Freight Shipping Guide 101: Everything You Need to Know (And More)

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Ground Freight

Ground transportation, primarily trucks, is widely used for domestic freight shipping. It provides flexibility, accessibility to remote areas, and door-to-door delivery options. Ground transport is suitable for both small and large shipments, offering a balance between cost and speed.

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Air Freight

Air transportation is known for its speed and efficiency, making it ideal for time-sensitive or high-value shipments. It offers global coverage and enables quick delivery, but it can be relatively expensive compared to other modes.

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Ocean Freight

Ocean shipping is the most commonly used mode for international trade. It is cost-effective for large volumes of goods and offers extensive capacity for bulky or heavy cargo. However, it has longer transit times compared to air freight.

How To Ship Freight: A Step-by-Step Guide

Whether you're a seasoned shipper or just starting out, freight shipping can be complex as heck! But understanding the process and following best practices can make all the difference in the world. The comprehensive guide below will provide you with a step-by-step approach to shipping freight, covering everything from preparing your freight shipment and selecting the right freight class to ensuring compliance with regulations. Woohoo!

Preparing your freight shipment

Before you can ship your freight, you need to properly prepare it to ensure that it arrives at its destination safely and in good condition. Here are the key steps involved in preparing your shipment:

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1. Measure and weigh your shipment accurately.

This information is essential for determining the shipping cost and selecting the appropriate mode of transportation. Make sure to measure the length, width, and height of your shipment in inches, and weigh it in pounds. If your shipment is oversized or overweight, you may need to pay additional shipping charges.

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2. Pack your shipment tightly to prevent shifting during transit.

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3. Label your package clearly with vital information.

Marking and labeling your freight communicates the proper methods of freight shipping and handling. Labels often communicate the hazards associated with the package, and markings ensure the shipment is handled so that spills, accidents and exposure are prevented. In addition to markings and labels, each freight shipment must be properly classified and contain the Bill of Lading (BOL). Be sure your labels are in English and displayed on all sides of freight, are unobscured by labels or attachments and located away from any other markings.

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Expedited
Freight

Faster-than-standard shipping services.

Prioritizes urgent deliveries with shortened transit times.

Utilizes direct routes and may involve dedicated vehicles.

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Hazmat
Freight

Specialized transportation for hazardous materials.

Requires compliance with strict regulations for safety.

Involves trained professionals and specialized equipment.

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White Glove Services

Premium service offering extra care and handling.

Includes inside delivery, setup, and removal of packaging.

Often used for high-value, fragile or sensitive shipments.

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Tradeshow Shipping

Dedicated logistics for transporting and setting up tradeshow exhibits.

Includes services like timely delivery, setup and dismantling.

Often involves coordination with event schedules and venues.

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Cost-Effectiveness

LTL shipping can be a more cost-effective option compared to full truckload (FTL) shipping, particularly for smaller shipments. With LTL shipping, you only pay for the space your freight occupies in the truck, rather than paying for the entire truck. This can result in significant savings, especially if you are shipping smaller loads or if you have multiple shipments that can be consolidated into a single LTL load.

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Flexibility

LTL carriers can accommodate freight of various sizes and weights, from small to large pallets. This makes LTL shipping a good option for businesses that need to ship a variety of goods.

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Shipment size limitations

Standard LTL shipments are typically limited to a maximum length of 12 linear feet. The maximum weight limit for an LTL shipment is typically between 150 and 15,000 pounds. However, some carriers may accommodate larger shipments for an additional fee.

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Longer delivery times

LTL carriers consolidate multiple shipments into a single load, which means that your shipment may have to wait at the carrier's terminal until there is enough freight to fill the truck. Additionally, LTL carriers often have longer routes than FTL carriers, as they may need to make multiple stops to pick up and deliver other shipments.

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Dry Van

Standard enclosed trailers suitable for most dry goods, protecting against weather and theft.

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Refrigerated Trailer (Reefer)

Equipped with temperature control for perishable items like food and pharmaceuticals.

