FTL and LTL are terms used daily in the transportation industry. Both relate to the quantity and weight of the transported cargo and, more importantly, usually are the main point in negotiations between the parties.
FTL stands for Full Truck Load. This term refers to transport, which can make full use of the transport capabilities of a vehicle, during which a single load is carried. However, it is worth mentioning that usually, such goods use a maximum of only the cargo space or permissible load.
LTL - Less Than Truck Load. This term refers to the goods for which more cargo can be picked, as it does not fully utilize the transport possibilities of the vehicle.
When to choose FTL and when LTL?
FTL transport is selected if there is a large quantity of goods to transport - one that will take up all or most of the vehicle’s cargo space.
However, customers often decide to purchase an FTL transport service if they are interested in fast delivery time or reducing the risk of damage - then we call this dedicated transport.
This solution is fast and safe because after loading, the goods go directly to the destination and there is no need for transhipment operations, as the supplier only transports the goods of one Customer.
However, FTL transport is expensive because the Customer pays to use the entire cargo space of the vehicle regardless of whether the goods occupy it. It is worth paying attention to the delivery time of such goods, which consists of, e.g., only a few pallets - if not - a better solution will be to order small-scale transport LTL.
LTL transport is selected when there is a cargo to transport that will not take up the entire cargo area, only part of it. In such transport, the cargo space of the vehicle is divided between different customers, which prolongs the delivery time. It is much cheaper for the Customer because he pays only for the space used by himself.
This option is worth using when the goods are not too heavy, do not take up too much space, and the fast delivery time of such a shipment is not required.
For the Carrier, combined transport is a more complicated process than full-vehicle transport. The key here is to get more orders to occupy the entire part of the truck, make a profit, and properly plan the route, loading, and unloading hours. All this is also associated with the increased number of formalities that the transport company must ensure.
In addition, FTL transport can be more predictable because the risk of a delay in the entire transport is much greater for LTL transport. However, often, higher profits are achieved by carriers engaged in the transport of consolidated shipments.
Each of the solutions has its pluses and minuses. It is worth considering them taking into account the situation and current requirements of the Customer.
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