OHL Launches Freight Consolidation Offering
OHL, a leading third-party logistics provider, is launching a new offering — Freight Consolidation Services.
Also known as retailer consolidation or multi-customer consolidation, Freight Consolidation Services involves combining less-than-truckload (LTL) freight across multiple customers into a single truckload (TL) shipment, which is then distributed to a retailer’s distribution center.
According to OHL, success of a freight consolidation program relies heavily on a distribution center that is strategically located in close proximity to a consolidation center.
Enter OHL’s network of more than 120 fulfillment centers, collectively known as campuses. With freight shipping at a truckload rate, customers participating in OHL’s Freight Consolidation Services have seen cost savings up to 10-15% over traditional less-than-truckload.
Aside from reducing costs associated with shipping LTL, Freight Consolidation Services can decrease fines, improve transit times, lower carbon emissions, and reduce the number of touches leading to fewer damages
As the service offering continues to grow, OHL plans to further expand the service into more retailer distribution centers throughout the U.S.
“Our customers depend on us to provide logistics solutions to solve today’s challenges, and shipping freight into big box retailers was beginning to put pressure on their margins,” says Jeff McDermott, SVP Transportation at OHL. “We identified the areas in which we could reduce transportation costs for our customers shipping into retailers and began the development of our freight consolidation program.”
Category: General Update