In logistics there are so many acronyms and shipping options it is nearly impossible to keep track of all of them. What does it mean when someone says LTL or FTL? Choosing the right freight method is vital to ensure that time, space, and money are optimized. We're here to break down LTL and FTL for you so that you can better understand which is a better option for your business.
Less-than-truckload shipping is used when a shipment won’t fill up an entire truck. This load size is between individual parcels and a full truckload.
Full truckload shipping is used when a shipment will fill up the entire truck. FTL is often used for large quantities of goods that can’t be mixed with other shipments.
Here are some factors to consider when choosing if LTL or FTL makes more sense for a shipment.
LTL and FTL have different weight and size limits. Typically, an LTL shipment weighs from 150 to 15,000 pounds and includes up to 10 pallets. An FTL shipment is necessary when a shipment is greater than 15,000 pounds and/or 10 pallets.
If you are worried about fragile cargo, poor handling, damage, or theft, FTL may be the best option. With LTL shipments, freight is sharing a space with other shipments and will be moved around more. Due to the nature of the shared space with LTL, it may be worth it to splurge for FTL if you have security concerns.
Within FTL and LTL, there are also partial loads and volume shipping to consider. Partial truckloads are an area of FTL that consists of 8 to 18 pallets and weighs between 8,000 and 27,500 pounds. These shipments share space with other cargo, but tend to arrive quicker than standard LTL freight. Volume shipping is a subset of LTL, and typically contains loads more than 6 pallets that weigh between 8,000 and 10,000 pounds. These large LTL shipments can be more economical than FTL.
Do you value direct shipping or is multiple stops fine? FTL is usually the faster choice since it goes directly to the location and doesn’t have to wait for trailers to be filled. Multiple stops with loading and unloading tends to slow down LTL. If you are more concerned about costs, LTL is the way to go. If you are worried about speed, FTL is the better option.
With LTL, there is more flexibility with additional levels of service. For example, LTL is best if your product requires special handling (think fine furniture, jewelry, large household appliances, etc.), lift gate services, or freeze protection. FTL tends to have more simplified service options.
If you are worried about your environmental impact, LTL tends to be more environmentally friendly since there are less trucks on the road. LTL shipments consolidate numerous smaller shipments, meaning fewer trucks and less fuel being needed. If an FTL shipment isn’t completely full, there will be underutilized space and wasted fuel.
The main differences between LTL and FTL are the cost difference and carrier times. LTL is typically going to give you higher cost savings since you only pay for the space you are using versus a whole truck. FTL will give you quicker transit times since the full truckload will go straight to the receiver without having to pick up any other freight. Both have a place in logistics and can be a good choice depending on the needs of your specific business.
Companies can use a mix of LTL and FTL shipping to maximize efficiency, save costs, and prevent wasted truck space. Learn how Brandfox can help you determine whether LTL or FTL shipping (or a mix of both) is right for your business.