How To Save on LTL Shipping

My name is Kenneth Carter III, President and Founder of Ameriton Freight & Logistics. I have 22 years experience in the transportation industry and wanted to share my experiences with people who share the same passion for this wonderful industry. My goal is to elicit actionable feedback for others to learn and decrease the learning curve in order to create a positive ROI in individuals.?

LTL Money Savings Hack

LTL stands for Less Than Truckload, which refers to a type of shipping service where multiple shippers share space in a single truck. Blanket pricing in LTL refers to a pricing strategy where a carrier charges a flat rate for a specific weight range or distance regardless of the actual weight or dimensions of the shipment.

Blanket pricing is typically used for LTL shipments that fall within a particular weight range or distance, such as shipments between 100 and 500 pounds or shipments traveling less than 500 miles. This pricing strategy can simplify the billing process for both the carrier and the shipper, as it eliminates the need for detailed calculations based on weight and distance.

However, blanket pricing may not be the most cost-effective option for all shipments. If a shipment is significantly heavier or larger than the weight range specified in the blanket pricing, it may be more expensive than necessary. In such cases, it is often better to negotiate a customized rate based on the actual weight and dimensions of the shipment.

To get started talk to your transportation provider about a letter of authorization or LOA.

A letter of authorization in shipping is a document that grants permission to a third party to act on behalf of the shipper in arranging for the transportation of goods. The letter of authorization is typically used when the shipper is unable or unwilling to make the necessary shipping arrangements themselves, and instead authorizes a freight forwarder, broker, or other agent to act as their representative.

The letter of authorization usually contains information such as the name and contact details of the authorized agent, the scope of their authority (i.e., what specific tasks they are authorized to perform), and any other relevant terms or conditions.

A letter of authorization is an important document in shipping, as it establishes the legal authority of the agent to act on behalf of the shipper.