Spreading their wings General sales and services agents (GSSAs) continue to make deals and to sell cargo capacity whatever


the market. However, they offer much more than just sales of freight space, and one way in which they are expanding is by collaborating with new types of partner, such as charter brokers


S


teve Dawkins, chief operating officer of globally active GSSA Air Logistics Group, believes that the air freight industry is changing, and the require- ments and role of the general sales


agent are changing along with it. The current crisis has created pressure in the


industry, of course, but so have long-term struc- tural changes in the business, he observed – most notably with shippers now much more


cost-conscious and much more aware of supply chain complexities. That has led to a partial drift away from air freight shipping to ocean ship- ping, Dawkins pointed out, and meant that everyone involved in air freight has had to keep costs down to an absolute minimum. Moreover, with massive amounts of capacity


being fed into the aviation industry through deliveries of new aircraft of various sorts by Boe- ing and Airbus, he questions whether demand for air freight space can keep up with rapidly growing available capacity. Of course, all that pressure


on costs and on rates creates a consequent pressure on GSSAs, but that is not to say that there is not an important role to be played by an efficient sales agent. Indeed, by offering carri- ers significant cost reductions when they outsource, sales agents can perhaps come into their own during tough times.


Sales agent/broker tie-up offers potential gains


General sales and services agents are now being much more creative in who they choose to do business with. Charter brokers are one


link in the supply chain that they are now collaborating with, as evidenced by the recent tie-up agreed between Amsterdam-based GSA Active Airline Representatives and NEO Air Charter (ACW, 2 July, page 1). According to Active’s man-


aging director, Ton Smulders, it has already placed charter work with NEO and has han- dled “a number of enquiries which we are sure will result in assignments.” He went on: “We are extremely happy with


Smulders: “excellent opportunities to offer charter solutions worldwide”


NEO’s professionalism and the quick way they react on the charter requests we have had so far. “As we only work with for-


warders, they are happy to place their requests with us,” he noted. “We have also been able to share our experience with NEO in Frankfurt, having provided ramp and loading support on two charters from Amsterdam.” Plus, Smulders remarked:


“Because they have formed the Global Charter Alliance with partners Pacific Airlift in Singapore and The Charter


Store in the US, we also have excellent oppor- tunities to offer charter solutions worldwide.”


ECS enjoys steady business across the portfolio


ECS, a globally active general sales and services group, is seeing relatively steady business, despite the challenges facing cargo carriers. China has been a big priority for the group,


notes ECS chief operating officer Adrien Thominet, as it builds its presence there and develops its already solid relationships with Chi- nese airlines. With volumes on the Africa sector up of late – thanks in part to the increased frequencies


being offered by partner Brussels Airlines – and the Middle East and Asia Pacific markets remaining fairly stable for ECS, the second quarter of this year was a fairly good one for the group. Certainly, results were up on the April - June period of 2011. Looking forward, some key tenders are cur-


rently on the table, Thominet concluded, and one particular focus will be South America, especially Brazil.


Furthermore, while Dawkins recognises that


the next year at least is certain be a very chal- lenging one for all involved in the freight industry, the offering of Air Logistics Group is particularly strong right now, he enthused – backed up as it is by its worldwide network and a firm financial foundation that ensures a pre- dictable, punctual cash flow for airlines employing the GSSA for their cargo sales. That global network continues to grow, he


observed, Air Logistics Group having opened a new office in Tbilisi, Georgia, on 1 July as well as a new branch in Nairobi, Kenya, shortly beforehand, on 1 March.


The group now boasts a total of 57 offices in


34 countries, Dawkins pointed out. That num- ber will reach at least 60 by the end of the year, he promised, and the figure is expected to reach as many as 70 during Air Logistics Group’s 20th year in business (it was established in the UK in 1994). The group will continue to reinvest profits


into the business, Dawkins added, particularly into modern IT infrastructure and systems that guarantee an efficiency that is a necessity if Air Logistics Group is to remain a competitive option to cost-conscious cargo carriers in these tough times.


➤


13 August 2012


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