than truckload shipping rates can be incredibly variable.

It makes sense that the rates would be variable because LTL shipping weights, amounts, and spatial usage aren't standardized. As much room as your freight needs, it takes. However, there are factors that go into those truckload shipping rates that you should be familiar with. Let's look at a few of them.

The Usual Suspects

Truckload shipping rates will never escape the standards of weight and distance. The lighter your freight is and the farther it's being shipped will increase the cost of shipment. That's calculated via centum weight, or hundredweight pricing, which lowers shipping rate as the centum weight increases. There are some additional, more technical considerations to take into account as well.

FAK, Density, And Class

Freight All Kinds (FAK) is a shipping category that applies to shipments that are several different classes being shipped all together. In the LTL world, there are 18 freight classes, and density is one of the most important determining factors of your freight's class. Generally, the denser something is, the less it costs to ship, but costs rise with freight that is less dense. High density denotes lower classifications and lower shipping cost, low density denotes higher classifications and higher cost.


It's easy to not think about the little things that certain LTL companies might tack onto your truckload shipping rates, so it pays to be vigilant. Firstly, being conscious of the base rates of whatever shipping service you use is huge. Beyond that, seek out discounts and haggle a little. Many shipping and freight companies will grant discounts for loyalty, bulk purchases, etc. Don't lose out on these opportunities because you're too shy to ask.

If you're looking into LTL shipping, look no further. The professionals at Diversified Transportation Services will answer any questions you have. After all, shipping logistics are our specialty, so get in touch with us today.

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