If you’re able to withstand a few days of incremental transit time, then you should consider trying deferred air freight. As a result, shippers can boost their revenue by lower freight costs. Furthermore, you can maximize your interests if your supply chain is adjustable to certain circumstances.
Benefits From Using Air Freight Shipping
Let’s imagine you are now on an airplane which is about to fly from the USA to Paris. Why do you choose to take an airplane? Maybe it’s because an airplane is much quicker than other transportation? Or do you think taking an airplane is much safer than taking a ship? In shippers’ point of view, they usually choose air freight to transport commodities for following reasons:
- Competitiveness: Air freight is much faster than sea freight to arrive at a destination, so shippers can handle more shipments than other freight services .
- Credibility: There’s a small chance that air freight has a barrier even if there are occasional weather conditions.
- Gain market share: Air freight can be used to send commodities to destinations quickly which can capture more profits.
Types of Air Freight
Express Air Service
This is the fastest air service option, but it’s also usually the most costly. In addition, your cargo will be shipped by a direct flight. That is to say, your air freight will be shipped once a flight is available.
Standard Air Service
The cargo will likely stop at one to three airports. This is the most common air service.
Deferred Air Service
The cargo will stop at multiple different airports until it makes it to the final destination. In detail, shippers will push back lower-priority shipments until there is space for them. Because of the slightly delayed shipment, deferred air service is the cheapest air service.
Significant Price Gap Between Traditional and Deferred Air Freight
The high-priced traditional air freight service often scares shippers away. Moreover, shippers feel distraught by the high costs if they are in a small business. Nonetheless, air freight service here comes to the rescue. A shipper can diminish almost 40% to 60% of costs than a standard program. Costing a fraction of the price can increase revenue and enhance profit.
Planning for your supply chain deadline in advance can help you to make use of deferred air with lower costs. Just make sure that you leave 2 to 3 days before the shipping deadline. But it’s still essential to keep in mind that air shipping is not an omnipotent option. Consequently, implementing any strategy should manage to meet your needs.
