Freight Consolidation 101

Freight Consolidation 101

Logistics

Apr 10, 2025

9

min read

Freight Adds Up Fast

Shipping is one of the biggest hidden drains on Amazon profits. Between oversized boxes, partial loads, and inefficient routing, freight costs pile up faster than most sellers expect. The solution is not always shipping less — it is shipping smarter.

That is where palletization and freight consolidation come in. By combining shipments and optimizing how they are packed, sellers save money, reduce delays, and keep inventory flowing into Amazon more efficiently.

What Palletization Actually Means

Instead of sending individual boxes, products are stacked and shrink wrapped onto pallets. This makes handling easier, protects inventory, and often reduces per-unit freight costs.

Actionable tip: Ask your prep center to always ship by pallet when volumes allow. Even if the upfront cost looks higher, the per-unit savings usually outweigh it.

The Power of Consolidation

Freight carriers charge more for partial loads. Consolidating shipments means combining multiple SKUs or orders into fewer pallets, which lowers the cost per unit and speeds up delivery.

Think of it like carpooling. Five sellers sending five half-empty trucks costs more than one truck filled to capacity.

Actionable tip: Schedule regular consolidated shipments instead of sending small batches. The cost savings grow over time.

Lower Risk of Damage

Loose boxes shift, crush, or tear in transit. Palletized loads are more stable and protected, reducing damaged inventory and costly returns.

Actionable tip: For fragile or high-value items, request protective wrap or corner guards when palletizing. The extra step reduces replacement losses.

Faster Through Amazon’s Network

Amazon’s fulfillment centers are built to handle pallets. Palletized and consolidated shipments move through receiving faster than loose cartons, which means products go live sooner.

Actionable tip: Confirm your shipments meet Amazon’s pallet standards (40 x 48 inches, max height 72 inches). Compliance prevents costly rejections or rework.

Efficiency That Pays Off

Freight will always be part of the cost of doing business on Amazon, but it does not have to eat into profits unnecessarily. Smart palletization and consolidation reduce costs, protect inventory, and accelerate processing.

WRITTEN BY
Aayush Patel

Founder

Aayush Patel

Founder

Aayush Patel

Founder

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