LCL or Less Container Load, also known as Groupage is a mode of sea freight shipment. When a shipper does not have enough consignment to fill up a single container, it’s called a Less container load. In such instances, the freight forwarder will consolidate LCL shipments going to the same destination in a single container.
How does it work?
This feature in MyHubPlus is frequently used by some of our customers to consolidate their LCL shipment to full container consol resulting in cost savings. In LCL shipments, timings are very crucial and based on the schedule of the buyer, who has complete control of the shipment and can hold consignments for consol and hence all the shipments going to the same destination can be shipped together.
One of our customers in Australia deals in fashion brands and has more than 60 showrooms across the country. Being into fashion, the company explores different fashion trends from various countries and hence it has multiple orders resulting in multiple shipments. Though there are multiple orders from various suppliers, they are not big enough to fill a container, hence all are grouped together or consoled to make an FCL as the final delivery destination is the same, resulting in the reduction of LCL shipments.
Benefits of opting for LCL
Lower rates The most impactful advantage is the reduction in the cost. With LCL mode, suppliers will pay for the space they are utilising in a container.
Better scheduling With LCL, time management becomes easy. The stakeholders get timely notification of the shipping process on the movement of consignment from pick-up, transit and final delivery.
More time to focus on business With less time spent on tracking, tracking and scheduling shipments, one gets more time to focus on the business at hand.
The advantage of LCL is lower costs, efficient service and customer satisfaction as customers can expect timely delivery of their orders from across the globe. LCL is a customised service that suits all those customers who are looking for small deliveries from different origins but to the same destination.