Amazon Freight Now Lets Sellers Ship LTL Inventory Directly to Fulfilment Centres
In early 2024 Amazon rolled out Amazon Freight, a live‑load LTL service that lets FBA sellers book shipments directly in Seller Central. The model cuts idle dock time up to 30%, offers lane rates about 12% lower than third‑party carriers, and requires a minimum of 5 pallets per month.
Overview
Amazon has extended its internal freight service to Fulfillment by Amazon (FBA) sellers, allowing them to schedule less‑than‑truckload (LTL) shipments straight to Amazon fulfillment centers. The change went live in early 2024 and gives sellers a single platform for inventory movement, carrier capacity, and order fulfillment. Sellers who regularly ship palletized stock should pay attention because the new option can tighten replenishment cycles and lower freight‑related overhead.
Key Points
- Live‑load model — Drivers wait while pallets are loaded at the seller’s dock and then drive directly to the fulfillment center, cutting idle time by up to 30 % compared with drop‑trailer drops.
- Integrated booking portal — All shipment creation, tracking, and documentation are handled inside Seller Central, eliminating the need for separate freight‑broker phone calls or PDFs.
- Amazon‑backed rates — Preliminary lane pricing in the Midwest shows average LTL costs 12 % lower than the same routes quoted by major third‑party carriers.
- Dedicated account manager — Enrolled sellers receive a single point of contact who can approve loads, adjust routing, and resolve exceptions within 24 hours.
- 24/7 support line — The freight team offers round‑the‑clock assistance, which is critical for time‑sensitive restocks during peak seasons such as Prime Day.
- Eligibility threshold — Sellers must ship a minimum of 5 pallets per month to qualify, a level that matches the volume of most midsize FBA businesses.
How Amazon Freight Works
- Create an LTL load — In Seller Central, the seller selects “Amazon Freight” as the carrier, enters pallet dimensions, weight, and the target fulfillment center (e.g., PHX6). The system instantly generates a quote; for a 4‑pallet load from Dallas to Phoenix, the quoted price is $1,850, compared with $2,100 from a traditional broker.
- Schedule live loading — The seller picks a pickup window; an Amazon‑partner driver arrives at the seller’s dock at the agreed time and remains until the pallets are secured. For a manufacturer in Chicago, the driver waited 45 minutes while a 6‑pallet order was loaded, then departed without returning for a later drop‑off.
Analysis & Recommendations
Why This Matters
Amazon Freight can reduce dock‑wait costs and accelerate inbound processing, as pilot data showed unload times dropping from 90 to 55 minutes. A midsize seller shipping 12 pallets/month saved roughly $3,200 in the first quarter after switching, improving cash flow and inventory turnover.
Key Takeaways
- Live‑load model reduces idle time by up to 30% versus traditional drop‑trailer LTL.
- Amazon‑backed lane pricing is on average 12% lower than major third‑party carriers in the Midwest.
- Eligibility requires shipping at least 5 pallets per month, matching most midsize FBA businesses.
- A quoted example: 4‑pallet load Dallas‑to‑Phoenix costs $1,850 with Amazon Freight vs $2,100 via a broker.
Recommended Actions
- →In Seller Central, go to the Amazon Freight portal, complete registration, and upload your standard pallet specs.
- →Audit the last six months of LTL invoices, compare each lane to Amazon Freight rates, and flag routes with >10% cost savings.
- →Pilot the highest‑volume lane (e.g., ATL → LGB) by creating one Amazon Freight load and one broker load, then compare total cost, transit time, and...
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