How size affects the price of an LTL Shipment

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Why the size of your LTL shipment matters

Do you regularly ship freight that weighs more than 150 lbs? If so, you may be familiar with less-than-truckload (LTL) shipping. While shipments on all modes of transportation are generally priced according to their size and weight, for LTL shipments, it can be especially pertinent.

What is LTL shipping?

For those who ship freight between 150 and 15,000 lbs (generally, although the specific weight requirements differ slightly from carrier to carrier), LTL shipping is an efficient and cost-effective option to get cargo where it needs to go. LTL carriers pack freight from multiple shippers into one trailer and transport it all together. This requires precise planning and organization of the space inside the trailer. It also means that each individual shipper only pays for the capacity that their freight occupies.

To accurately charge each shipper for their freight, LTL carriers use a complex system called National Motor Freight Classification (NMFC) that separates commodities into different categories according to four characteristics: density, handling, stowability, and liability.

Each commodity is assigned an NMFC code number, and these are more broadly put into NMFC freight classes ranging from 50 to 500. Items in freight class 50 are the most dense, low-value and easiest to handle and pack goods, and are therefore the least expensive to ship. Items in freight class 500, like gold dust and ping pong balls, tend to be the least dense, highest value, and most difficult to handle and pack, making them significantly more expensive to ship.

Density is one of the most important factors that goes into the calculation of how much it will cost to ship a particular type of freight. Why density? Because freight that is very low density takes up a large amount of space without weighing much. If LTL carriers only charged by weight, it would be incredibly costly for them to ship low-density items. Some carriers even charge using dimensional (DIM) weight.

Why is DIM weight used in LTL shipping?

LTL carriers sometimes use DIM weight as a way to encourage shippers to pack their freight as efficiently as possible. DIM weight was created to price the transportation of cargo not only according to its weight, but also how much space it occupies. This is accomplished by charging based not on the actual weight of the cargo, but what a carrier identifies as what it should weigh based on its volume.

This is calculated by multiplying the length, width, and height of the cargo to determine its volume in cubic inches. The total is then divided by a DIM factor, which is assigned by the carrier. Each carrier uses its own DIM factor, so depending on who you ship with, it can vary.

Shippers who use too much packing material or pack their goods haphazardly end up paying more for their freight under this system because their freight takes up more space than it needs to. This is one reason some retailers ship unassembled furniture to customers. It is vastly more efficient than shipping pre-assembled furniture and takes up far less space because each component can be packed tightly with all the others.

What is the most efficient way to pack freight for LTL?

Organizing freight and placing it all tightly together on a pallet is usually the best way to package it for LTL shipping. Once the goods are stacked on the pallet, straps or heavy-duty plastic wrap are used to secure it. There are many advantages to palletizing freight when shipping LTL.

  • Shipments are protected from damage because they are stacked and secured. For LTL shipping, this is particularly important, because a shipment could be loaded and unloaded from warehouses and trucks multiple times before it reaches its destination.
  • The standardized measurements and shapes of pallets make them easy to stack and organize. This allows carriers to make the most efficient use of space in trailers and warehouses.
  • Pallets are designed to be easily picked up and moved by forklifts or pallet jacks, which makes them easy to load and unload, saving carriers time and effort.

For guidance on how to get the best value on your LTL shipments and how to package freight most efficiently, contact the team of experts at Koho today.

Image of trucks lined up in a parking lot

Why the size of your LTL shipment matters

Do you regularly ship freight that weighs more than 150 lbs? If so, you may be familiar with less-than-truckload (LTL) shipping. While shipments on all modes of transportation are generally priced according to their size and weight, for LTL shipments, it can be especially pertinent.

What is LTL shipping?

For those who ship freight between 150 and 15,000 lbs (generally, although the specific weight requirements differ slightly from carrier to carrier), LTL shipping is an efficient and cost-effective option to get cargo where it needs to go. LTL carriers pack freight from multiple shippers into one trailer and transport it all together. This requires precise planning and organization of the space inside the trailer. It also means that each individual shipper only pays for the capacity that their freight occupies.

To accurately charge each shipper for their freight, LTL carriers use a complex system called National Motor Freight Classification (NMFC) that separates commodities into different categories according to four characteristics: density, handling, stowability, and liability.

Each commodity is assigned an NMFC code number, and these are more broadly put into NMFC freight classes ranging from 50 to 500. Items in freight class 50 are the most dense, low-value and easiest to handle and pack goods, and are therefore the least expensive to ship. Items in freight class 500, like gold dust and ping pong balls, tend to be the least dense, highest value, and most difficult to handle and pack, making them significantly more expensive to ship.

Density is one of the most important factors that goes into the calculation of how much it will cost to ship a particular type of freight. Why density? Because freight that is very low density takes up a large amount of space without weighing much. If LTL carriers only charged by weight, it would be incredibly costly for them to ship low-density items. Some carriers even charge using dimensional (DIM) weight.

Why is DIM weight used in LTL shipping?

LTL carriers sometimes use DIM weight as a way to encourage shippers to pack their freight as efficiently as possible. DIM weight was created to price the transportation of cargo not only according to its weight, but also how much space it occupies. This is accomplished by charging based not on the actual weight of the cargo, but what a carrier identifies as what it should weigh based on its volume.

This is calculated by multiplying the length, width, and height of the cargo to determine its volume in cubic inches. The total is then divided by a DIM factor, which is assigned by the carrier. Each carrier uses its own DIM factor, so depending on who you ship with, it can vary.

Shippers who use too much packing material or pack their goods haphazardly end up paying more for their freight under this system because their freight takes up more space than it needs to. This is one reason some retailers ship unassembled furniture to customers. It is vastly more efficient than shipping pre-assembled furniture and takes up far less space because each component can be packed tightly with all the others.

What is the most efficient way to pack freight for LTL?

Organizing freight and placing it all tightly together on a pallet is usually the best way to package it for LTL shipping. Once the goods are stacked on the pallet, straps or heavy-duty plastic wrap are used to secure it. There are many advantages to palletizing freight when shipping LTL.

  • Shipments are protected from damage because they are stacked and secured. For LTL shipping, this is particularly important, because a shipment could be loaded and unloaded from warehouses and trucks multiple times before it reaches its destination.
  • The standardized measurements and shapes of pallets make them easy to stack and organize. This allows carriers to make the most efficient use of space in trailers and warehouses.
  • Pallets are designed to be easily picked up and moved by forklifts or pallet jacks, which makes them easy to load and unload, saving carriers time and effort.

For guidance on how to get the best value on your LTL shipments and how to package freight most efficiently, contact the team of experts at Koho today.

Liftgate Limits

Liftgate Maximums

Average Limits Across Carriers

Maximum Length

66.5"

Maximum Width

65.5"

Maximum Height

79"

Maximum Weight

2,750 lb

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