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Flatbed Trailer

Ideal for oversized or irregularly shaped cargo, offering easy loading and unloading.

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Step Deck Trailer

Similar to flatbeds but with a lower deck for taller freight, enhancing stability.

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Double Drop Trailer

For extremely tall or bulky items, featuring two lower deck levels for added clearance.

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Specialized Equipment

Includes tankers for liquids, curtain-side trailers for easy access, and intermodal containers for seamless rail-to-road transport.

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Reducing Freight Shipping Costs

Every small and midsized business (SMB) shipper has a budget they’re trying to stick to when it comes to their freight shipping operations. However, poor planning, organizational inefficiencies and a lack of experience can quickly cause freight shipping costs to spiral out of control.

In this section, we’ll cover some best practices for making the most of every freight shipping dollar so you can keep your budget (and your bottom line) in great shape.

Tips for cost-effective freight shipping

Keeping your freight shipping costs under control doesn’t have to be time-consuming or overly complex. Here are a few practical and proven tips for reducing your shipping costs across various freight operations.

Nail Your Negotiation Techniques

Like many other aspects of business, being an informed and confident negotiator can have a huge impact on ensuring that you get the best possible outcome. Best practices for freight shipping negotiations include:

Understanding Your Shipping Needs and Patterns

Begin by thoroughly analyzing your shipping data to understand your unique needs. Identify the volume, frequency and destinations of your shipments. This will provide you with a detailed profile that can be used in negotiations. Knowing your shipping patterns allows you to leverage bulk discounts and negotiate better rates based on volume commitments.

Building Strong Relationships with Carriers

A solid relationship with freight carriers is invaluable. Take the time to connect with your carriers beyond just transactional interactions. Engage them in discussions about how they can help meet your business goals, always pay invoices on time and communicate clearly and constantly. Carriers are more likely to offer competitive rates and their best service to businesses they trust and see as long-term partners.

Exploring Multiple Carrier Options

Don’t limit yourself to a single carrier. Engage with multiple carriers and compare their offerings. This not only gives you a better understanding of the market rates but also provides leverage in negotiations. If one carrier offers a better rate, you may be able to use that to secure an improved rate with another.

Leveraging Technology for Better Rates

Utilize freight management software and platforms that aggregate rates from various carriers. These transportation management systems (TMS) provide transparency and allow you to quickly identify the most cost-effective options. The best TMS platforms also offer tools to track shipments and manage logistics, adding further value to your operations.

Negotiating Beyond Just Price

While getting a lower rate is crucial, consider other factors that can add value to your shipping arrangements. Negotiate terms such as longer payment cycles, reduced accessorial charges or guaranteed delivery times at no extra cost. These aspects can significantly enhance your overall cost-effectiveness.

Securing Volume-Based Discounts

Many carriers are willing to offer better rates if you commit to a certain volume of shipments. Use your shipping data to forecast and commit to volume targets that are realistic yet substantial. This commitment can often unlock significant discounts.

Monitoring and Reviewing Contracts Regularly

Freight rates and market conditions change frequently. Ensure that your contracts include clauses for periodic reviews and adjustments. This allows you to renegotiate terms based on current market trends and your evolving business needs. Understanding the difference between spot rates and contract rates — and knowing the best time to use each — is also an invaluable asset.

Engaging a Third-Party Logistics Provider

Consider partnering with a third-party logistics (3PL) provider. 3PLs like Unishippers specialize in obtaining competitive rates for SMBs by leveraging their aggregated customer buying power and industry expertise. SMBs can also take advantage of a 3PL’s partnerships with reliable full truckload (FTL) and less-than-truckload (LTL) carriers to manage the carrier relationships for them. 3PLs can also provide customized solutions that evolve with your business, ensuring you always get the best value for your shipping dollar.

By implementing these negotiating strategies, you can effectively obtain freight shipping rates that not only reduce costs but also enhance your overall shipping efficiency and reliability. Remember, the key lies in understanding your needs, building strong relationships, and continuously seeking opportunities for improvement!

