Domestic Shipping: Choosing Between FTL & LTL
Domestic freight transportation is an integral part of the supply chain. There are plenty of options for shippers to choose from when deciding how to move freight by truck, as they must balance space, speed, and cost. We will focus on the two most common options in the trucking world – full truckload (FTL) and less-than-truckload (LTL).
These two shipping methods each have specific advantages and disadvantages that must be considered when scheduling a shipment. From obvious factors like space and cost to more nuanced aspects like delivery speed and safety of goods, shippers much evaluate which option best fits their needs
FTL shipping, as the name suggests, is when a shipper books the entire truck, even if it isn’t fully loaded. This is most common when a shipment is large enough to fill all or nearly all of a truck, generally 10 or more pallets or a load weighing more than 15,000 pounds. However, shippers can choose FTL with smaller loads if they want dedicated space and faster transit, though it’s not always cost-effective.
LTL shipping, on the other hand, refers to when a company is shipping smaller loads, typically fewer than 10 pallets or less than 15,000 total pounds. LTL involves sharing the truck with multiple shippers until the truck is full. Sharing the space also means sharing the cost, making LTL a more attractive option for smaller shippers, though it comes with trade-offs in speed and handling.
Major Differences Between FTL & LTL
Speed: If speed is the most important thing, then FTL is the better option. Since only one shippers’ goods are loaded on the truck, it leads to faster transit times. With LTL, the carrier must make multiple stops along its route, leading to far more unpredictable timelines.
Cost: FTL can be extremely cost-prohibitive for smaller to mid-sized shippers, as they must pay for the entire truck. For larger enterprises, FTL makes much more sense, they typically have the budget for a full truck and also the volume to fill it. With LTL, you only pay for the space you use on the truck. While this makes it slightly less predictable than FTL, it’s usually far more affordable overall. The cost per load for an LTL shipment can be higher, but it’s far cheaper than paying for an entire truck you don’t need.
Handling: Since LTL shipments involve multiple shippers, goods are handled much more often than with FTL. In FTL, cargo is loaded, sealed and delivered directly to its destination. With LTL, multiple pickups and drop-offs mean freight can be moved several times before even leaving on its final route. This opens the door to a much higher risk of damage along the route. If you have an extremely fragile shipment, FTL may make more sense to offset the risk of serious damage.
There is no one-size-fits-all solution. For larger, fragile, or time-sensitive jobs, FTL is generally the best option. For smaller, flexible loads, LTL often makes more sense. Ultimately the decision depends on your unique needs.
If you’re struggling to manage domestic shipments, reach out to Scarbrough today. Our dedicated team of 3PL specialists will create tailored solutions to your toughest freight challenges and ensure your cargo always has available space.
