How to use LTL to save money on ecommerce shipping for your business

Transcript

Best practices: Using LTL shipping to improve your ecommerce fulfillment

So, you’ve started an ecommerce business. You have stellar products that consumers won’t be able to resist. You have a sparkling website to showcase them. Thanks to the creative and engaging content you created, your social media is taking off. You’re about to start making endless sales.

Now how are you going to get your products to your customers?

That’s where ecommerce logistics comes in.


What is ecommerce logistics?

The process of getting your goods from supplier to customer is the essential function of ecommerce logistics, also referred to as ecommerce fulfillment. It can be complicated and often involves multiple stops along your products’ journey from where they are produced to your customers’ hands.

There are multiple ways of managing your fulfillment services. If you’re only sending an item or two from your home or shop directly to your customer, parcel service is most likely the simplest and most inexpensive option. However, shipping large amounts of freight via parcel service can get expensive.

Save Money and Time with LTL Shipping

Less-than-truckload, or LTL shipping, is a great option for ecommerce sellers who ship frequently, but don’t move enough at one time to fill an entire truckload. LTL offers a perfect solution to meet the demands of consumers who increasingly expect fast delivery times and don’t want to pay delivery fees. With LTL, your freight shares a trailer with other shipments, and you only pay for the amount of capacity (space and weight) that your shipment inhabits. The labor, fuel, and other costs are split among all the shippers. You don’t pay for any extra space you don’t need, which can happen with full truckload shipping, and you get better rates than you would if you shipped via parcel service.

LTL can also make your order fulfillment more agile. When using full truckload service, in order to maximize the efficiency of your logistics budget, you need to wait until you have enough orders to fill an entire trailer. This could slow down your supply chain. LTL offers the ability to ship as soon as you have as little as one pallet’s worth of orders to ship.

While it can save you money and get your goods on the road quickly, LTL can be a complex world to navigate. If you’re new to LTL shipping, read our guides for how to use it effectively and how to avoid surprise fees.

How Fulfillment Centers Can Get Your Goods to Customers’ Doorsteps

Fulfillment centers can be a solution for covering last-mile delivery directly to your customers. A fulfillment center is similar to a warehouse – in fact, warehousing is among the services that fulfillment centers offer. However, while goods stored in a warehouse typically stay there for an extended period of time, fulfillment centers are generally only meant for short-term storage. They act as a centralized location to send your products to so they can be distributed to individual customers. This being the case, you’ll want to find a location in a region where most of your orders come from.

Other services offered by fulfillment centers include processing and shipping products to your customers once they make a purchase. They deliver products directly to your customers, which saves you time spent packaging and addressing orders yourself. Using a fulfillment center also prevents you from having to buy or rent a facility to store your goods yourself. Of course, all these services come with a cost, so it is important to evaluate whether your ecommerce business sells a large enough volume of goods to justify it.

3PLs Get You the Most for Your Money

Regardless of whether you choose to use a fulfillment center, when you ship LTL, working with a 3PL like Koho can get you the best rates from top carriers. Koho offers an online shipping platform where you can enter the details of your shipment and quickly get quotes from multiple carriers. The shipping experts and other resources at Koho can also help you navigate the complex world of LTL. If you have questions about how to book your shipment, get the best rates, and avoid unwanted fees, contact Koho today.

Image of trucks lined up in a parking lot

Best practices: Using LTL shipping to improve your ecommerce fulfillment

So, you’ve started an ecommerce business. You have stellar products that consumers won’t be able to resist. You have a sparkling website to showcase them. Thanks to the creative and engaging content you created, your social media is taking off. You’re about to start making endless sales.

Now how are you going to get your products to your customers?

That’s where ecommerce logistics comes in.


What is ecommerce logistics?

The process of getting your goods from supplier to customer is the essential function of ecommerce logistics, also referred to as ecommerce fulfillment. It can be complicated and often involves multiple stops along your products’ journey from where they are produced to your customers’ hands.

There are multiple ways of managing your fulfillment services. If you’re only sending an item or two from your home or shop directly to your customer, parcel service is most likely the simplest and most inexpensive option. However, shipping large amounts of freight via parcel service can get expensive.

Save Money and Time with LTL Shipping

Less-than-truckload, or LTL shipping, is a great option for ecommerce sellers who ship frequently, but don’t move enough at one time to fill an entire truckload. LTL offers a perfect solution to meet the demands of consumers who increasingly expect fast delivery times and don’t want to pay delivery fees. With LTL, your freight shares a trailer with other shipments, and you only pay for the amount of capacity (space and weight) that your shipment inhabits. The labor, fuel, and other costs are split among all the shippers. You don’t pay for any extra space you don’t need, which can happen with full truckload shipping, and you get better rates than you would if you shipped via parcel service.

LTL can also make your order fulfillment more agile. When using full truckload service, in order to maximize the efficiency of your logistics budget, you need to wait until you have enough orders to fill an entire trailer. This could slow down your supply chain. LTL offers the ability to ship as soon as you have as little as one pallet’s worth of orders to ship.

While it can save you money and get your goods on the road quickly, LTL can be a complex world to navigate. If you’re new to LTL shipping, read our guides for how to use it effectively and how to avoid surprise fees.

How Fulfillment Centers Can Get Your Goods to Customers’ Doorsteps

Fulfillment centers can be a solution for covering last-mile delivery directly to your customers. A fulfillment center is similar to a warehouse – in fact, warehousing is among the services that fulfillment centers offer. However, while goods stored in a warehouse typically stay there for an extended period of time, fulfillment centers are generally only meant for short-term storage. They act as a centralized location to send your products to so they can be distributed to individual customers. This being the case, you’ll want to find a location in a region where most of your orders come from.

Other services offered by fulfillment centers include processing and shipping products to your customers once they make a purchase. They deliver products directly to your customers, which saves you time spent packaging and addressing orders yourself. Using a fulfillment center also prevents you from having to buy or rent a facility to store your goods yourself. Of course, all these services come with a cost, so it is important to evaluate whether your ecommerce business sells a large enough volume of goods to justify it.

3PLs Get You the Most for Your Money

Regardless of whether you choose to use a fulfillment center, when you ship LTL, working with a 3PL like Koho can get you the best rates from top carriers. Koho offers an online shipping platform where you can enter the details of your shipment and quickly get quotes from multiple carriers. The shipping experts and other resources at Koho can also help you navigate the complex world of LTL. If you have questions about how to book your shipment, get the best rates, and avoid unwanted fees, contact Koho today.

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