Focus on Freight Consolidation

Another highly effective method to control shipping costs is freight consolidation. This approach allows multiple shipments to be combined into a single, larger shipment, resulting in significant cost savings and operational efficiencies. This combined shipment is then transported to a common destination or distribution point.

Key benefits of freight consolidation include:

Factors Affecting Freight Quotes

No business wants to overpay for their freight shipping. By obtaining accurate quotes on every shipment, you can ensure you’re getting fair pricing and also minimize unexpected expenses.

Key Factors for an Accurate Freight Quote

When it comes to obtaining an accurate freight quote, several key factors come into play. As an SMB, having a solid understanding of these elements can help you manage costs effectively and streamline your shipping processes.

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Weight

Weight is a fundamental factor in determining freight costs. Heavier shipments require more fuel and resources to transport, leading to higher charges. Accurate weight measurements ensure you're billed correctly and avoid any unexpected fees.

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Delivery Speed

The sooner your freight needs to be delivered, the higher your rate will be. Additionally, peak delivery times will impact your rate. If you can be flexible about delivery speed and optimize routes when planning your deliveries, you may be able to significantly reduce your costs.

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Accessorial Fees

These are additional services that incur extra costs and are typically added to your bill after shipping is complete. Common accessorial fees include residential pickup/delivery, fuel surcharges, limited access locations, inside delivery, required appointments, liftgate service and guaranteed service.

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Dimensions and Density

Larger, bulkier items take up more space in transport vehicles, which can limit the number of shipments a carrier can handle at once. Efficiently packing your goods to minimize volume can help reduce costs. Accurately stating the dimensions and density of your shipment are also crucial.

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Distance

Distance is another critical component. The farther your goods need to travel, the higher the transportation costs. This includes not only the physical distance but also potential complexities such as crossing international borders, which can incur additional fees and regulations.

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Type of Goods

The nature of the goods being transported affects the freight quote as well. Fragile, hazardous or perishable items require special handling and packaging, which can increase the cost. Clearly specifying the type of goods ensures the freight carrier can provide the appropriate resources and services.

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Seasonal Demand

Finally, seasonal demand can influence freight costs. Peak seasons, such as holidays or harvest times, often see a spike in shipping activity, leading to higher rates due to increased demand. Planning your shipments around these peak times can help you secure better rates.

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Full shipment value repayment

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Flexible coverage

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Dedicated customer support

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Disaster and theft protection

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Faster and smoother claims

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Easily added coverage

Protection and peace of mind for you and your valuable customers is possible when you choose shipping insurance. This small investment can pay large dividends!

Freight claim process and documentation

Despite carriers’ best efforts, occasionally it may become necessary to file an insurance claim due to loss, damage or other issues. Navigating the complexities of freight claims doesn’t have to be overwhelming. With clear understanding, organized documentation, and timely actions, you can minimize hassle and maximize your chances of success.

Understand the Claim Filing Process

Before filing a claim, it’s crucial to understand the procedures and requirements. Each insurance provider may have slight variations in their process, so always refer to your policy details. Generally, the steps are:

  • Report the Damage or Loss. Notate the condition of your shipment upon arrival. Notify your carrier as soon as you discover the damage or loss. Timeliness is essential, as delays can complicate or invalidate your claim.
  • Document the Issue. Take detailed photographs of the damaged goods, packaging, and any other relevant aspects. Ensure you have a written statement from the recipient acknowledging the damage or loss.
  • Prepare Your Documentation. Gather all necessary documents required by your carrier for the claim processing (outlined below).
  • Submit the claim form. Fill out the claim form accurately and completely and attach all documentation necessary to support your claim.
  • Follow Up. Keep track of your claim status by regularly following up with your carrier. Respond promptly to any requests for additional information.

