Taking part in international trade requires one to have sufficient knowledge of the various factors that affect the said trade. The type of transport you decide on will affect your business hence the reason to be thorough when trading. The two main forms of transport that could be used to deliver goods are air and water transport. Airfreight is used when transporting small-sized goods which are of great value. The air freight charges tend to be way higher than that of sea freight. The cost is usually determined based on the weight while that of the sea is based on the volume of the cargo.
Pros of using air freight
It is quick. As compared to other forms of transport, air freight is the fastest especially if the entrepreneur utilizes direct service. One is guaranteed of early delivery of their goods to their intended destination.
The goods are secure. Since the goods are usually tracked by the air company just as passengers are usually tracked while on air, one is assured of the security of their goods.
Damage is less likely to occur on your goods. Once the goods have been correctly packaged, one can be assured that less damage will occur especially when they dealing with fragile and high-value goods.
Factors that need to be considered when using air freight.
Using the right logistics usually determines the success of your business. Below are the three factors that should be considered when choosing an air freight company for your business.
- An accurate tracking system. It’s very easy for your goods to be mixed up with other people’s goods. It can be quite nerve-wracking once you let your goods in the supply chain. Many people have complained of their goods never reaching the intended customer as some companies mix up some goods. You need to be in business with an air company that is known for its accurate tracking system. By doing business with such a company, your customers will definitely have great faith in you as such companies deliver the goods on time. Additionally, once the customers know they can fully trust you with any cargo, this will eliminate the need of having to spend so much on customer service.
- Their local presence. It is important to have partnered with a local presence in all the intended destinations. Having such partners enables you to have ears on foreign grounds if an issue ever occurs. Customs issues would be solved easily as they have connections in that country hence the likelihood of your goods being delayed is less. Such partners also have a good idea of the payment method that their home country allows and this gives you a competitive edge.
- The company has to have an extensive network. Being in business with an air company with a proficient transport network will allow you to reach a larger customer base even those in rural areas that are semi accessible. Such companies also help you in negotiating deals with parties involved in the supply chain. Hence you won’t need to negotiate with such parties.
- The technology used by the company. As mentioned earlier, air cargo is usually highly valuable or perishable products. In the case of the latter, entrepreneurs need to pick cargo airlines that have technologies that ensure products reach their destination spick and span.
However, entrepreneurs can choose to reduce their air freight charges by purchasing gadgets that would protect their air cargo from various issues such as temperature. For instance container liners and thermal covers by Astro Asia. Astro is a company in Asia that specializes in selling products that are meant to protect temperature-sensitive cargo from being spoilt or damaged.