When it comes to shipping options on Amazon FBA, sellers have two main choices: Small Parcel Delivery (SPD) and Less Than Truckload (LTL). Knowing whether to choose SPD or LTL Amazon shipping options is not that simple. These options cater to the diverse needs of Amazon sellers, providing efficient and cost-effective ways to transport inventory to Amazon fulfillment centers. Understanding the differences between SPD and LTL is key to selecting the most suitable method for your business.
Key FBA Takeaways:
- Amazon offers two shipping options: Small Parcel Delivery (SPD) and Less Than Truckload (LTL).
- SPD is ideal for shipping small packages individually packed and labeled using partnered carriers like UPS and DHL.
- SPD has a limit of 200 boxes for partnered carriers and 500 boxes for non-partnered carriers.
- LTL is used to ship large quantities of products in pallets and is cost-effective for businesses shipping freight.
- LTL shipments have a limit of 26 pallets per shipment and require adherence to Amazon’s rules and requirements for pallets.
Small Parcel Delivery (SPD) on Amazon
Small Parcel Delivery (Amazon SPD) is an essential shipping method used by Amazon sellers to efficiently send individual packages to customers. It is a convenient and affordable option, especially for businesses that ship smaller quantities of products to Amazon warehouses.
Using SPD is a straightforward process with just three simple steps:
- Enter General Information: Provide the necessary details about the package, such as the weight, dimensions, and destination address in Seller Central in the Send to Amazon workflow.
- Select Shipping Carrier: Choose a partnered carrier such as UPS or DHL to handle the delivery. Amazon’s partnered carrier program ensures reliable and efficient service.
- Print Labels: Generate and print the shipping labels provided by Amazon. These labels contain all the necessary information for a smooth transit process. Each box will receive a shipment ID label and a shipping label.
One of the advantages of using SPD is the real-time tracking information provided by Amazon. Sellers can easily monitor the transit status of their shipments, allowing for improved visibility and customer satisfaction.
| Shipping Method | Limit per Shipment (Partnered Carriers) | Limit per Shipment (Non-Partnered Carriers) | Additional Requirements |
|---|---|---|---|
| Small Parcel Delivery (SPD) | 200 boxes | 500 boxes | Register with Amazon, adhere to delivery requirements |
It’s important to note that the limit for partnered carriers is 200 boxes per shipment, while non-partnered carriers have a limit of 500 boxes. Sellers using non-partnered carriers must register with Amazon and ensure compliance with their delivery requirements. So to understand SPD or LTL Amazon shipments, lets talk about LTL.
Less Than Truckload (LTL) Shipping on Amazon
Less Than Truckload (LTL) shipping is a method offered by Amazon for businesses shipping less than 100 items. With LTL, sellers can transport their inventory in pallets from their warehouse to an Amazon fulfillment center, providing a cost-effective shipping solution without the need for full truckloads.
Amazon ensures reliable and efficient delivery by partnering with trusted carriers for LTL shipments. This partnership guarantees that your products will reach their destination on time and in good condition and the lowest cost carrier available.
When using LTL shipping on Amazon, there is a limit of 26 pallets per shipment. It’s important for sellers to adhere to Amazon’s rules and requirements for pallets, including using standard pallet sizes and ensuring pallets are in good condition. Meeting these requirements helps prevent any delays or issues at the Amazon fulfillment center.
By utilizing LTL shipping, Amazon sellers can save on shipping costs while still effectively managing their inventory and transporting their products to the fulfillment center. Following Amazon’s LTL requirements is a must. WIth this information its time to figure out SPD or LTL Amazon shipments based on the pros and cons.
Pros and Cons of SPD and LTL Shipping
So, SPD or LTL Amazon shipment? When comparing the SPD and LTL shipping options on Amazon, it’s important to consider the pros and cons of each method. Both options have their advantages and drawbacks, and understanding them can help Amazon sellers make informed decisions for their business.
SPD Shipping: Pros and Cons
SPD shipping, or Small Parcel Delivery, is a convenient and affordable option for smaller quantities of products. Here are some of the pros and cons:
- Pros:
- Convenience: SPD shipping allows sellers to easily restock their inventory and print shipping labels, streamlining the process.
- Affordability: It is a cost-effective option for shipping smaller packages individually.
- Cons:
- Box Limit: There is a limit on the number of boxes per shipment when using SPD. For partnered carriers, it is 200 boxes, and for non-partnered carriers, it is 500 boxes.
