Consolidated shipments: how to pay less and get more?

Advantages of consolidated shipments
International freight forwarding under the LTT code model is ideal when only a small cargo volume is required. For senders, cargo consolidation offers the following benefits:
– reduced transportation costs;
– optimized routing and warehousing operations, especially for domestic consolidated shipments;
– reduced customs clearance and insurance coverage expenses.
Consolidated freight is recommended when:
1. The shipment volume is small and doesn’t require a full truckload.
2. You want to test the delivery process.
3. Delivery time is not the top priority, and the delivery may be a one-time occurrence.
4. Goods from one sender need to be delivered to multiple addresses across different countries, making it particularly attractive for e-commerce businesses.
5. All items can be grouped on one or more pallets.
Here are some examples of consolidated shipments. For instance, goods for ten Leroy Merlin stores were delivered along the Warsaw — Katowice route. In another case, 12 pallets of auto parts collected from 7 locations across Italy were shipped to Poland. In such cases, the carrier takes responsibility for grouping shipments, optimizing truck space, and planning cost-effective routes.
Consolidation methods
While the logistics strategies may vary, consolidated shipment types can generally be classified by type of consolidation:
1. Physical. Goods are combined into a single transport unit.
2. Virtual. A digital bill of lading is issued for two or more separate cargo lots.
3. Cross-docking. Shipments are transferred directly from one vehicle to another, reducing storage and handling costs.
4. «Cargo-to-cargo». Shipments from different senders are delivered to the same consignee or region, or transporting goods with similar characteristics.
Choosing consolidated freight is a rational solution that should be implemented with a reliable logistics company. It’s a strategic way to minimize risks.