Discover how LTL APIs are transforming shipping and driving efficiency and savings through unified solutions

For a business to survive in the modern world, it requires utilizing advanced technology and swiftly adapting to fast-paced and constantly changing environments. The technology we leverage today in the supply chain industry plays a critical role in optimizing everyday operations and enhancing efficiency. Over the years, parcel carriers have been at the forefront of this technological revolution, embracing advanced rating tools, tracking systems, and Application Programming Interfaces (APIs) to streamline their processes. However, we cannot say the same for Less-than-Truckload (LTL) carriers, who, until recently, lagged behind in technological adoption.

For a long time, the LTL sector was viewed as the slow-moving giants of the transportation world when it came to embracing innovation, often relying on outdated manual processes and lacking the advanced tools that had become standard in other areas of the transportation industry. This technological gap caused shippers to struggle with inefficiencies, especially when it came to integrating LTL into their broader shipping and logistics strategy.

Regardless of LTL’s previous reputation, the landscape continues to change rapidly, and the introduction of LTL APIs has marked a turning point. This step forward empowers carriers to utilize online tracking, automated rate comparisons, and various other advanced features that were once exclusive to parcel shipping. The shift in the LTL sector has not only modernized the LTL industry but also opened the door to new opportunities for businesses to integrate LTL capabilities into their existing systems, enabling them to achieve greater efficiencies and cost savings.

Let’s take a closer look at the evolution of Less-than-Truckload shipping.

The Historical Lag of LTL Carriers

For years, LTL carriers were often stuck in the past, lacking the tools to provide shippers with the transparency and automation they craved. This lag in technology adoption not only negatively impacted the efficiency of LTL shipping but also created significant challenges for businesses that needed to manage both parcel and LTL shipments seamlessly.

There are several factors that have contributed to the reluctance of the LTL sector to adopt new technologies including the complexity of LTL shipping itself. Unlike the small, uniform packages we see with parcel shipping, LTL shipments are often larger and more varied, making it harder to standardize and automate the shipping process. Additionally, the LTL industry has an intricate structure, making tasks like coordinating shipment consolidation and risk and damage management difficult. This makes it challenging to implement a unified approach to shipping technology.

However, a significant shift occurred once a forward-thinking LTL carrier started using APIs, enabling shippers to access tools like online tracking, automated rate comparisons, and other digital services. This innovation sparked a chain reaction across the industry, as other carriers quickly recognized the need to modernize and adopt advanced technologies. From that point, the LTL sector has undergone a significant transformation, bringing it closer in line with the technological capabilities that are enjoyed by parcel shippers.

The Problem with Treating LTL as a Disparate System

Despite the recent technological advancements in LTL shipping, many businesses continue to treat LTL as a separate, isolated part of their logistics operations. This fragmented approach creates significant inefficiencies and undermines the potential benefits that modern LTL APIs can offer.

When shippers manage LTL as a disparate system, it is completely disconnected from their other shipping systems. Many companies use separate platforms for their parcel and LTL shipping, or they rely on utilizing 3rd party websites to manually compare rates. This lack of integration forces businesses to manage multiple systems, creating unnecessary complexity and wasted valuable time.

Additionally, treating LTL as a disparate system can result in missed opportunities for cost savings and efficiency gains. For example, a shipper might find it more cost-effective to consolidate multiple parcel shipments into a single LTL shipment, but without an integrated system, these options are often overlooked. The result is higher shipping costs and reduced flexibility in choosing the best carrier or service level for each shipment.

As LTL carriers continue to catch up technologically, the need to integrate LTL into a multi-carrier, unified system has become more pressing. Only by breaking down these silos and leveraging the full capabilities of LTL APIs can businesses streamline their operations, reduce costs, and deliver better service to their customers.

The Solution: Integrating LTL into Multi-Carrier Shipping Systems

Integrating LTL capabilities within a top-tier multi-carrier shipping software (MCSS) can create a streamlined solution to the challenges of managing LTL and parcel shipping separately. By incorporating LTL functionalities directly into a comprehensive MCSS, businesses can simplify rate comparison, booking, and tracking for both parcel and LTL shipments from a single interface. This unified approach simplifies logistics management while providing a unified view of all shipping activities. Of all the solutions on the market, Varsity Logistics offers an industry-leading shipping software that seamlessly combines LTL and parcel shipping capabilities.

Varsity Logistics’ Advantage: Unified LTL and Parcel Rating

Varsity Logistics, the only holistic shipping solution built for the IBM i, is an advanced suite of multi-carrier shipping software for both parcel and freight. Unlike many other shipping software companies, Varsity stands out by offering a sophisticated solution that allows shippers to integrate LTL functionality within their existing Varsity multi-carrier shipping software package at an affordable price. This seamless integration enables businesses to effortlessly track deliveries across both modes of transport, generate quotes, and book shipments, all while eliminating the need for manual tariff and discount updates, as well as fuel surcharge and accessorial fee updates.

This unified platform offers significant benefits. With integrated LTL and parcel rating, businesses can easily identify the most cost-effective shipping options, whether they’re sending large, bulk shipments or smaller parcels. This eliminates the need to use separate rating instances or utilize a 3rd party website. It also helps businesses make informed decisions, potentially consolidating shipments to maximize efficiency and reduce overall costs. Furthermore, not only does Varsity’s solution allow you to manage all shipping functions in one place, but it automatically saves all shipment details into your Varsity shipment history which can be written back to your ERP. This functionality enhances visibility and control while also minimizing the risk of errors, leading to improved operational performance and customer satisfaction.

In an industry where efficiency and cost-effectiveness are critical, Varsity Logistics’ solution provides a competitive edge by integrating these key functions into a cohesive system, transforming the way businesses approach their shipping operations and deliver substantial value. Ready to learn more about how Varsity can revolutionize your LTL shipping strategy? Reach out to our team of shipping experts or schedule a pressure-free demo. Take the step towards improving your LTL operations.