Embracing the Digital Wave in Air Freight Forwarding

Embracing the Digital Wave in Freight Forwarding

As we navigate through 2023, the freight forwarding industry is witnessing a significant shift. The traditional ways of managing logistics and supply chains are being replaced by innovative digital solutions. The industry is increasingly leveraging data analytics to streamline operations, improve efficiency, and meet the growing demands of the market. This transformation is not just a passing trend but a fundamental change shaping the future of freight forwarding.

The Power of Data Analytics in Freight Forwarding

Transforming Decision-Making Processes

Data analytics is revolutionizing the decision-making process in freight forwarding. By analyzing historical and real-time data, freight forwarders can make informed decisions, predict market trends, and optimize their operations. This ability to make data-driven decisions is particularly beneficial for small to medium freight forwarders, enabling them to compete with larger players in the industry.

Data Collection and Retention

In short, all data is important! The more granular data you collect the more opportunities you create to effectively use it. That //said, starting with a coherent strategy about how to use the information you collect can inform what’s most important.

Different Perspectives in Data Analysis

Data can inform decisions in different ways. For example, you can look at your data from a business perspective, a customer-centric perspective, or an activity perspective and learn different things from each perspective.

As an example, from a business perspective you could ask, at the highest level, is my air freight business profitable? and make resource allocations decisions based on that.

Using a customer-centric perspective, you could ask, is the air freight for a certain account profitable compared with other revenue streams or other accounts? and make decisions about supporting or nurturing that account in response.

Finally from an activity perspective, you can ask, what are the costs of each activity related to air freight ? (quoting, trucking, warehousing, etc) and tune each cost to maximize the efficiency and profitability of the department.

The same data informs each perspective but the key is being able to allocate the data towards what you’re trying to investigate. Using each perspective allows you to most effectively run and grow your business.

Data Analysis Quick Wins

Using data analytics to drive decision making does not need to be complicated. Many quick wins exist that can drive major performance improvements.

A few suggestions:

1. Track your win rates per each shipper or agent to inform how to allocate resources
2. Review air freight pricing trends to drive decisions to spot quote or secure contract rates
3. Analyze your cost centers such as warehousing regularly to understand the impact on shipment profitability
4. Request feedback from your customers and track that to inform account performance.

Pelicargo : Leading the Digital Transformation

Pelicargo is at the forefront of this digital transformation. Our platform leverages advanced data analytics to provide small to medium freight forwarders with the tools they need to thrive in the digital age. From real-time tracking to predictive analytics, Pelicargo.com is shaping the future of freight forwarding.

FAQ Section

• How is data analytics improving the freight forwarding industry?

Data analytics is enabling freight forwarders to make informed decisions, predict market trends, optimize operations, and enhance customer satisfaction.

• How can small to medium freight forwarders benefit from data analytics?

Data analytics can level the playing field, allowing small to medium freight forwarders to compete with larger players. It can help these businesses optimize their operations, reduce costs, and improve service delivery.

• How is Pelicargo leading the digital transformation in freight forwarding?

Pelicargo leverages advanced data analytics to provide real-time tracking, predictive analytics, and other digital tools that are shaping the future of freight forwarding.

Conclusion: The Future is Digital

The freight forwarding industry is undergoing a digital transformation, and data analytics is at the heart of this change. As we look to the future, it's clear that the ability to harness the power of data will be key to success in this industry. For small to medium freight forwarders, embracing this digital wave is not just an option but a necessity. With platforms like Pelicargo.com leading the way, the future of freight forwarding is bright.

Sources:

• Maersk: Key trends in freight forwarding in 2023
• Shipmnts: Freight Forwarding trends to watch out for in 2023