LTL Pallet Shipping: Costs, Prep and Delivery Guide

 

What happens to your products when they leave the factory or warehouse and head on their journey to the next stop? What does a pallet go through before getting brought to its final destination?

In this blog post, we'll walk you through the complete journey of an LTL pallet—from boxing and labeling to loading, shipping, and final delivery.

What is a Pallet?

A pallet is a type of LTL (less than truckload) freight. It's the term used to refer to a board of boxes or shipping containers. The pallet itself is usually a wood or plastic base that holds boxes or containers to be shipped. A typical pallet is 40" x 48", and it's held together by clear stretchy plastic film.

Pallets are more than just a way to transport boxes, though. They've become units of measurement for shippers. They're also the key to transportation efficiency.

Pallets have become one of the most effective ways to transport goods, especially with a trucking capacity crisis. Businesses can send a set number of pallets with a shipping carrier without needing to fill an entire truck of goods. LTL pallets are typically a cheaper, more efficient way to send packages than FTL or shipping individual boxes. It's also a smart way to reduce breakage and streamline the operations process.

So what does the life of a pallet look like?

Boxes are Palleted

Not all of the boxes on the pallet will contain the same products inside. But, if boxes are of similar size, you can put them on the same pallet. For example, you could ship 5 boxes of pants, 5 boxes of shirts, and 5 boxes of purses all on the same pallet as long as the boxes are of similar size. They just need to fit on the pallet like a jigsaw puzzle.

In most cases, you'll want to optimize costs by perfectly puzzling the pallet together. This means you want to understand where all boxes are going, how they fit together, and how they'll sit on the pallet.

Keep in mind, though, that all goods on the pallet should be in the same freight class.

If you're not sure how to create a pallet of mixed goods and boxes, work with a shipping carrier or utilize an AI transportation management system.

Taking the Pallet's Dimensions

After the pallet contains all of the boxes to be shipped, it needs to be weighed and sized. The dimensions will help determine the price of the pallet.

You can find the size based on length x width x height. If you have multi-piece shipments, you'll measure the width and height and multiply by the total length of the pallets.

Your shipper will likely find the pallet dimensions using a special scale and system to quickly and effectively determine the rate for the shipment.

More and more LTL shippers are starting to look at freight density with dimensional pricing as opposed to sheer weight. This instead prices based on the density of the pallet or shipment, rather than its weight. So, a large but lightweight box would cost more than a small, heavy one.

Determining Speed and Distance

The other factors of price are distance and service type. How far is the pallet traveling, and how quickly does it need to get there? Is the freight traveling along a commercial shipping lane (which is less expensive than shipping through unconventional pathways)? Is it going standard, expedited, express, or guaranteed?

Once these questions are answered, the pallet will be priced and approved for shipment.

Labeling

You want to make sure every box is labeled with the units inside, but you also want to label the pallet itself. This should include a destination address as well as info about the pallet, like ship date, contents, freight class, weight, and an addressee. If the pallet isn't properly labeled, it can get lose and detoured.

Loading up

In most cases, you'll contact your LTL company and make a pickup request when it's time for shipping. They'll provide you with a date and time as well as an estimated rate based on your initial request. There may be a two-hour pickup window because of LTL's hub-and-spoke model, which means trucks have to go in and out of a lot of different terminals and hubs.

Before loading, make sure you have all of the required documentation for your pallet. This includes paperwork with a shipping date, carrier and shipper details, shipment details (description, quantity, weight, freight class), and special instructions.

The pallet is loaded on the truck using a forklift or dock. If the pickup location doesn't have these methods of loading, you may have been charged an additional loading cost per pallet.

Onboard Shipping

Once onboard, your pallet can take a rest knowing it's in good hands.

If you have any perishables or temperature-sensitive items, you can ship your pallets with refrigerated LTL carriers. These ensure that your products are safe and comfortable and that they'll make it to their destination as fresh as they were on loading.

Delivery and Unloading

After a nice nap on the truck, your pallet is delivered to its final destination. A pallet is likely headed to a terminal or warehouse as opposed to a residential delivery since pallets usually carry large quantities of goods. So your pallet will be unloaded at the commercial dock.

Now it's ready for unpacking, labeling, and storing in your warehouse. Or it might be getting ready for another trip on an LTL truck if it's being transferred with a hub and spoke model—ready to start the process again.


Final Thoughts

Pallet shipping is the most common type of freight, especially for LTL transportation. Your pallet is well cared for from beginning to end when you partner with Redwood's Modern 4PL approach to LTL shipping.

FAQs

What is LTL pallet shipping?

LTL pallet shipping is a less-than-truckload method of moving freight on a pallet, usually a wood or plastic base that holds boxed or containerized goods. It is commonly used when a shipper does not need a full truck. The pallet helps organize the shipment, reduce breakage, and make loading, transport, and delivery more efficient.

How do you prepare a pallet for LTL shipping?

To prepare a pallet for LTL shipping, boxes are arranged on the pallet so they fit securely, like a jigsaw puzzle, and the shipment is wrapped and labeled. Similar-sized boxes can be combined, but the goods should be in the same freight class. If you are unsure how to build the pallet correctly, a shipping carrier or AI transportation management system can help.

How are LTL pallet shipping costs calculated?

LTL pallet shipping costs are based on several factors, including pallet dimensions, weight, freight density, distance, and service type. The article notes that dimensional pricing is becoming more common, which means a large, lightweight pallet may cost more than a smaller, heavier one. Faster service options like expedited or guaranteed shipping also increase the price.

What information needs to go on an LTL pallet label?

An LTL pallet label should include the destination address, ship date, contents, freight class, weight, and addressee. Each box should also be labeled with the units inside. Proper labeling helps prevent the pallet from being lost or detoured during transit, especially when it moves through terminals and hubs.

What documents do you need before an LTL pallet pickup?

Before pickup, you should have paperwork that shows the shipping date, carrier and shipper details, shipment description, quantity, weight, freight class, and any special instructions. Having the right documentation ready helps avoid delays when the carrier arrives for the pallet. The pickup may also come with a defined time window.

Why is there sometimes a pickup window for LTL pallet shipping?

A pickup window is common in LTL pallet shipping because carriers use a hub-and-spoke network with many terminals and routes. Trucks have to move in and out of multiple stops, so exact pickup times are harder to promise. The article notes that pickups may come with a two-hour window for this reason.

What happens to an LTL pallet after it is loaded on the truck?

After loading, the pallet travels to its destination, where it is usually unloaded at a terminal, warehouse, or commercial dock rather than a residence. If the freight is temperature-sensitive, it can move on a refrigerated LTL carrier. Once delivered, the pallet is unpacked, labeled, stored, or transferred again if it is part of a hub-and-spoke network.