When it comes to shipping LTL there are two methods to consider — consolidated and hub and spoke. Here we break down the two so you can choose the best option for your next LTL shipment.
Consolidated Shipping
For some, LTL consolidation is a top choice since it can simplify the shipping process. During the process of consolidation, LTL shipments heading to similar locations are combined at consolidation warehouses. In the consolidation warehouse, multiple LTL shipments from various shippers that are going to similar locations are combined and loaded into the same truck. From there, the freight will remain on one truck until they arrive at their ultimate destination. Essentially, consolidated shipping is a way of taking LTL shipments and turning them into a multi-stop truckload shipment.
When to Use Consolidated LTL
If you have regular shipments headed in the same direction that are not too far apart.
If you are shipping expensive but fragile freight.
If you have very precise delivery schedules that must be adhered to.
Advantages of Consolidated
Cost Effective: Rates can be negotiated with the carriers and you only pay for the space that you take up on the trailer. Especially if you are shipping larger quantities, consolidating can save a considerable amount of money.
Less Handling: Most consolidated freight will only need to be unloaded/loaded once or twice during shipping. Since the freight is loaded with other freight traveling to a similar destination, there is no need to unload it until it reaches the destination.
Fewer Claims: Since your freight won’t need to be touched or moved around too much, there is less chance of damage.
Disadvantages of Consolidated
Planning Ahead: Since these loads are generally larger, it is necessary to give the LTL service time to plan the correct number of trailers to accommodate your load.
Less Capacity: Because of the added complexity of multiple loads in the same truck, some carriers shy away from this method.
Hub and Spoke Shipping
Hub and spoke is how many LTL carriers transport freight and considered to be the traditional method for LTL delivery. With hub and spoke, your freight is picked up and taken to the local terminal or “spoke”. Freight with similar destinations are combined on the same truck and transported to a larger regional distribution center, or “hub”, where the freight is transferred again. This process remains the same until the shipment is delivered to its destination.
When to Use Hub and Spoke
If you have small dense shipments.
If you do not have a firm delivery schedule.
If you have one-off shipments.
If your freight does not require special attention
Advantages of Hub and Spoke
Regular Deliveries: With Hub and Spoke, LTL shipments are constantly on the move and never held in a warehouse. Thus, resulting in multiple small deliveries instead of one consolidated shipment.
Faster Pick Ups: In most cases, LTL shipments can be picked up on the same or next day. This can be very advantageous for just-in-time shippers.
Short Distance Effectiveness: Larger national and regional carriers with established transportation networks are capable of moving freight short distances in a day or two.
Disadvantages of Hub and Spoke
Longer Delivery Times: Due to the nature of moving freight from one terminal to another across the country, shipments can take a considerable amount of time to be delivered.
Increased Damages: Since shipments involve more handling between multiple terminals, the chance for damages is more likely.
Still not sure which LTL shipping method is right for you? Our experts are ready to assist you and able to answer any questions you may have. Reach out today and let us help you with any of your shipping challenges.
Along with our other available capabilities, R2 also offers your business intermodal services. If you would like to utilize this service or explore its options, our experienced staff can assist you in taking advantage of its possibilities. Let us help you find the most efficient and manageable cost for your shipment.
Intermodal Freight Benefits
– R2 associates are on hand 24/7 to assist in any matter
– We can accommodate cost effective solutions for any number of loads you may have
– Watch your shipment move from Point A to Point B online
– Multimodal transition is done seamlessly as your needs alter
– A contracted capacity with the ability to move your freight in the U.S., Canada, and Mexico
Managed Transportation Solutions
As supply chain complexity is in constant evolution, ingenuity is vital for gaining a competitive edge. Our expert associates provide the ability to appraise your logistics network to expand and apply more cost effective and service oriented solutions. Do you have just one requirement or several? The R2 team is only a phone call away to help position your company above the competition
R2’s Managed Transportation Program Includes:
– Collaboration – your business is our business. We will aid in the arrangement of meeting your supply chain demands with corporate guidelines
– Evaluation of your distribution system and design of the most cost effective network
– Providing transportation direction to bring control to your shipping budget and improving response time
Truckload Capacity
With R2 Logistics’ excess of contracted carriers, the options are endless to find the right solution to move your freight. We also understand that getting it moved isn’t your only concern. That’s why it’s our first priority to choose the right option for you.
After the selection has been made we begin the process of following the freight from start to finish. At least 5 check calls are made for each shipment to ensure its security, and if you ever have a question, we’ll have an answer.
