The term refers to shipments comprised of densely packed, typically smaller, parcels arranged within a larger transport container, often reaching truckload capacity. This method consolidates numerous individual orders into a single unit for more efficient shipping. These shipments often involve products of varying types and sizes, all headed toward a common distribution point. For example, a full truckload may consist of multiple pallets of assorted merchandise destined for an Amazon fulfillment center.
The significance of this shipment strategy lies in its potential to reduce transportation costs and streamline logistics. By maximizing the utilization of truckload capacity, carriers can optimize routes and minimize empty miles, resulting in considerable savings for shippers. Historically, inefficient use of cargo space has been a major challenge in the freight industry. This approach directly addresses this issue by promoting consolidation and optimizing load factors. The benefits extend to reduced fuel consumption and a lower overall carbon footprint, aligning with sustainability initiatives in the supply chain sector.
