Know the Costs and Know How To Save on Air Freight Shipping

Air freight shipping, in most cases, is fairly complicated when it comes to pricing. But there are of course some areas when all you need is to look at the price list and voila- your parcel is already in mid air.

Letters and parcels are often priced based on the weight, size and the service level the shipper chooses. These are often fixed and seldom would one find great discrepancies in pricing. But as for air freight shipping prices, it is no good to be surprised at how high one item can cost.

The National Motor Freight Traffic Association has provided a system of pricing shipments known as the National Motor Freight Classification. This works on the principle of creating classes for items and for each class are some general prices.

Items are basically grouped into various types to make listing easier. This grouping is based on qualifications like loadability, mixed-environment appropriateness, density and a number of other factors. In general, freight classes apply to all items- from express letters to huge machineries including helicopters and planes. Freight classes range from 50 to 500.

Freight shipments are rated by means of “per one hundred pounds” parameter. However, other air freight forwarders make use of per hundred weight system and cwt.

Each freight class is able to provide discounts on the base rate. Plus, there is always a discount given on the transportation rates.

Nevertheless, such discounts can be set off by charges that are often treated as accesorial yet crucial to the base rate that would later come up for the shipment. The most commonly found accesorial charges and surcharges are discussed below.

To save on these charges, it is best to know your grounds first and study in full the terms and conditions of air freight shipping as provided by the freight company.

Lift gate- When there is no forklift or loading dock available, a lift gate service is billed to help drivers load and unload the shipments for residential pickups and deliveries or commercial pick up and deliveries. To avoid complications during the process, it is best that you notify the air freight service provider in case you see the need of a lift gate since trailers are rarely equipped with this item.

Additional fees in reconfiguring routes- Most air freight shipping are designed to follow a route of some sorts. If you require the company to take another route apart from what is earlier set, they would most likely charge you with additional fees for this extra work.

Extra charges on inside pick up and delivery- When you need to have your shipment picked up or delivered inside an establishment or a building, this will impede the carrier to finish his route on schedule. Thus, to set off the expenses they are likely to use, carriers will require you of some additional charges.

Residential pick up and delivery- To off set the costs incurred for transferring shipments to smaller trailers, most air freight shipping companies require extra charges on residential pick ups and deliveries. This is the case since most local laws restrain larger sizes of trucks from entering residential areas.

There are literally hundreds of possibilities for extra payments that would stock up on your final bill. For Less-than-Truckload and Truckload shipments, it is advisable that shippers seek for intermediaries who would not only guide them through the process but would also realize for them some forms of savings.

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Factors that Affect the Air Freight Rate

As with all expenses, air freight rates change all the time. This is because of the fact that many factors affect the pricing of various services and resources used in air freight. Learning about the different factors affecting the air freight rate could help you anticipate changes in the rate. This means that you will be able to maximize the costs of shipping.

What factors affect air freight rates?

1) Demand – demand affects the prices of everything. The more that people want to obtain a certain service, the higher the cost is going to be. This is the basic principle of economics. When the demand for certain shipping services rises, the air freight rates rise with it.

Demand determines the willingness of a company to part with its product. Demand determines the price because hey, if people are willing to pay more for your product, then you would be willing to sell it at the highest possible price, right?

2) The containers – the shipping containers, also known as the Unit Load Devices are designed to protect your cargo from the damages caused by the journey. Different items require different containers. If you are looking for a special container to protect your items, it could add a bit more to your air freight rate than what you anticipate.

The containers used in an air freight service are usually suited to different types of cargo. This means that the type of item you are shipping will affect the air freight rates. If you want to include additional security measures to protect your cargo, then you would have to pay more money. This is often applicable if you are shipping pets, livestock, or works of art.

3) Manpower – the amount and specialization of people required to ship your products will also affect the air freight rate. This means that the type of service you require will change the air freight rate. Do you wish your items to be handled by experts who will take care of your items, then you might need to add some cash in order to cover the additional manpower.

Manpower also includes the various people who will handle the paperwork of your cargo. Obviously, it will take the expertise of more than one person to make sure that your cargo remains as safe as possible.

