Definition of Less-than-Truckload (LTL)
LTL is used when a shipper has more than a parcel shipment, but less than a full truckload.
The threshold for an LTL shipment is considered anything over 150 pounds.
To paint a picture of LTL operations, motor freight carriers consolidate several LTL shipments from various shippers into one truckload and move it through their hub-and-spoke network to pick-up the freight at origin and deliver it to its final destination.
In some cases, shippers operate a sophisticated transportation management system to consolidate their own LTL shipments into a single truckload to generate savings versus utilizing an LTL provider for each shipment. Such a program is called LTL consolidation.
Top LTL providers include companies like: FedEx Freight, YRC Freight, XPO, Old Dominion and Estes.
Other articles of interest associated with LTL and LTL brokerage:
- Best LTL Companies (And How to Choose)
- Top 10 Benefits of LTL Freight Consolidation and How-to Implement
- The Complete Guide Truckload, LTL and Expedited Freight Capacity
- Reduce LTL Costs Through Big Data Optimization
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LTL Consolidation & Pooling, Truckload & LTL
