E-commerce spurs airfreight growth

The global air

cargo market

is set to see

a steady

compound

annual

growth rate of

5.97% over the next five years.

According to the ‘Global Air

Cargo Market 2015 to 2019’ report

by Sandler Research, growth in

online retail stores – particularly

fashion – is set to create increased

demand for airfreight, helping to

pull the depressed industry out of

its slump.

The Sandler report, released last

month, pointed out that one of

the major challenges to airfreight

was competition from various

modes of land transportation. “As

these modes are comparatively

inexpensive and easier to operate,

businesses tend to prefer these

for their movement of goods.

However, the advent of online

retail has created the demand for

quick and reliable delivery,” reads

the report.

Increased research in the

market has also cleared the way

for airlines to claw back some

of their market share, allowing

carriers and shippers to identify

threats and opportunities in the

marketplace and incorporate these

into their strategies.

INSERT

5.97% Projected global annual air cargo

growth over next five years.