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What is the difference between SPD to LTL

Question

I created a shipping plan and chose SPD as my shipping plan. When I contacted my forwarder, he updated that the delivery would be carried out by a carrier that is not an approved carrier of Amazon and therefore, the preferred option is LTL.

Do I need to create a new shipping plan? What is the difference between SPD and LTL??

Answer

This is indeed a problematic question.

Let's start by understanding the difference between SPD and LTL.

Small Parcel Deliveries (SPDs) consist of units packaged in individual boxes and individually marked for shipping. Shipping Less than Truckload (LTL) combines individual boxes on pallets for delivery.

In other words - as long as the Amazon seller sends the goods as individual cartons we must create an SPD delivery. Right?

Well, not exactly .

When creating an SPD shipment, Amazon wants to use their preferred carrier such as UPS / FEDEX / USPS.

Per the above case, each carton will have its own tracking number attached to it. But, in most cases the forwarder will handle and load the cartons as single cartons, without pallets. Thus, the final shipment is done by "regular truck delivery" which means a non-preferred Amazon carrier.

In this scenario, it would be best to create a LTL/Carrier-Other shipment. In our experience, adding a tracking number for SPD significantly streamlines and speeds up the receiving process at the destination warehouse. However, if you have already created an SPD shipping plan and the delivery will eventually be made by truck, Amazon will receive the goods without any problem.

In most cases, it is better to create a shipping plan based on LTL rather than SPD when the volume is high and the shipment is by sea It is best to use SPD if you are sending small cartons to an esoteric Amazon warehouse, to central USA, or by air. Otherwise, an LTL shipping plan is better.

Updated on: 05/01/2023

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