Unpacking the Key Components of Air Freight Costs
In the fast-paced world of global trade, air freight plays a pivotal role in ensuring the swift and efficient movement of goods across borders. However, understanding the nuances of air freight charges can be complex, often leaving businesses puzzled about the factors influencing their shipping costs. At Scanlon Freight, we strive to demystify this process, providing transparency and expertise to help our clients navigate the intricacies of air freight. This blog delves into the critical components that determine air freight charges and how Scanlon Freight ensures competitive and transparent pricing.
Key Factors Influencing Air Freight Charges
Weight and Volume
- Chargeable Weight: Air freight charges are calculated based on the chargeable weight, which is either the actual gross weight or the volumetric weight, whichever is greater. The volumetric weight is determined by the space a shipment occupies in the aircraft, calculated using the formula: Length x Width x Height (in cm) / 6000.
- Unit Load Devices (ULDs): At Scanlon Freight, we offer a wide range of ULDs to optimise space and reduce costs. Properly utilising ULDs can significantly affect the overall chargeable weight, leading to cost savings.
Destination and Distance
- Route and Distance: The cost of air freight is influenced by the distance between the origin and destination airports. Longer distances generally incur higher charges. Additionally, certain routes may have higher demand or fewer flights, affecting pricing.
- Airport Fees: Different airports have varying handling fees, customs duties, and security charges, contributing to the overall cost. Scanlon Freight’s global network ensures we select the most cost-effective routes and airports for our clients.
Type of Goods
- Nature of Cargo: The type of goods being shipped plays a crucial role in determining air freight charges. Perishable items, hazardous materials, and high-value goods may attract higher fees due to special handling requirements.
- Dangerous Goods Handling: Scanlon Freight specialises in the safe and compliant transportation of dangerous goods, ensuring adherence to all regulatory requirements while maintaining competitive pricing.
Seasonality and Demand
- Peak Seasons: Air freight charges can fluctuate based on seasonal demand. During peak seasons, such as the holiday period or major shopping events, higher demand for cargo space can lead to increased rates.
- Market Conditions: Global economic factors, fuel prices, and geopolitical events can impact air freight rates. Our team at Scanlon Freight continuously monitors market conditions to provide our clients with the most competitive rates.
How Scanlon Freight Ensures Competitive Air Freight Pricing
Comprehensive 24/7 Customer Portal: Our state-of-the-art customer portal offers real-time tracking and transparency, allowing clients to monitor their shipments and associated costs. This level of visibility helps in budgeting and planning.
Customised Solutions: At Scanlon Freight, we understand that each shipment is unique. We offer bespoke solutions tailored to specific requirements, whether for general cargo or complex project logistics. Our personalised approach ensures optimal cost-efficiency and service quality.
Expertise and Global Network: With years of experience and a robust global network, Scanlon Freight leverages its relationships with airlines and ground handlers to negotiate the best rates for our clients. Our strategic partnerships enable us to offer competitive pricing without compromising on service.
Advanced Freight Consolidation: We utilise advanced freight consolidation techniques to maximise space and reduce costs. By combining multiple shipments into a single ULD, we ensure efficient space utilisation and cost savings for our clients.
Conclusion
Navigating air freight charges can be challenging, but with Scanlon Freight’s expertise and transparent approach, businesses can rest assured their shipments are in capable hands. By understanding the key factors influencing air freight costs and leveraging our bespoke solutions, clients can achieve cost-effective and efficient transportation of their goods.
Contact Scanlon Freight today to learn more about how we can optimise your air freight needs and provide competitive, transparent pricing.