LTL vs FTL Shipping: Key Differences and Cost Considerations - BMI Shipping

LTL vs FTL Shipping: Key Differences and Cost Considerations

When shipping freight domestically, businesses often face an important decision: LTL (Less-Than-Truckload) vs FTL (Full Truckload) shipping. Choosing the right option can significantly impact cost, transit time, and overall supply chain efficiency.

At BMI Shipping, we help shippers evaluate both options to ensure they’re using the most cost-effective and reliable solution for their freight needs. Below, we break down the key differences between LTL and FTL shipping and explain when each makes the most sense.


What Is LTL Shipping?

Less-Than-Truckload (LTL) shipping is used when freight does not require an entire trailer. Your shipment shares space with freight from other shippers, allowing transportation costs to be split.

Key Characteristics of LTL Shipping

  • Typically used for shipments between 150 and 15,000 lbs

  • Freight is consolidated at terminals

  • Pricing is based on weight, dimensions, freight class, and distance

  • Ideal for smaller or less time-sensitive shipments

LTL shipping is a popular choice for businesses shipping palletized freight on a regular basis without enough volume to fill a full trailer.


What Is FTL Shipping?

Full Truckload (FTL) shipping involves reserving an entire trailer for a single shipment. This option is commonly used for larger loads or when faster transit and reduced handling are required.

Key Characteristics of FTL Shipping

  • Best for shipments over 15,000 lbs or multiple pallets

  • Direct pickup and delivery

  • Reduced risk of damage due to minimal handling

  • Faster transit times compared to LTL

FTL shipping is often preferred for high-value freight, tight delivery windows, or consistent lane volumes.


LTL vs FTL: Cost Comparison

Cost is one of the biggest factors when deciding between LTL and FTL shipping.

LTL Shipping Costs

LTL pricing is calculated using:

  • Freight class (NMFC)

  • Weight and dimensions

  • Pickup and delivery locations

  • Accessorial services (liftgate, residential delivery, etc.)

While LTL can be more economical for smaller shipments, costs can increase quickly if freight is improperly classified or packaged.

FTL Shipping Costs

FTL pricing is typically based on:

  • Lane distance

  • Equipment type

  • Fuel costs

  • Market capacity

Although FTL has a higher upfront cost, it can be more cost-effective per pound for larger shipments and often reduces indirect costs like delays and damages.


Transit Time and Reliability

Factor LTL Shipping FTL Shipping
Transit Time Longer (multiple stops) Faster (direct)
Handling Multiple touchpoints Minimal handling
Risk of Damage Moderate Low
Delivery Predictability Medium High

If transit time and reliability are critical, FTL shipping is usually the better option.


When Should You Choose LTL vs FTL?

Choose LTL Shipping If:

  • Your shipment is under 10–12 pallets

  • You ship smaller loads regularly

  • Cost savings matter more than speed

  • Flexible delivery timelines are acceptable

Choose FTL Shipping If:

  • Your freight fills most or all of a trailer

  • You need faster delivery

  • Your freight is high-value or fragile

  • You want reduced handling and higher reliability


How BMI Shipping Helps You Choose the Right Option

At BMI Shipping, we don’t push one mode over another. Instead, we:

  • Analyze shipment size, frequency, and lanes

  • Compare LTL vs FTL pricing in real time

  • Identify opportunities to consolidate freight

  • Help reduce accessorial and reclassification costs

Our goal is to help you ship smarter — not just cheaper.

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