4) Speed – this factor is second only to demand on its effects on the air freight rate. It is often the case that companies have different air freight rates based on the speed by which they can deliver your items. There are companies which offer faster delivery services for additional charges. There are companies who can deliver your items in one day, and some companies can even deliver your goods within a few hours. The speed of delivery is very important because it is often the case that customers stick with an air freight service because of the speed by which they can get the job done.

Of course, there are many more factors that affect the air freight rates charged by various companies. These main factors, however, should prove to be enough information in order to help you save a lot of cash. When you study these factors, you would be able to budget your money easier and thus, maximize your resources. This means that you can ship more goods at lower air freight rates.

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Air Freight Company: The Solution Provider

In a fastly globalizing world, there’s absolutely no need to tarry and be left behind in the rat race. Any measure to get into the next lap should be taken to maximize one’s resources and the logistics that says the need.

Shipping companies can no longer make use of the traditional (and almost obsolete) methods these days. Yes, shipment can still be done through rail roads and highways yet when time is the opponent, we can’t bargain to give away our investments to losses- especially those that neatly state the make-or-break shots for the company.

The global arena is much too open for anyone who has the means to take its opportunities. For already-established shipping companies, there is no other way to make things better but to fly on air.

You heard it right- on air.

This probably is the reason why air freight is becoming the ultimate and best means of making your stuffs travel.

From simple mails to huge military tanks, you are sure to find one way to ship everything you want. Air freight companies simply control the supply chain of various commodities and items that require faster delivery.

Freight is basically the term used for describing the cargoes are taken via air. Shipments then are categorized into various divisions to provide better services and to help separate a number of services into their own fields which require special treatments and conditions.

An Air Freight Company, like all other establishment of service, is one that makes fortune through linking you towards service providers or providing the services themselves. Some companies have all the machinery and facilities to offer you all kinds of air freight services. While others, who are relatively small or just chose to focus on some fields, can provide you customized services. These services may be their own innovation or may offer you some services that may not be found with other similar companies.

Since 1980, many are already speculating that trucking and forwarding business will be shifting to air services ones the global need arises. However, the realization of this sign only came recently when more advanced forms of plane cargoes, larger air planes and other modes of air transportation have emerged.

Air freight companies cut the coast-to-coast transit time by channeling services through air. There are basically some types of services that may be provided with you all by a single air freight company or by several companies that specialize in certain areas of air freight.

An air freight company normally separate shipment into categories using the following as their basis:

The item- as we have said earlier, air freight companies can ship anything from mail to equipments of any size. This must be specifically priced according to the system provided by National Motor Freight Classification.

The kind of cargo to be shipped- Say for parcel deliveries, it should only include items that are relatively small to be packed into boxes. Or for super cargo deliveries, items include cars, planes and a variety of larger equipments.

The duration or time it will take for an air freight company to ship the goods- A number of air freight companies offer overnight or next-day delivery. This normally applies for shipments of smaller items like mails and parcels. However, if we are talking of large items, the shipping of the item could take anywhere from 3 days up to the number of days indicated on the terms and conditions of a specific category.

Seeing the big picture, we can tell for sure that we now have some great solutions of shipping our stuffs. May it be your Christmas gift to a friend or shipment of supplies and facilities for your industry.

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The Advantages of Availing Air Freight Charters

For years, transporting goods by air is deemed to be the most expensive option there is for businessmen. However, time changed and newer efforts to make this means a cost effective measure has proven its worth. People now are fastly becoming involved in air forwarding business, either they may be the shipper or the shipment service provider.

Air freight is deemed to be the ultimate solution to all forwarding needs. Additionally, it is also considered as the most lucrative option for transport. While air freight may not appeal to lower rates, people considering this choice should look forward to long term profit rather than on the initial expenses.

Upfront businessmen may see the expenses that entails setting up a newer system using the means as provided by air freight companies. The reasons are logical yet the gray line that sets boundary between profit and over-all efficiency rarely determine the actual playing field. Nonetheless, the big picture tells us how the whole game actually works.

