LTL vs FTL Shipping Modes: What's the difference?

Choosing the right way to send your goods is an important business decision.  Two of the most common shipping methods you'll encounter are Less Than Truckload (LTL) and Full Truckload (FTL).

Understanding the core differences, advantages, and best-use cases for LTL and FTL shipping is key to optimizing your logistics strategy. This guide will break down everything you need to know to make an informed decision.

What is Less Than Truckload (LTL) Shipping?

LTL is designed for shipping that is too large for package carriers, but which does not require full space on a full semi-trailer.  With LTL, your freight is consolidated with goods from other shippers moving in the same direction.. Think of it as a rideshare for your freight – you only pay for the space your goods occupy.

Key Characteristics of LTL Shipping:

• Shipment Size: Usually, LTL shipments typically range from 150 to 15,000 pounds. If you're shipping a few pallets, LTL is often the most logical option.
• Cost Structure: Because you're sharing truck space, LTL is usually more cost-effective for small to medium-sized loads than booking an entire truck.
• Operational Model: LTL carriers usually operate on a "hub and spoke" network. Your goods are picked up and moved to a local terminal. From there it is integrated with other shipments that go to the same regional terminal, and then loaded onto another truck for final delivery.
• Flexibility for Smaller Loads: It’s an excellent option for businesses that ship smaller quantities more frequently.
• Accessorial Services: LTL carriers commonly offer additional services like liftgates (for locations without a loading dock), residential pickup/delivery, and inside delivery.

 Pros of LTL Shipping:

• Cost Savings:  The main advantage for small shipments is the low cost, as you do not pay for unused trailer space.
• Reduced Warehousing Needs: Ability to ship smaller quantities can help manage inventory levels and reduce the need for extensive warehousing.
• Environmental Considerations: Consolidating multiple shipments on the same truck is generally more environmentally friendly than many trucks driving with a partial load.

Cons of LTL Shipping:

• Longer Transit Times:  Due to several stops for pickup and delivery, and routing through the terminals, LTL transmission usually takes longer to reach its destination than FTL.
• Increased Handling: Shipping is usually handled several times (loaded and unloaded on terminals), which can increase the risk of damage if not packed properly.
• Complex Pricing: LTL prices are determined by several factors, including weight, dimensions, density, freight class (a standardized classification for goods), distance and any accessory services required.

When is LTL the Right Choice?

• Your shipment is between 150 and 15,000 pounds.
• Cost efficiency for small loads is a primary concern.
• Your delivery timeline can accommodate slightly longer transit times.
• You require specialized services like residential delivery or liftgate assistance.
  
  

What is Full Truckload (FTL) Shipping?

FTL shipping, as the name implies, involves reserving an entire truck for your exclusive use. Your items are the only load on the board, and the truck usually travels directly from the pickup site to the destination.

Key Characteristics of FTL Shipping:

• Shipment Size: FTL is ideal for large shipments that can fill, or almost, an entire trailer - usually 10 or more pallets, or typically over 15,000 pounds.
• Direct Transit: The truck travels directly from origin to destination without transferring goods at intermediate terminals.
• Exclusive Use: The entire trailer capacity is yours, greater safety and a lower chance of mixing with incompatible goods.
• Versatility for Large Volumes: Suitable for bulk shipments, large machinery, or high volumes of palletized goods.

Pros of FTL Shipping:

• Faster Transit Times: Direct routes mean faster distribution than LTL, as there are no stops for other pickups or delivery.
• Reduced Risk of Damage: Since your freight is loaded once and unloaded once, and isn't handled en route, the risk of damage is significantly lower. This is ideal for fragile or high-value goods.
• Enhanced Security: Exclusive use of trucks provides more protection for your shipment.
• Predictability: Delivery appointments can often be scheduled with more precision.

Cons of FTL Shipping:

• Higher Cost for Smaller Shipments: If the shipment does not use most of the truck capacity, FTL can be more expensive than LTL if you don’t need the entire truck capacity.
• Less Flexibility for Partial Loads: If your shipment volumes are consistently small, FTL is not the most cost-effective option unless speed and direct transit are absolute priorities.

When is FTL the Right Choice?

• Your shipment is large enough to fill most or all of a trailer.
• Speed and a strict delivery schedule are critical.
• Your goods are high-value, fragile, or require specialized handling that benefits from minimal touchpoints.
• You prefer the added security of a dedicated truck.
• You are shipping to a single destination and can consolidate enough freight to make it worthwhile.
  
  

LTL vs FTL: Making the Decision

Here’s a simplified breakdown to help you decide:

Ultimately, the best choice depends on a careful evaluation of your specific shipment characteristics, budget, and service requirements.

How Freightzy Can Help You Navigate LTL and FTL Shipping

Understanding the nuances of LTL and FTL is the first step. Next is looking for a reliable partner to help you perform your shipping strategy effectively.

At Freightzy, we specialize in simplifying the complexities of freight shipping. Whether your needs point towards LTL or FTL, we offer:

• Access to a Broad Network: We connect you with a wide range of vetted, reliable LTL and FTL carriers across North America, ensuring competitive pricing and dependable service.
• Technology-Driven Solutions: Our user-friendly online portal allows businesses to easily get quotes, book shipments, and track their freight in real-time. This transparency and control can save your valuable time and effort.
• Expert Guidance: If you are unsure whether LTL or FTL is the best fit, or if you have special requirements (such as temperature controlled LTL for perishables), our experienced team is here to provide guidance to your specific needs and
• Focus on Efficiency: We want to help companies streamline their shipping processes. For regular shippers, we can even analyze shipping patterns to identify potential efficiencies and cost savings.

Choosing the right freight mode can significantly impact your bottom line and customer satisfaction. By understanding the fundamental differences between LTL and FTL, you're now better equipped to make choices that ensure your goods move efficiently and economically.

If you want to customize the LTL or FTL freight, or just want to find out how these solutions can be adapted to your unique business needs, our team is ready to support your shipping needs. For personal advice or to get competitive quotes for the next shipment, please request a shipping quote directly through our platform or contact us – we're here to help make your freight easy.