**London**: The airfreight sector is experiencing a transformative shift as General Sales and Service Agents expand their roles amidst geopolitical tensions. Emphasising agility and technology, they enhance operations and adapt to changing trade patterns, ensuring seamless cargo solutions for airlines and logistics providers.
In recent months, the airfreight sector has witnessed a pronounced shift in the role of General Sales and Service Agents (GSSAs), largely spurred by ongoing geopolitical tensions. These changes have propelled GSSAs beyond their traditional functions, allowing them to serve as crucial strategic partners for airlines and logistics providers. Their expanded roles now encompass market intelligence, innovative route planning, and the integration of digital logistics solutions, facilitating adaptations to fluctuating trade patterns.
Prithviraj Singh Chug, Chief Executive Officer of Group Concorde, elucidated the significance of this evolution, stating, “Airlines rely on us to ensure continuity in cargo sales and operations, especially in markets affected by border closures and evolving bilateral.” He noted the necessity of leveraging local expertise and rapid deployment of solutions to navigate these complexities effectively.
The sector’s shift towards agility is underscored by Simona Faighel, Deputy General Manager at Air Cargo Services, who highlighted the increasing demand for “agile, tech-savvy, and regionally connected GSSAs.” These developments indicate a clear trend: as global trade routes continue to shift, the relevance of GSSAs is likely to grow.
The heightened competition in the airfreight market has been primarily driven by changes in capacity following the COVID-19 pandemic. Jean Ceccaldi, CEO of ECS Group, pointed out that the transatlantic market has experienced growth due to the need to reroute traffic from Eastern corridors. Meanwhile, the transpacific market has surged, largely due to escalating e-commerce demand. Ceccaldi noted that this intensifying competition necessitates the adoption of smart and scalable solutions.
To address the rising demand for specialised freight, including perishables and pharmaceuticals, GSSAs have expanded their service offerings. This diversification includes investments in cool chain solutions, with temperature-controlled storage and handling now standard at major logistics hubs. Faighel described how real-time temperature monitoring sensors are being integrated to provide shippers with visibility and ensure compliance with regulatory requirements. Additionally, manufacturers in this segment are now offered expedited handling and expedited customs clearance to manage tight delivery timelines.
“We are integrating real-time temperature monitoring sensors to provide visibility to shippers and ensure compliance with regulatory requirements,” Faighel remarked. To further safeguard sensitive cargo, Singh noted that GSSAs collaborate with certified handling agents, emphasising the implementation of rigorous temperature-control protocols that adhere to global standards like GDP and CEIV Pharma.
Despite these advancements, the air cargo sector faces challenges. Long-term contract negotiations have become increasingly intricate due to fluctuating air cargo capacities and market volatility. “We address this by focusing on crafting the appropriate formula for each airline,” Lantrok expressed, underscoring the need for tailored approaches that respect the individual identities and commercial goals of the airlines they represent.
The market’s unpredictability has prompted a shift in shipper behaviour, especially among key European clients, as they adopt a cautious wait-and-see stance amid global instability. This trend, as Ceccaldi highlighted, has slowed down commercial momentum, impacting sales and pricing strategies and necessitating agile planning.
Digital innovations have further transformed the landscape of airfreight. The rise of digital freight forwarders and next-gen booking platforms has reshaped operational strategies for GSSAs. Ceccaldi emphasised the pivotal role of technology, stating, “Technology is at the heart of our model.” With advancements in AI and automation, GSSAs are evolving from manual agents to digital logistics providers, enhancing operational efficiency while optimising customer service.
Singh detailed the significant investment in a digital booking platform which supports real-time bookings and performance tracking. He asserted, “We’ve integrated an external system to further enhance our technological edge and ensure operational efficiency across our network.” This showcases a commitment to utilising modern tools for improved logistics management.
Despite the early stages of AI and automation adoption in the GSSA sector, stakeholders are developing capabilities that complement their strengths in relationship-driven service. Lantrok reinforced this notion, stating, “We firmly believe that our core strength lies in our people,” highlighting the continued importance of human engagement in the air cargo business.
As GSSAs continue to adapt to rapidly changing dynamics and leverage technology in their operations, they remain focused on addressing industry challenges while providing enhanced freight solutions to their partners.
Source: Noah Wire Services