A freight shipping method for loads too large for parcel carriers but too small to fill a full truck.
LTL (Less Than Truckload) freight is used when a shipment is too large or heavy for standard parcel carriers (like UPS or FedEx) but doesn't fill an entire truck. In an LTL shipment, your freight shares truck space with other shippers' goods — you pay only for the space your shipment occupies, typically measured in pallet positions or linear feet.
LTL carriers include FedEx Freight, XPO Logistics, Old Dominion, Estes Express, and dozens of regional carriers. Shipments are priced based on freight class (determined by density, stowability, handling, and liability), origin/destination lane, and accessorial fees (liftgate, inside delivery, residential delivery, etc.).
For 3PL clients, LTL is most relevant for: sending inventory from manufacturer to 3PL (inbound), sending bulk orders to retail or wholesale customers (outbound B2B), and receiving returns from retail channels. Most 3PLs have negotiated LTL rates with major carriers that are significantly better than what a small brand could negotiate independently.
A brand ships 10 pallets of inventory from its factory to its 3PL. This is too much for parcel but doesn't fill a full 53-foot truck, so they book LTL freight. The carrier picks up with 3 other shippers' freight on the same truck, and the pallets arrive at the 3PL 2 days later.
FTL (Full Truckload) means you're booking the entire truck for your shipment — typically 20,000+ lbs or when you need to ensure no other freight touches your goods (food safety, fragile items). LTL shares truck space and is more cost-effective for smaller loads, but has longer transit times and more handling.
Freight class (50-500) is a standardized rating system that determines LTL pricing based on density, stowability, handling difficulty, and liability. NMFC (National Motor Freight Classification) codes map specific product types to freight classes. Higher class = higher per-lb rate. Many brands pay too much because they use the wrong freight class.
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