Required Documentation

Having the proper documentation is key to a successful claim. Typically, you will need the following:

  • Bill of Lading. Proves the shipment and details the terms and conditions of carriage.
  • Commercial Invoice. Lists the goods shipped and their value.
  • Proof of Delivery. Confirms the receipt of goods and notes any discrepancies or damages upon delivery.
  • Inspection Report. If an inspection was conducted, include the detailed report.
  • Photographic Evidence. Clear images of the damaged goods, packaging, and any relevant areas.
  • Claim Form. The form provided by your carrier or insurer, completed with all necessary details.
  • Correspondence. Any communication with the carrier or insurer regarding the damage or loss.

Tips for a Smooth Claim Process

You can greatly strengthen your claims case and improve your chances of a quicker resolution by taking just a little extra effort. To ensure your claim is processed efficiently:

  • Be proactive by reporting any issues immediately and keeping thorough records of all communications.
  • Provide clear, accurate, and comprehensive documentation to support your claim.
  • Familiarize yourself with your policy details and the claim process.
  • Regularly follow up with your carrier and respond promptly to any requests for additional information.

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Working With Carrier Partners

For every freight shipping need, there’s a carrier out there. But are all carriers basically the same? How do you know which ones are more reliable or better suited for your shipping needs?

In this section, we’ll help guide you through the best ways to select the right carrier for your company’s specific shipping requirements and ensure you have the best possible experience every time you ship. And don’t forget: you can always rely on a 3PL partner like Unishippers to assist you with navigating carrier selection and all other aspects of your shipping.

How to choose the right carrier for your freight needs

Selecting the right freight carrier is a crucial decision that can significantly impact your supply chain efficiency and bottom line, and it’s essential to choose a carrier that aligns with your specific requirements.

Based on what matters most to you, there are many factors you can use to determine a given carrier’s suitability. Key attributes to consider include:

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Pricing

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Coverage Area

Depending how far your freight needs to travel, you’ll have to decide between a national or regional carrier. While some of the top carrier names offer national delivery, many smaller carriers can only provide regional pickup and delivery services. By understanding carrier coverage areas, you can make sure to choose a carrier that meets your specific location needs.

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Transit Time

It’s important to consider how quickly you need your freight to get to its final destination. Some carriers may be able to deliver your freight faster than others, but it’s important to note that the faster your freight needs to be delivered, the higher your rate will be.

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Range of Services

Depending what type of products you ship, you may have certain service requirements that need to be met by the carrier. Additional services may include things like hazmat shipping or sealed divider service. By understanding the services you’ll need — and which services each carrier offers — you can ensure you have everything covered before you ship.

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Communication and Reliability

Even if a carrier offers low freight rates, it means nothing if your shipments are consistently delayed. To keep your business running smoothly, you need a reliable carrier to deliver your freight on time — and keep you updated on your shipment’s status in transit.

Building long-term partnerships with carriers

Once you’ve determined the ideal carrier(s) you want to work with, establishing a strong working partnership should be a priority. Cultivating lasting relationships with your chosen freight carriers will improve your shipping operational efficiency immeasurably. These partnerships create a symbiotic relationship where both parties benefit from mutual growth and success.

Keys to Carrier Relationship Management

Effective relationship management is the backbone of any successful partnership. Open and constant communication, mutual respect and regular performance reviews are key elements that keep the relationship healthy. By understanding each other's strengths and weaknesses, both parties can collaborate to improve service quality and address any operational challenges.

Here are the top ten ways you can ensure that you are a preferred shipper for your favorite carriers:

  • Always treat the relationship like it’s a partnership
  • Pay your bills and fees on time, every time
  • Avoid making last-minute changes to shipments as much as possible
  • Communicate often and effectively
  • Utilize data to make your carrier’s job easier
  • Avoid dwell time (driver waiting at the pickup point) by having everything ready to go on time
  • Create driver-friendly spaces like break areas, access to your restrooms, etc.
  • Properly package and palletize your shipments
  • Be patient if the carrier experiences delays
  • Partner with a 3PL like Unishippers for extra help
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