What is Groupage Shipping?
Discover the efficiency of groupage shipping—consolidating goods from various companies into a single shipment, reducing costs and enhancing flexibility. Explore the advantages, disadvantages, and required documents for seamless groupage transport. Optimize your logistics with manageable inventory and cost-effective solutions.
Groupage Shipping
Groupage is a shipping method used to transport units of bundled goods by consolidating them—groupage groups together goods dispatched by various companies into a single shipment. The term LTT (Less Than Truckload) is used frequently in international trade to refer to groupage transport. This approach combines several smaller shipments into a full container and is often used for single pallets.
General cargo is collected from various shippers and combined as groupage cargo in a warehouse. The shipment is further separated in the corresponding warehouses upon delivery to the forwarding agent. Groupage is popular in the logistics industry due to its cost-effectiveness and is seen as the halfway point for standard delivery services and full truckload transport.
Groupage transport is used among companies needing to dispatch that do not have enough volume to fill a truck or a container. Specialized Groupage Transporters can offer up space remaining between several freight senders. Utilizing groupage services offers many advantages to companies, such as cost-effectiveness, improved service quality and flexibility, and efficiency. With groupage shipping, companies share transportation costs with other senders and no longer need to pay all delivery fees because the cargo only takes up part of the available space. Transporters usually send goods as either Full Container Load or Less than Container Load, group together joint destination shipments, optimize truck space and provide loading and delivery dates.
With Groupage, companies benefit from easier sending and receiving processes. Groupage allows merchandise to be sent without the concern or hassle of volume thresholds for each destination, in addition to various services given via their providers, like a wider variety of itinerary options. Keep in mind that with a broader range of itinerary options comes a more significant flexibility requirement for senders regarding product loading and delivery times.
Groupage Operator
A groupage operator is an agent that collects cargo from several different shippers for delivery to various customers. Operators may also collect LCL cargo from several organizations to consolidate and deliver to a single customer. They arrange pickup for less-than-container loads from the seller and deliver them to the buyer.
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Why Choose FreightCenter for Groupage Shipping?
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- Get Freight Shipping Quotes anytime, anywhere in the U.S. & Canada.
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- Streamline all your quotes and shipments on one comprehensive platform.
- Benefit from 25 years of logistics expertise on your side!
Choosing FreightCenter
When you choose to work with us, you are choosing to make your shipping process seamless. Here are just some of the benefits working with our Third Party Logistics company will have on your shipping experience:
- Partner with FreightCenter, a top-notch 3PL company with over 24 years of logistics expertise.
- Gain peace of mind and great value for your shipping needs.
- Our experienced team has handled almost every imaginable shipment process.
- Rely on our knowledgeable staff adapting to industry changes, ready to answer your questions.
- We act as a reliable intermediary, ensuring smooth communication between you and your carrier.
- Secure the best transit carriers and optimal routes at the most competitive prices.
- Save time and effort with our logistics expertise; no need to spend hours searching for deals.
- Easily ensure your shipments with our guidance on the best coverage options, whether full or partial.
- We handle pickups and drop-offs and provide real-time shipment tracking for complete visibility.
Now, what are you waiting for? Call FreightCenter to set up your account and discuss your shipment. We are ready to answer your questions and provide solutions! Our team looks forward to partnering with you.
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Non-Vessel Operating Common Carrier (NVOCC)
NVOCCs are operators that deal directly with freight forwarders in most situations. Some offer cargo space to individual customers for transport via cargo vessels. NVOCCs typically do not own cargo vessels or warehouses despite their service offerings. The cargo space is often leased from a shipping line, and loading is done from the customer’s warehouse. If warehouse space is required, it is leased from warehouse operators.
