Selecting the correct transportation method is necessary for businesses to maintain efficiency. Understanding the different modes of transport is necessary for optimizing logistics and controlling costs. The term “truckload” refers to a dedicated shipping service where a single shipper’s goods occupy an entire trailer for transit. This method reserves the full capacity of the vehicle for one consignment.
Defining Full Truckload (FTL) Shipping
Full Truckload (FTL) shipping is a freight transportation method where a single shipment utilizes the exclusive space of an entire semi-trailer, dedicated solely to one customer’s goods from origin to destination. This arrangement holds true even if the cargo does not fill the trailer or reach the maximum weight limit of 44,000 pounds. The defining characteristic of FTL is the direct, point-to-point movement of the freight without intermediate stops for loading or unloading other shipments.
Key Differences: FTL vs. LTL
The primary contrast between FTL and Less-Than-Truckload (LTL) shipping revolves around the dedicated versus shared use of the trailer space. FTL provides dedicated capacity, while LTL consolidates multiple smaller shipments from different customers onto a single truck. This shared model requires LTL shipments to move through a hub-and-spoke network, involving multiple stops at terminals for sorting and transferring the cargo.
FTL shipments follow a direct route from the shipper to the receiver, resulting in faster and more predictable transit times. In contrast, the LTL process involves greater handling of the freight as it is loaded and unloaded at various consolidation points. This increased handling elevates the potential for damage, loss, or misrouting of the goods. FTL minimizes this risk because the cargo is loaded once and remains sealed within the same trailer until it reaches the final delivery location.
When to Choose FTL
The decision to select FTL transport is typically driven by the volume of the goods being shipped. FTL becomes cost-effective when a shipment requires space equivalent to 10 or more pallets or weighs over 15,000 pounds. Businesses also choose FTL when a shipment is time-sensitive, as the direct, non-stop transit ensures goods arrive faster than the multi-stop LTL network.
FTL is the preferred method for shipping high-value, sensitive, or fragile commodities. Since the cargo is only handled at the origin and destination, the risk of damage or tampering is reduced. The exclusive use of the trailer provides greater control over the environment and security of the freight throughout the journey. For large-scale, predictable, and regular shipping volumes, the per-unit cost of FTL often provides better value than utilizing multiple LTL shipments.
Common Types of FTL Equipment
The type of FTL equipment selected depends on the nature and requirements of the freight being moved. The Dry Van is the most widely used trailer, offering a fully enclosed, weather-protected space suitable for transporting most non-perishable, palletized goods and manufactured products. These standard trailers are typically 53 feet long and work for the majority of FTL shipments.
Refrigerated Trailers (Reefers)
For goods that require a regulated environment, the Refrigerated Trailer, commonly known as a Reefer, is necessary. Reefers are equipped with a cooling unit that maintains a consistent temperature to transport perishable food products, pharmaceuticals, or other temperature-sensitive materials.
Flatbed Trailers
The Flatbed trailer is an open platform without sides or a roof, making it the ideal solution for hauling oversized, irregularly shaped, or extremely heavy cargo. Flatbeds are commonly used to transport construction materials, heavy machinery, or large industrial components that must be loaded from the top or side.
Factors Influencing FTL Pricing
The final rate for an FTL shipment is determined by several market and operational variables. The most fundamental factor is the total distance between the origin and destination, which establishes the base mileage rate. This rate is then adjusted based on the lane or route being traveled, as rates are often higher for “headhaul” lanes with high demand and lower for “backhaul” lanes where carriers are attempting to reposition equipment.
Fuel costs impact the final price through a separate Fuel Surcharge, which fluctuates with the market price of diesel. Market capacity, representing the supply and demand of available trucks and drivers, also directly influences the rate, with prices rising during high-demand seasons like harvest or holidays.
Additional costs, known as Accessorial Charges, may be applied for services beyond standard pickup and delivery. These charges include fees for driver detention if loading or unloading takes longer than the allotted free time, or for specialized services like liftgate use or inside delivery.
The FTL Shipment Process
The process begins with the shipper requesting a quote and booking the service with a carrier or broker. The shipper provides details regarding the cargo, required equipment, and specific pickup and delivery windows. After the rate is agreed upon, the carrier accepts the Load Tender, which is the formal request to move the freight.
The carrier then dispatches a truck to the origin for the scheduled pickup, where the freight is loaded and secured by the shipper. During transit, the shipment is monitored using real-time tracking technology, such as Electronic Logging Devices (ELDs) and GPS systems, providing location updates until arrival. Upon reaching the destination, the cargo is unloaded, and the carrier collects a signed Proof of Delivery (POD) document, which concludes the transport service.