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Trends in the Air Freight Industry You Should Know
Like any other business, the air freight industry has experienced a lot of fluctuations in its demand and supply chain since the pandemic. The 2020 pandemic put every industry under great pressure, making it really difficult for freight forwarders to operate normally. The demand for air freight is still high, but the operators are facing challenges in keeping the freight services smooth and operational.
The business looks completely different from the pre-pandemic air freight industry that was expanding rapidly. There are a couple of trends we are expecting to see in the post-pandemic world as well. It looks like the COVID crisis has set new standards for every industry, especially online shopping.
Not only has it impacted businesses, but this shift to online shopping has also brought one of the most significant transformations in the shipping industry. With most of the ports getting swamped with cargo, people are now moving to the air freight cargo to have their goods delivered to the target destination as soon as possible.
Here are a few trends we might see in the global air freight industry in the coming years.
The growth of eCommerce
This industry is not slowing down anytime soon. eCommerce was already flourishing before the pandemic, but the COVID attack led to high demand for online shopping. Moreover, now that customers are more concerned about their safety, they prefer online shopping channels instead of the traditional buying methods.
It has also opened up quite a few exciting opportunities for people. For instance, they can now compare the goods and services offered by the global brands and have their products supplied to their doorsteps. The International Air Transport Association has clearly mentioned that the cargo demand is expected to exceed the previous year’s demand.
Global Businesses on the Rise
One benefit of an eCommerce business is that it allows you to expand your outreach to a global audience. Marketing strategies, that once looked impossible, are mainstream today. More and more businesses, including the ones operating on a small scale, are now expanding on a global level.
The sudden growth of global trading has led to an increase in the demand for air freight. Retailers and wholesalers operating globally are looking for reliable and professional freight forwarding companies to have their goods delivered to their customers in the most efficient way.
Scarcity in the Air Cargo Capacity
Tight space in both air and ocean cargo has become a serious issue for suppliers since these are the only channels that offer fast shipment. According to the latest report by CNBC, Boeing has decided to turn their passenger jets into the cargo fleet to meet the sky-high shipment demand.
Not only is it building new airplanes, but the company has turned around 737 customer fleets into cargo planes to meet the growing eCommerce demands. These are mostly the outdated passenger fleets that will be used to transport the Amazon and other eCommerce products between different countries. The air freight emerging as an omnichannel is also expected to be a new trend in the coming years.
The same-day delivery service is another trend that’s expected to stay. People want their goods delivered within the same day of placing an order. Fortunately, many cargo shipping providers offer same-day delivery services, supplying the goods within 24 hours of ordering. Not only does it offer convenience, but the same-day delivery comes with many perks that make it one of the most suitable choices for retailers. Although these services cost you higher than usual for cargo transportation, they are worth the extra money.