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International Air Cargo Transportation Services

Overview

ProcurementIQ’s Procurement Research Reports cover thousands of indirect purchasing lines. Our data and analysis help you strategically engage and negotiate with suppliers and give you the credibility to work with internal stakeholders and executives. ProcurementIQ’s International Air Cargo Transportation Services procurement research provides price trends and forecasts, supplier benchmarks and negotiation questions all intended to give your company leverage during the sourcing process.
doneBenchmark Price
doneRFP/RFQ/Negotiation Questions
done3 Year Price Forecast
doneSupply Chain Analysis
doneSupplier Intelligence
doneSample Buyer Decision Scorecard
REPORT SNAPSHOT

International Air Cargo Transportation Services - Recent Price Trend

During the three years to 2018, the average price of international air cargo transportation services has been rising mildly at an estimated annualized rate of 1.5%. While stronger demand has pushed prices higher, falling input costs have tempered price growth substantially.The primary trend spurring price growth has been the rise in some of suppliers’ input costs. For example, fuel costs account.

International Air Cargo Transportation Services - Total Cost of Ownership

The total cost of ownership for international air cargo transportation services is medium. Airfreight shipments are subject to various surcharges and accessorial fees, which harms buyer power slightly by making their costs less transparent at the time of purchase. Some fees, such as fuel and security surcharges, are easier for buyers to budget for because they are applied to nearly all shipments.

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About this Report

This report is intended to assist buyers of scheduled international air cargo transportation services. This type of transportation, known as airfreight transportation, involves moving parcels, letters and perishable goods on regularly scheduled routes that either originate or end internationally. In this report, buyers of the service are also called shippers; suppliers are cargo airlines and are referred to as carriers. The main buyers in this market are electronics, pharmaceutical, chemical and medical device manufacturers. The main suppliers include airports, aircraft part manufacturers and gasoline wholesalers. This report does not cover passenger air transportation or nonscheduled air transportation.

Table of Contents

At a Glance

Executive Summary

Price Environment
 Price Fundamentals
  Benchmark Price
  Pricing Model
 Price Drivers
 Input Cost Drivers
 External Demand Drivers
 Recent Price Trend
 Price Forecast

Product Characteristics
 Product Life Cycle
 Total Cost of Ownership
 Product Specialization
 Related Goods
 Subsitute Goods
 Regulation
 Quality Control
Supply Chain & Vendors
 Supply Chain Dynamics
  Supply Chain Risk
  Geographic Locations
  Imports
 Competitive Environment
  Market Share Concentration
  Vendor Company Types
 Market Profitability
 Switching Cost

Purchasing Process
 Buying Basics
 Buying Lead Time
  Selection Process
  Buying-Decision Scorecard
 Key RFP Elements

Negotiation Questions

Buyer Power Score Components

Jargon & Glossary

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