With the speed and time resolved using air freight services, businessmen can obviously set leverage over those that do not use the same system. Imagine if your goods reached the market 3 or fewer days after the shipment. Imagine how much money that could generate. Then equate this to the losses you incurred by slower modes of transporting goods. See how much you have gained using air freight services against your losses with not availing their use.

Nevertheless, many are still a bit skeptical with how this system truly works regardless of the fact that many have already shifted from not-so-fast modes of deliveries towards using air freights for shipment of goods. But skepticism is not holding back the trend. After all, it is the global economy that we are working with here.

Having these ideas in mind, its plain to see how advantageous the use of air freight services can be. Now, if you are into frequent shipments, it is best to find air freight charters that could cut the costs at some degree.

The internet has provided a sort of marketplace for air freight charter providers and shippers who would want to avail of such services. It covers the most comprehensive details and information on resources pertaining to air freight charters.

If you are a bit wary of making an approach, there will always be some brokers on online marketplaces that could help you out. Be careful though that the brokers or the air freight charter service provider you find is one that would not only help you in the process but could also dole you out from unwanted expenses.

Aside from the savings that you could get when you charter your leased or bought air freight charter, you could maximize savings by contacting intermediaries that would do all the works for. These works include the arrangement between you and the service provider, contacting all entities required to get things done and for resolving the extra payments and surcharges that you might incur if you are to work on your own.

Remember that there are hundreds of possibilities for additional charges that would be added to your final bill. It is best that you do not fall victim on this. Instead, you should find people that could help you get around from them, or better yet to save you from such charges and earn you in the process.

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Types of Air Freight Options

Types of Air Freight Options

Due to the inevitable changes occurring around the globe and the need to quickly send and receive various items across countries, the airline industry has birthed a new way of shipment- air freight.

Air freights are basically cargoes on the shipment which are typified into various categories to make shipping more organized and easier. Some primary basis of categorizing air freight are:

§ Type of the item
§ How large is the item, in terms of the number of items in the shipment and size, and,
§ The number of days or hours it takes one shipment to arrive on its pointed destination.

Shipments, on the other hand, are categorized into the following:

Household goods include art pieces, furniture and other similar items which are primarily transported using Household Goods (HHG) carriers such as North American Van Lines and Bekins.

The “Express” category, on the other hand, include personal items and small business goods which are often considered as overnight shipment (or express shipment, express letters, and overnight express). Such transports are carried by shipment companies like FedEx Express, UPS and DHL.

Since most items falling under this category are relatively small and don’t normally weigh heavier than a couple of pounds, they often come in the carrier’s own packaging.

Service levels vary depending on the service offered by the carrier or the personal choice of the shipper. These normally travel by air and may be delivered on the exact day it was sent to the carrier or may take several days of travel.

Packages that are slightly larger and heavier than express items are considered as parcels. These include boxes of shipments, regardless of the content. Carriers like UPS and FedEx Ground provide the services for this type of cargoes. Parcels cover most of the business-to-consumer items and services and don’t often exceed 100 pound-weight category. Since these are relatively small, they often come on the shipper’s or carrier’s own packaging.

Types of services on this category also vary. However, a number of ground shipping can travel for 500 to 700 miles a day in around 3 to four days, depending on the service rendered by the shipper or the service option the customer chose. Such shipments don’t often travel by air, instead they move through road and rail.

Freight shipments cover the largest cargoes in the industry. It is subdivided into two major categories, mainly: LTL of Larger-than-truckload freight and TL or truckload freight.

Less-than-truckload shipments are also known as motor freights. These often cover the bulk of business to business transactions. The range of services vary from carrying 100-pound items up to those not exceeding 15 000 pounds. Since LTL trailers are just as long as 28 inches, most air freights of this kind cannot exceed this length.

Unlike with smaller packages, shipments don’t often come in company packaging.

Truckload freight covers larger shipments from 15 000 pounds to 40 000 pounds with a maximum length of 53 inches. This type of air freight differs from all other categories since these don’t normally stop along the travel and are not intermingled with other shipments. Most are frequently arranged via freight brokers and online marketplaces.

When availing this type of air freight, it is best that one understands in full all the terms covered including the claims, pricing and insurance.

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