4 Advantages of Freight Consolidation Services
Higher fuel costs. Driver shortages. More natural and manmade disasters. Increased customer demands for just-in-time deliveries. It seems like upward pressure on shipping costs is coming from all directions in your supply chain.
In most business scenarios, when costs are too high, you simply look for ways to reduce them. Except, in the case of shipping, there’s not much you can do. There’s no way around something like fuel surcharges if every transportation company charges them.
That’s where freight consolidation, or the bundling together many smaller, less-than-truckload (LTL) shipments into one or more full truckload shipments (FTL), comes in. It is perhaps the best way for shippers to lower transportation costs and take advantage of a number of other benefits too.
Except, business realities, like shipping volumes or customer demands, may prevent you from using freight consolidation and reaping its benefits.
The Benefits of 3PL Freight Consolidation Services
Choosing a third-party logistics (3PL) company that offers reliable freight consolidation services can give you all the advantages regardless of your shipping volume.
And while it’s easy to see the potential savings in shipping costs, that’s just one advantage of freight consolidation services.
- Reduce Loading Dock Logistics – LTL loads each require their own handling and loading dock space. The sooner you get them off your dock, the better.
- Less Chance of Shipping Interruptions – Each LTL shipment runs the risk of an interruption in shipping that could result in costly delays. A freight consolidation service will have access to multiple shipping options to keep your shipment moving.
- Easier Tracking – Track just one shipment instead of several. And your 3PL should offer real-time visibility into your shipment’s status and location.
- Streamlined Costs – Instead of accounting for each LTL shipment, often from different transportation companies, you will get simple, straightforward pricing from your 3PL.
If you found this article helpful, check out our recent post “5 Steps to Streamlining Operations for Business”.
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