Old Dominion Freight Line (ODFL) is a trucking company that primarily ships consumer goods. ODFL is the sixth largest less-than-truckload (LTL) firm in the U.S. based on revenue^[1]. As a LTL shipper, Old Dominion consolidates freight from several customers in one trailer-load. Compared to truckload shippers who contract an entire trailer-load to a single client, LTL companies need broad networks of pickup and delivery service centers, as well as larger “breakbulk” facilities where shipments are consolidated and separated. Companies also need complex IT systems in order to track freight status information. The asset-intensive nature of the LTL business provides a barrier to entry for new firms. Besides its primary LTL business, (which comprises ~90% of revenue)^[2], Old Dominion also offers domestic and global expedited (shipments that need to move more quickly than normal service, usually at a higher cost) and logistical services.

In 2007, ODFL operated 192 service center locations nationwide, providing full-state coverage to 39 states^[3]. The company needs an additional 60-70 service centers to flesh out its nationwide coverage^[4]. A focus on higher freight density (metrics include weight per shipment and average revenue per service center) and expansion of its service center network have helped ODFL generate one of the highest operating margins of any public LTL firm^[5].

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