As your ecommerce business grows, you may find that your local post office is no longer equipped to handle your increasing volume of orders. This is when freight shipping becomes essential, helping you move inventory in bulk to warehouses and distributors so orders keep flowing.
According to InsureShield, 54% of merchants reported a 30% or more increase in shipping volume due to ecommerce growth in 2023. With shipping issues becoming more prominent in the ecommerce landscape, understanding how freight shipping works before you need it is key. This guide explains what freight shipping is, when to use each method, and how to compare popular providers of freight shipping services.
What is freight shipping?
Freight shipping refers to the transport of goods in bulk quantities, typically over long distances using trucks, trains, planes, or ships. The origin and final destination of the goods determine the most suitable mode or combination of modes of transportation.
Unlike consumer parcel services like the US Postal Service, Royal Mail, or Canada Post, freight shipping isn’t typically used for direct-to-consumer delivery; it’s often the form of shipping used between businesses, or between a manufacturer and a distributor or fulfillment provider. That said, freight shipping can be used for business-to-consumer shipments in some cases, particularly for shipping large items like furniture, appliances, and vehicles.
Types of freight shipping
Freight shipping isn’t a one-size-fits-all solution. The right method for your business will depend on factors like shipment size, delivery speed, freight class, and budget. Whether you’re moving a full truckload or just a pallet, there are several options to consider, each with its own pricing structure and transit time.
Here’s a breakdown of the most common types of freight shipping:
Full truckload
Full truckload shipping (FTL) uses an entire truck for transporting goods from one place to another. With this type of shipping, you reserve the entire capacity of the truck, even if it’s not filled all the way.
The capacity will depend on the country you’re operating in, but a typical truckload in the US will hold up to 26 pallets and between 15,000 and 44,000 pounds, depending on material and density. This type of shipping is best for businesses needing to ship large amounts of goods.
Less than truckload
Less than truckload (LTL) is a type of consolidated shipping that allows for multiple shipments to share a single truck. LTL allows multiple businesses to split freight shipping costs, which makes this kind of freight shipping more affordable for small businesses.
However, LTL shipments can be more logistically complicated and take more time, since the truck will likely have to make multiple stops to deliver each portion of the load separately. This type of freight shipping accommodates weights of 150 to 15,000 pounds.
Partial truckload
Partial truckload shipping (PTL) occupies the space between LTL and FTL, when you have more freight to ship than appropriate for a less-than-truckload shipment, but not enough to justify a full truckload shipment.
PTL is a good option when your shipment weighs between 10,000 and 40,000 pounds. It has lower shipping costs than FTL, but is more expensive than LTL. Partial truckload shipments also usually involve fewer handling points and stops than LTL shipments, which reduces transit time and limits the risk of damage or loss.
Intermodal
Intermodal shipping involves moving freight in a single standardized container via two or more transportation modes (i.e., ship, train, truck). For example, a container may start on a large ship as ocean freight, then be transferred to a train for inland travel, before finally moving to a semitruck for the final leg of its journey.
Your cargo isn’t handled during the transitions, as the entire container is moved. This type of freight shipping often requires contracts with multiple providers and is good for long-distance or international shipments.
Multimodal
Multimodal shipping is similar to intermodal in that it involves moving product via several modes of transportation. However, unlike intermodal, all stages of the journey are handled by a single provider. This means you only need one contract and point of contact for the entire process, which can simplify logistics.
Your freight may also be unpacked, moved, and otherwise handled when switching it to a different transportation mode. Multimodal shipping is a good option for long-distance or international shipments, particularly if you prefer dealing with a single provider and don’t mind more product handling during the journey.
Expedited
Expedited shipping refers to the shipment of goods that prioritizes delivery speed for time-sensitive loads. As such, expedited freight shipping is the most expensive freight service.
It is generally handled through dedicated trucks and vans, air freight shipments, or a combination of transportation modes. You may want to expedite for a few reasons, including when shipping temperature-controlled products, hazardous materials, or simply high-value or emergency freight.
Popular freight shipping providers
If you’re in the market for a freight shipper, you have a lot of options. There are national or global logistics and transportation companies that offer a host of services, including freight shipping.
Alternatively, you can opt for local freight shipping companies that serve a specific state or region, or turn to specialist freight shippers that offer services for specific industries or types of freight (e.g., hazardous materials, food and beverage products).
Let’s take a closer look at some popular freight shippers, including offerings and costs. Determining the exact cost of services usually requires contacting the provider directly or entering the specific details of your shipment, as price depends on shipment size, delivery speed, and the other factors we’ve previously covered. It’s worth noting that air freight is generally the most expensive type, followed by land freight and ocean freight.
UPS
UPS, or the United Parcel Service, is a well-known US-based parcel carrier that provides both domestic freight shipping and international shipments. It also offers several ancillary services, including customs brokerage and freight tracking. UPS has an online shipping calculator that can provide a shipping quote, though you will need to set up an account with them. An ecommerce company might use UPS to ship particularly large or heavy items within the US, given the provider’s reputation for ground shipping.
FedEx
Like UPS, FedEx is a US-based parcel carrier that also provides freight shipping on a massive network of delivery infrastructure. It is a leader in global supply chains with a plethora of freight shipment options and services. You can use its pricing tool to get an accurate quote. FedEx is a strong choice for urgent shipments, as it has a large fleet of airplanes and specializes in one- and two-day deliveries.
DHL
DHL is an international shipping company known for its global network. The Germany-based company provides an extensive suite of services, including domestic freight shipping, international air and ocean freight shipping, and multimodal shipping.
Value-added services include final mile delivery (transporting goods to the customer’s doorstep) and drayage (moving freight short distances between locations, such as from a port to a railyard). Quotes are available online or by contacting a shipping expert. DHL is a popular choice for cross-border shipments.
J.B. Hunt
J.B. Hunt is an international logistics provider, although it is most known for its North American ground transportation services. You’ve likely seen the J.B. Hunt logo on semitrucks if you travel on US interstate highways. Its services include FTL, LTL, intermodal, and expedited freight shipping. It also offers specialized services for hazardous freight and high-value shipments. You can get a quote by filling out an online form.
uShip
uShip is different from the other providers in our guide, but may be a strong option for small ecommerce businesses with a limited budget focused on choice and flexibility. It is a shipping marketplace that connects businesses with freight carriers to ship anything from furniture to vehicles to heavy equipment. You simply enter the product you need to ship, pickup and delivery locations, and other information, and you’ll be presented with a variety of providers and pricing options.
What is freight shipping FAQ
What is considered freight shipping?
Freight shipping is the transportation of large or bulky goods that are too heavy, voluminous, or impractical to send by traditional parcel carriers. It typically involves moving cargo by truck, train, ship, or plane, often in pallets, containers, or crates.
How fast is freight shipping?
The speed of freight shipping will depend on the goods you’re shipping, the mode of transport, and the shipping distance. One type of shipping, expedited shipping, prioritizes speed for time-sensitive cargo.
What is the difference between delivery and freight shipping?
Common delivery, or parcel shipping, is used for smaller shipments—typically less than 150 pounds—and ideal for sending individual orders to customers or small product quantities between businesses. Freight shipping, on the other hand, is for much larger shipments on pallets or in shipping containers. It is commonly used for moving inventory to and from manufacturers, warehouses, distribution centers, etc.
