LCL vs FCL – why LCL can be the better option for sea freight?

Small to medium businesses shipping medium volumes often need to compare Less than Container Loads (LCL) with Full Container Loads (FCL) and work out the advantages and disadvantages of LCL vs FCL. A strategic analysis can often show there are more benefits shipping with LCL than FCL. Interested to know more? Read on to learn how LCL can deliver strategic savings, providing efficiencies you may not have considered when shipping medium loads for your business.

What makes LCL the better choice when evaluating LCL vs FCL

Small and medium businesses rely on reduced costs and high service delivery levels to maximise efficiency. Below is a list of benefits and advantages LCL delivers to your business, providing the efficiencies you may need.

Simpler freight cost allocation

LCL helps small to medium businesses easily plan and execute their freight cost. Shipping by cubic metre volume rather than full container load makes it easy to allocate your cost to the pieces being shipped.

Flexible costs for drop-offs and pick up

LCL provides the flexibility to drop off or pick up cargo from the warehouse to where the containers are loaded and unloaded. You do not have to rely on a third party and can control this directly. The process is easier to manage than transporting a shipping container.

Convenient delivery options

The Less than Container Load mode allows for the use of small trucks and vans. This makes delivery from port to door easier and more convenient than large trucks carrying a full container.

Do you have questions regarding this? Let us help you simplify your cargo movement and call us at 1300651233.

Why can LCL be a better option when it comes to LCL vs FCL?

When will LCL be better when comparing LCL vs FCL?

LCL is generally the best choice for moving goods that take up a small to medium amount of space and are not needed urgently. There are several major types of benefits that using this transport mode can bring.

When shipping large volume will result in oversupply

Small and medium sized operations often consume or resell goods at a rate where landing a full container will result in having too much stock-on-hand in the medium to long term. This can impact business cash flow, as the outlay to buy the large volume of goods is significant. LCL allows small to medium volumes to be combined with shipments from others to make a FCL and have that shipped. This consolidation allows your delivery to be dispatched from port in quantities that will maintain your stock level for the short to medium term.

Venturing into new markets with new products

New market players testing new products often require options to reduce financial risk. LCL allows for shipping of small to medium volumes that allow for effective testing without overstocking. It provides a low cost freight option to test the viability of expanding into a new market.

Online retailers and drop shipping services

Due to their low barrier to entry and ease in set-up, online retailing and drop shipping have paved the way to more business opportunities. These services can forecast what goods are expected to be sold in the coming months and then:

• Ship in small to medium volumes of these goods
• Store these in a small warehouse in Australia
• Pick, pack and dispatch orders of these goods as required

This is a better option than filling a container and storing the goods in a larger Australian warehouse and holding onto the inventory longer. It mitigates the risk of stored products becoming obsolete or superseded by new and improved models. LCL is also a lot cheaper than having to freight goods urgently via air. You just need to order sufficient volumes at a suitable frequency.

Students studying abroad and families moving into Australia

Students and migrants need an affordable way of moving their personal effects into Australia. LCL is an affordable option to bring these important items with them. Personal effects rarely fill an entire shipping container. LCL is, therefore, generally the most cost-effective mode to ship these to Australia. Choose a reliable freight forwarding company that can deliver your goods cost efficiently. Call us at 1300651233.

Simple convenient freight movement LCL

Need help to work out best option with LCL vs FCL

With more businesses seeking a low cost, reliable way to ship goods, Freight Forwarder Quote Online Australia takes pride in its LCL pricing. We provide a comprehensive selection of sea freight services from all major overseas locations at very competitive rates.

Find out more about Freight Forwarder Quote Online Australia or follow us on our social media profiles to remain updated for our freight and customs news. Follow us on our LinkedIn page. Otherwise, call us about your LCL shipping requirements, today at 1300651233.