Shipping cargo is a critical operational component of E-commerce and international businesses. Transporting cargo is a complex process that requires extensive logistics planning. A typical cargo shipment process would involve transportation, distribution, warehousing, and communication tasks. Not all companies have the capacity and the time to deal with such logistics. This is where freight companies come in.
What Is a Freight Company?
A freight company or freight carrier is a firm that offers specialized services of moving or forwarding cargo from one point to another. Businesses hire freight companies to provide transport logistics for international and domestic shipments. Freight companies ship cargo from a business to another business or from a business to a customer. Notably, a freight carrier utilizes various shipping methods, including air, sea, rail, and road. Fundamentally, freight companies operate under strict regulations that govern respective jurisdictions.
What Services Can You Hire?
There are several freight services available in the market. Typically, the option depends on the cargo volume, time of delivery, and distance. Based on these factors, freight companies offer three primary services.
1. Full truckload: In this type of shipping, an entire delivery truck is dedicated to delivering goods to a particular client. Thus, the client has exclusive shipping rights from the point of origin to the destination. Therefore, the only goods loaded in the shipment belong to one client. The advantage is that there are no delays from unloading stops, which increases speed and efficiency.
2. Less than truckload: Basically, this option is ideal when a client's shipment takes up less space than what is available in a truck. To maximize profits and reduce cost, freight companies usually combine cargo from different clients to reach truck capacity. Thus, the delivery of such cargo will involve multiple access points for unloading and connecting trucks to the next destination. Consequently, the shipment takes longer and goes through several interchanges.
3. Partial truckload: This package is a combination of the full and less than truckload services. Ideally, cargo in this category requires urgent delivery due to the sensitivity of the products. Besides, the cargo volume is higher than standard less than truckload. Subsequently, the freight company takes several partial truckloads and ships them in quick succession and less handling.
How Do Freight Companies Price Their Services?
The rates applicable for freight shipping services depend on several factors. Broadly, the shipment distance affects pricing, with higher rates for longer distances. Then, the size of products also determines the price, with huge cargo costing more. More so, a freight company maintains different rates per product weights. However, the company may use the dimensional weight to calculate rates. In such cases, the company charges a volume-based rate by considering the weight and size of the cargo. Lastly, rates can also vary based on the sensitivity and perishability of the product.
Understanding the interworking of the freight industry can help you appreciate the value of freight carriers. Contact a local freight company to learn more.Share
19 May 2021
If you have ever shipped items overseas, then you probably understand the importance of choosing shipping providers carefully. In addition to potentially making the difference between a safe delivery and a complete waste, shipping providers can also offer you added benefits, such as shipping confirmation. I have been around the shipping industry for a long time, and I have learned what options you should spring for. Check out this blog for information about shipping, including ways to save money, tips for packing boxes, and ways to speed up the delivery process. This information might help you to make someone else's day a little more special.