- Complexity: When using non-partnered carriers, additional steps and adherence to Amazon’s delivery requirements are necessary, which can make the process more complicated.
- The cost while shipping lots of boxes or heavier products is more expensive than LTL.
LTL Shipping: Pros and Cons
LTL shipping, or Less Than Truckload, is a cost-effective option for businesses shipping larger quantities of products in pallets. Let’s explore the pros and cons:
- Pros:
- Cost-effectiveness: LTL shipping provides better inventory management and cost savings for businesses shipping larger quantities or heavy products.
- Reliable Delivery: Amazon provides partnered carriers for LTL shipments, ensuring efficient and reliable delivery to their fulfillment centers.
- Cons:
- Pallet Requirements: There are strict rules and requirements for pallets when using LTL shipping. Sellers need to ensure compliance, including using standard pallet sizes and pallets in good condition, to avoid rejection at the Amazon fulfillment center.
- The check in and receiving process often take much longer than SPD shipments.
By considering the pros and cons of both SPD and LTL shipping, Amazon sellers can make informed decisions about the most suitable shipping method for their business needs. Whether it’s the convenience and affordability of SPD shipping or the cost-effectiveness and reliable delivery of LTL shipping, understanding these options is essential for efficient and successful shipping to Amazon fulfillment centers.
SPD or LTL Amazon Shipping Options – Take Aways
In conclusion, it is essential for Amazon sellers to understand the shipping options available to them, specifically Small Parcel Delivery (SPD) and Less Than Truckload (LTL) shipping. SPD is the ideal choice for sellers with smaller quantities of products, as it offers convenience and affordability. On the other hand, LTL is more suitable for businesses shipping larger quantities in pallets, enabling cost-effective shipping and better inventory management.
So SPD or LTL Amazon shipments? Both SPD and LTL shipping methods have their pros and cons. Sellers should carefully consider their specific needs and requirements when choosing between the two. By selecting the appropriate shipping option, Amazon sellers can ensure efficient and reliable delivery of their products to the Amazon fulfillment centers.
Whether it’s SPD or LTL, the key is to choose the right method that aligns with the seller’s business size, budget, and inventory management strategy. This decision will ultimately contribute to efficient shipping and customer satisfaction, allowing sellers to maximize their success on Amazon’s platform. Hopefully this was helpful in learning about the SPD or LTL Amazon options.
FAQ
What are the shipping options available on Amazon?
SPD or LTL Amazon shipping options: Small Parcel Delivery (SPD) and Less Than Truckload (LTL) can be located in the shipping screen of Seller Central.
What is Small Parcel Delivery (SPD)?
Small Parcel Delivery is a shipping method used to send individual packages to customers.
How does SPD work?
To use SPD, sellers need to enter general information, select a shipping carrier, and print labels.
How many boxes can be shipped with SPD?
For partnered carriers, there is a limit of 200 boxes, and for non-partnered carriers, the limit is 500 boxes.
What is Less Than Truckload (LTL) shipping?
Less Than Truckload shipping is used for shipping large quantities of products in pallets.
How many items can be shipped with LTL?
LTL is suitable for businesses shipping less than 100 items.
What are the requirements for using LTL?
Sellers need to adhere to Amazon’s rules and requirements for pallets, including using standard sizes and pallets in good condition.
What are the pros and cons of SPD shipping?
SPD is convenient and affordable for smaller quantities of products, but it has a limit on the number of boxes per shipment and can be more complicated with non-partnered carriers.
What are the pros and cons of LTL shipping?
LTL shipping is cost-effective for larger quantities of products, provides better inventory management, but has strict rules for pallets and requires compliance.
So SPD or LTL Amazon shipment?
Sellers should consider their specific needs and requirements to determine whether SPD or LTL is the best option for their business.
Amazon Partnered Carrier or Seller Carrier?
Regardless of type, spd or ltl Amazon shipping options, we normally recommend using Amazon partnered carrier due to the decreased shipping costs. At the point of a Full Truckload (FTL) it may be better to get your own seller carrier for delivery.
Source Links
- https://www.junglescout.com/wp-content/uploads/2018/09/The-Ultimate-Guide-to-Shipping.pdf?utm_source=workbook&utm_medium=link&utm_campaign=mdcs4_8&utm_content=the_ultimate_shipping_guide
- https://spriceworld.com/small-parcel-delivery-spd-vs-less-than-truckload-ltl-on-amazon-which-one-should-you-choose/
- https://www.envisionhorizons.com/blog/amazon-small-parcel-delivery-spd-and-less-than-truckload-ltl-shipping
