January 13, 2021
The Advantages of Pool Distribution
What is Pool Distribution?
Pool distribution is the process of consolidating different shipments with others that are heading to the same geographic region. Pool distribution is typically shipped together with other products from the exact origin to a location closer to the consignees and sorted there. Using a full trailer to transport the pooled or consolidated shipments to a single regional distribution center, or “pool point facility,” located within the central area hub, where they are then offloaded, re-sorted, and sent out for delivery to their final destinations.
Major Uses
You need to have sufficient volume going to the same geographic region with a critical mass of consignees for pool distribution to work. This is different from a multi-stop full truckload option & without enough volume or density of destinations, a shipper may be better off using a less than truckload approach.
Shippers of any size can pool their goods to save transit time and money because, with the help of an established third-party logistics provider like Last Mile Logistics powered by SUNTECKtts, you can easily take part in pool distribution. Third-party logistics providers like Last Mile Logistics powered by SUNTECKtts help companies increase service & reduce expenses involved in distributing the product(s) to their customers.
The benefits of pool distribution:
Faster Delivery Speed
Faster delivery speeds due to the reduction of stops made from two or more stops at the carrier’s terminals to one long haul.
Reduced Freight Costs
Pool distribution is a perfect in-between of TL and LTL because it maximizes the flexibility to make many deliveries and the cost efficiency of a long-haul truck.
Decreased Risk of Damages and Claims
Pool distribution reduces handling & the risk of a shipper’s product being damaged in transit. Also, it decreases the number of cargo claims a company may need to file.
Minimized Carbon Footprint
When you pool shipments, you also cut down on carbon emissions and waste because fewer trucks, less fuel, and reduced miles equate to substantial energy savings.
Faster Delivery Speed
Faster delivery speeds due to the reduction of stops made from two or more stops at the carrier’s terminals to one long haul.
Reduced Freight Costs
Pool distribution is a perfect in-between of TL and LTL because it maximizes the flexibility to make many deliveries and the cost efficiency of a long-haul truck.
Decreased Risk of Damages and Claims
Pool distribution reduces handling & the risk of a shipper’s product being damaged in transit. Also, it decreases the number of cargo claims a company may need to file.
Minimized Carbon Footprint
When you pool shipments, you also cut down on carbon emissions and waste because fewer trucks, less fuel, and reduced miles equate to substantial energy savings.
Today’s technology allows for real-time tracking and automated optimization tools.
Once you integrate technology into your pool distribution strategy, you are on your way to improved service & cost efficiency.
