Building a Complementary LTL Solution That Protects Margin and Drives Growth
The Challenge
A leading third-party logistics (3PL) provider specializing in brokered freight nationwide needed a more cost-effective Less Than Truckload (LTL) solution. Focused on optimizing the balance between service value and margin, the 3PL sought to reduce LTL expenses without compromising the quality or flexibility of the solutions offered to their customers.
The challenge was clear: find a partner that could lower costs while preserving margin and strengthening their overall service portfolio.
The STG Solution
STG Logistics designed a complementary LTL program that expanded the 3PL’s capabilities while delivering immediate cost and volume benefits.
Leveraging STG’s Long-Haul Footprint
STG identified its extensive long-haul network as a foundation for expanding the 3PL’s LTL offering. By leveraging this footprint, new service options were created that opened additional opportunities for growth and network reach.
True Over-the-Road LTL Integration
The 3PL connected seamlessly into STG’s established over-the-road LTL solution, integrating both warehouse and distribution networks. This connection was smooth from both a technology and operational perspective, as over-the-road LTL is a core pillar of STG’s service offering.
The solution also enabled consolidation, transloading, and value-added services—significantly enhancing the 3PL’s customer value proposition.
Consultative, Partner-First Approach
STG took a consultative approach, working closely with the 3PL to understand their business model, challenges, and growth objectives. This collaboration ensured the solution was tailored to support both cost reduction and margin protection.
The Results
Immediate Volume Growth
With improved service offerings and competitive pricing, the 3PL achieved an immediate 21% increase in shipping volume within the first six months, validating the strength of the solution.
Stronger Strategic Partnership
The success of the program reinforced the 3PL’s confidence in STG Logistics’ ability to deliver flexible, effective solutions—solidifying STG as a trusted long-term logistics partner.
