April 23, 2023

Pool Distribution: a Powerful Cost-saving Strategy

Pool distribution has been around for many years; however, this shipping strategy gained momentum during the COVID-19 pandemic when the future of malls and stores was unknown. It is simple to understand what pooling is; instead of shipping individual LTL to multiple destinations, the pool combines numerous deliveries into one truck and takes them to a strategic point.

Retail pool distribution

Retailers are the top clients for pool distribution companies. In fact, retailers thrive when they can capitalize on cost-saving efficiency. In addition, pool distribution gives them the ability to achieve a better insight into their inventory management.

As retailers find themselves under more and more pressure to meet the demand of their consumers, they are turning to experienced logistics partners to improve their outcomes.

non-asset pool distribution

The network effect

Pool distribution has risen as a perfect example of the power of the network because it leverages the number of providers to lower costs while increasing delivery frequency. Therefore, non-asset-based carriers are usually more flexible in creating solutions in critical areas.

The best approach to pooling is utilizing a trustworthy 3PL provider—especially one with the ability and resources to effectively coordinate pool distribution with systematic capacity.

Today, more businesses are moving freight through pool distribution in several innovative ways to gain a competitive advantage in their sectors. For example, retailers can replenish their stock more often because the volume of goods they can move through a dedicated network is significantly higher.

The benefits of pool distribution

  • Transportations savings

  • Minimal losses

  • Precision tracking

  • Efficient workforce

At Last Mile Logistics, we have the experience to design a transportation solution that fits your business’s needs. We see pool distribution as a strategy that can make availability and costs significant factors for your company’s success.