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Groupage

Managing supply chains when price is critical

Is only managed by FLS when under onsite outsourced client contract.

Groupage defines a specific type of transport consisting the grouping together of goods dispatched by several different companies into a same load. In international trade, the abbreviation LTT (Less Than Truckload) is frequently used.

Freight will be collected from your premises, transported to a depot where it will be grouped with other loads heading to the same destination or destinations on route. Your freight could be unloaded and redistributed between multiple hubs before reaching its destination.

In practice, groupage transport becomes an option when a company wishing to dispatch goods does not have a large enough volume to fill a truck, container, etc. and it is either too heavy or expensive to consider a dedicated van.

Companies / carriers specialised in groupage can offer to share any space remaining in their truck between several senders.

For companies resorting to this type of transport to dispatch their goods, groupage offers several advantages. It enables them to save money on transport. By opting for groupage transport, the company shares all transport costs with the other senders.

  • It no longer has to pay all the delivery fees, as its merchandise only occupies part of the space available in the truck.
  • Groupage offers companies an easier option for sending their merchandise to different destinations, without having to worry about the volume of goods dedicated to each destination.

Groupage transport does require more flexibility from senders regarding the products’ loading and delivery times. The carrier must first run a pick-up route to collect all the goods before delivering them all to a dispatch hub, whereas full-truck transport would simply consist in shipping one type of merchandise from a point A to a point B.

In the world of product shipment, groupage positions itself halfway between standard courier style delivery services and more standard full truck load transport.

Groupage transport is particularly recommended for dispatching goods when:

  • The volume of goods to dispatch is not big enough to fill a full truck load.
  • Dispatch deadlines are not a key criterion (groupage delivery is considerably longer than standard delivery, as it requires several deliveries to be grouped together).
  • Delivery is NOT JiT or time critical.
  • The dispatched goods are aimed for delivery in different countries.
  • The goods dispatched can easily be combined onto one or several pallets.
  • Shipment tracking is not essential.
  • Goods are not perishable or easily damaged.

NOTE: Customs can also be particularly complex due to levels of commodity codes being shipped together with multiple invoice types from multiply customers and place of origins – an issue on a neighbours freight will delay the entire shipment of cargo. Multiple Office of Destination for customs clearance also causes extensive transit delays. (you will not know what these are in advance as the shipper)

 

Our Alternative Services include:

A2B Express delivery including timed collection & delivery

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On your site within an hour (UK, EU 2hr)

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Single or two-person white glove solutions

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Standard & temperature controlled options

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Fixed price per mile on UK express service

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Same-day delivery guarantees

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Our experienced operators will be able to support you and advice on the best possible solution for your consignment.

For more information on our services please

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FLS are a fantastic team of people, from the top management down. Every member of the team I have had the pleasure to work with has been extremely helpful and has provided a fast effective solution to the requirement I have given them

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