Groupage Examples
One of the common ways in which a shipment turns to Groupage is when the volume a shipper needs to send is smaller than the total loading volume available. Groupage is a great option to avoid significant transport expenses and avoid paying for space the shipment is not taking up. It is also a great option when dispatch deadlines are not a key factor. Groupage requires several deliveries to be grouped together and takes considerably longer than a standard delivery. Other great scenarios for Groupage shipping include delivery in different countries or when the dispatched goods can be combined with one or several pallets.
A great example of Groupage is the shipping process for the wine industry. While alcoholic spirits and beers are typically shipped as full container loads, wines are usually ordered in smaller quantities. The wine market is niche, with good vintage wines being limited. It is common for customers to order several different wines in small amounts from different vineyards spread across regions. Customers place individual orders with wine suppliers in various countries and use consolidators to bring them as a full container load following the storage and transportation requirements.
To create value for our customers by delivering customized shipping solutions that meet their unique needs and to fulfill shipping demands from simple to complex with expertise, guidance and ingenuity.
Turn to the experts at FreightCenter for cost-effective rates and an extensive array of options tailored to fulfill your Less-Than-Truckload (LTL) freight shipping needs. Benefit from our seasoned professionals' insights and diverse services, ensuring optimal solutions that align with your specific shipping requirements while maximizing affordability and efficiency.
Discover customized solutions for full and partial truckloads, featuring competitive pricing across various freight options such as dry van, flatbed, and refrigerated shipments. Count on us to address all your full truckload shipping needs with reliability, ensuring a comprehensive and cost-effective approach tailored to your specific requirements.
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Discover hassle-free flatbed shipping with FreightCenter! We offer affordable rates and reliable options to transport your goods on flatbed trailers, ensuring safe and on-time delivery. Count on our expertise for precise, cost-effective solutions to your flatbed shipping needs.
Enhance your shipping strategy by seamlessly blending different transportation modes, such as trucking and rail. This integrated approach maximizes efficiency and cost-effectiveness, ensuring your goods reach their destination smoothly. Explore the benefits of a diversified transportation solution with FreightCenter.
Make your shipping smarter by using rail transport for long distances or when dealing with many packages. It's not just efficient for longer trips but also great for handling lots of items. Get valuable advice from FreightCenter on how to level up your shipping strategy with rail.
Efficiently ship your products globally by transporting them in secure containers on cargo ships. This method ensures the safety and reliability of your goods during international shipping. Rely on FreightCenter to guide you through the process for a seamless and cost-effective experience.
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Groupage Mini Checklist
- Select a provider specializing in groupage transport.
- Communicate features of goods to be shipped (product type, weight, volume, etc).
- Communicating the location of loading and unloading sites.
FAQS
Q. Are there size and weight restrictions for groupage shipments?
Shipping size and weight restrictions and limitations vary by carrier. Ask your freight forwarder or shipping company for the specific restrictions.
Q. Can fragile items be shipped via Groupage?
Fragile items can be shipped via Groupage, but proper packaging is essential to a successful shipment.
Q. Is groupage shipping secure?
Yes, groupage shipments are secure, and forwarders take steps to ensure the safety of each shipment.
Q. Is insurance included in Groupage shipping costs?
Groupage shipping does not automatically include insurance coverage. Make sure to inquire about your insurance coverage options. Consider purchasing insurance to protect your cargo.
Q. Does groupage shipping have peak seasons?
Groupage shipping can also have higher-demand peak seasons like full-container load shipping. Understanding groupage shipping patterns helps with planning and can help secure better shipping rates.
Q. What happens if a container is overweight in groupage shipping?
Weight limits that exceed restrictions can be subject to fees and fines. Speaking with your freight agent about costs associated with overweight shipping containers is essential in avoiding surprises.
Q. Can I request specific routes for groupage shipping?
Sometimes, requesting specific routes for groupage shipping is possible. Speak to your freight agent about your options, and be aware that these requests.
Q. Can I choose the container type used in groupage shipping?
This will depend on the availability of the shipping container for your groupage shipment. Make sure to discuss your shipping options with your freight agent.
