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Moving small volumes: When groupage makes strategic sense – and when it doesn’t

Jari Rasmussen

There’s no doubt that international markets are in a state of change.  

Many businesses are choosing to navigate potential market volatility (and protect their margins) by investing in shorter production runs and more cautious inventory strategies. This has resulted in a transition away from regular full-truck movements to more frequent shipments of smaller volumes of goods. 

From a logistics perspective, this presents not just an operational challenge but a strategic one.

Why has there been an increase in small shipments?

Brexitrelated complexity, shifting customer demands, and increased pressure have all contributed to a rise in lessthantruckload (LTL) movements. 

Dedicated transport still offers maximum control over your goods, but can come with a high price tag, which has made shared transport solutions (such as groupage and consolidated loads) increasingly attractive.  

In highvolume, lowweight sectors such as packaging, the ability to share vehicle space isn’t just a cost lever, it’s a margin protection strategy. This is because transport efficiency is rarely driven by weight. Instead, it is governed by volume, cube utilisation and price per pallet which makes groupage solutions an attractive choice.

What are the strategic benefits of using shared transport solutions?

When done well, sharing space on larger vehicles can offer excellent cost savings. Poor cube utilisation penalises businesses with high volumes and low margins (e.g. packaging manufacturers) more than low volume, highvalue manufacturers. As consolidation helps to minimise unused space, cost effectiveness is an obvious benefit. 

However, shared transport can also unlock access to regularly scheduled (sometimes daily) departures into key European hubs or dedicated stand trailer options that can be loaded throughout the day – freeing up valuable space on-site. By using established consolidation networks, businesses can reduce admin effort, tap into automated booking processes and provide more consistent service levels compared to ad-hoc shipments. 

For businesses entering new markets or scaling gradually, consolidation networks provide flexibility to trial new lanes, slowly expand their distribution and test shipment frequency (subject to demand) without being locked into fixed capacity commitments or investing in dedicated transport resources.

How can consolidating smaller loads through groupage contribute to Scope 3 emissions targets?

Understanding your business’s carbon footprint is becoming increasingly necessary to address the current challenges of global warming, and logistics, in particular, is estimated to be one of the largest sources of global CO₂ emissions. 

Scope 3 emissions, relating to all indirect emissions created across a company’s value chain (including logistics) are often some of the most difficult to calculate. Category 4 emissions (released from transporting materials and goods into a business) and Category 9 emissions (relating to emissions released during distribution to customers e.g. via B2B deliveries and exports) can be especially hard to quantify. 

For businesses wanting to stay on top of evolving environmental regulations and who want to make progress towards their Scope 3 reduction targets, consolidating smaller consignments into shared vehicles offers a compelling advantage. 

This is because it means lower fuel consumption per unit and therefore a measurable reduction in CO₂ emissions across European lanes – enabling clear, transparent emissions reporting and allowing businesses to cut the carbon footprint of their supply chain without sacrificing service levels. 

Not every consignment suits consolidation however! 

By profiling which products do, and which require dedicated transport methods, strategic logistics partners can propose shared solutions selectively. In practice, this often means consolidating robust, lower-risk goods and using targeted dedicated movements when required to ensure service quality or to protect customer experience (and therefore brand reputation).

The risks that come with sharing space

Whilst shared transport has many benefits, it can introduce more challenges than a dedicated collection with full use of the vehicle. 

Consolidated shipments usually pass through more touchpoints than a dedicated load which increases the risk of damage, loss, or incorrect routing. Claims from damage occurring within a shared setting can also be complex due to mixed loads potentially including incompatible goods being loaded side by side e.g. where heavy or awkward freight poses a risk to lighter or more fragile consignments.  

Reliance on shippers’ readiness can also mean delivery schedules may also be harder to forecast due to departures often being held until enough freight is gathered. Additionally, if a holdup happens at a border or during customs clearance due mishandled or missing paperwork, the resulting ripple effect can delay every consignment on the truck. 

A trusted logistics partner won’t minimise or downplay these risks. Instead, they help customers understand the potential negative impact and evaluate when shared transport is the right tool, and when it isn’t. Improving efficiency isn’t just about saving money after all, it’s also about risk management.

Turning trade-offs into informed decisions

The difference between costdriven transport and valuedriven transport lies in planning and profiling. Not every product suits a shared solution. Packaging designed only for static storage or dedicated transport, for example, may struggle in shared environments.  

Strategic mitigation starts with understanding the characteristics of the freight. Packaging design, protection and load restraint become critical when consignments will pass through several hands, and pack size and strength directly affects how efficiently products integrate with other freight.  

Standardised pallet footprints aren’t about convenience; they’re about compatibility. In consolidated loads, compatibility determines stability, safety, and emissions efficiency. Even small dimensional changes can unlock better cube utilisation and reduce the risk of crushing, compression, deformation or pallet instability. 

Ultimately, the most effective transport strategy aligns the mode of shipment with commercial priorities – protecting the endcustomer experience while controlling cost and environmental impact.

From transport decision to business advantage

When applied selectively, shared transport can be a powerful lever for cost control and sustainability. When misapplied, it can damage product, relationships, and brand reputation. 

For packaging businesses, pack size, pallet footprint, and stack strength all determine how effectively products can move through shared EU networks. Therefore, when logistics is involved early, shared transport becomes an advantage rather than a risk. 

The real value lies in building key logistics partnerships; working with a provider who helps you ask the right questions, weigh the tradeoffs, and make decisions that support both today’s shipment and tomorrow’s growth.

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