Truckload Freight Benefits
– We’re committed to you and your business – we’re available 24/7
– We set you up with your ONE and ONLY account representative
– We are not bound by U.S. borders – we make it easy for you to move shipments to and from Mexico and Canada
– Follow your shipments quickly and easily online
– Countless options – whether it’s for one load or for your entire supply chain, R2 has the solution you’re seeking
LTL Freight Simplified
Knowing when to use Less Than Truckload shipments increases productivity, reduces freight spend, and streamlines freight shipping. LTL is ideal when freight doesn’t require the use of an entire trailer and weighs between 150 and 15,000 pounds.
Our relationships with the nation’s leading LTL carriers, allows R2 to pass our rates to our customers. Beyond our competitive rates, we have simplified the LTL shipping process with our innovative and game-changing Transportation Management System.
Using our TMS, shippers can realize the rewards from the moment they log on. With R2’s cloud-based TMS, shippers have access to real-time pricing, capacity across multiple carriers, and actionable reporting analysis.
LTL Freight Benefits with R29
– Analyze your logistics network and improve its current state
– Competitive rates pre-negotiated with our network of LTL carriers
– Ability to instantly quote, book, track and manage all shipments with R2 TMS
– A dedicated LTL freight expert to help with any of your freight questions
– Consolidated invoicing for all your shipments
– Unparalleled reporting capabilities making performance and cost analysis simpler than ever
Expedited & Air
We can understand that there’s never enough time in the day. If you have a shipment that should have been moved 24 hours ago we have the means of getting it there now. We have a multitude of contracted expedited and air freight carriers who can move your freight for you in a safe and reliable fashion. Let us do the work for you. We will track the shipment and let you know when it has arrived at its destination.
Expedited and Air Freight Benefits
– Dedicated dispatch and freight management from all R2 associates
– Extra precaution and 24/7 supervision for sensitive shipments
– ONE point of contact to answer any and every need you may have
– Customized options allowing you to utilize the best combination of service and value
– Accessibility to a surplus of different vehicle or trailer types as well as single and team driver
Ocean Freight Solutions
With a wide range of Ocean Freight services covering multiple equipment types and consolidation services, we ensure your cargo reaches its destination in the most cost-efficient manner. Our long-term relationships with ocean carriers allows R2 Logistics to provide both Less-Than-Container Load (LCL) and Full-Container Load (FCL) shipments. Our in-house team of international freight specialists manage your freight and also offer customs clearance and tariff classification.
R2’s Ocean Shipping Benefits
– Competitive rates pre-negotiated with our network of ocean carriers
– Use FCL shipping for valuable cargo that you wouldn’t want with another person’s shipment. FCL is also a good option if you need to ship loads of 12+ pallets
– LCL shipping means you share container space with other cargo. This can be a more cost-effective option for shipping smaller loads overseas.
– The ease of working with one company for all your logistics needs—including ocean, air, customs brokerage, trade compliance, and surface transportation
Reverse Logistics
Simply put, Reverse Logistics is the return of products to a manufacturer or distributor from their customer. A well-organized Reverse Logistics program will result in direct benefits such as improved customer satisfaction and reductions in warehousing and distribution costs. Studies show 8-9% of all customer shipments are returned and 25-30% of e-retail shipments are as well. Managing Reverse Logistics costs are critical to running an efficient Supply Chain.
Reverse Logistics Benefits
RA Numbers & Accounting
RA numbers are captured in the R2 TMS and linked with BOL numbers and Carrier PRO numbers resolving accounting issues due to missing RA numbers.
Damage & Recouping
Strong relationships with R2’s network of LTL carriers ensures shipments are handled with care.
Cost
The R2 TMS will select the most effective carrier for both transit time and cost. Customers are no longer held “hostage” with only one carrier choice.
Flatbed & Specialized Freight Solutions
When you’re hauling a shipment that’s oversized and overweight, attention to detail is crucial. The attention needed is exactly what you will receive with R2. With our vast network of nationwide carriers we can solve the problems you may face with your specialized shipment. Safety always plays a major role in any shipment moved under our watchful eyes. This makes us the easy choice for your next shipment requiring special handling.
Flatbed & Specialized Freight Benefits
– 24/7 dispatch supervision from start to finish
– Guaranteed certified and insured carriers used for every load
– ONE account executive available for any assistance needed
– Online tracking and document retrieval capability
– Shipping solutions designed to meet your unique needs