Top five air forwarders control market
The US$50 billion US domestic and international heavy freight industry is highly fragmented, with the top 5 percent of freight forwarders controlling approximately 50 percent of the market, according to Jim Hartigan, president and CEO of newly formed Integres Global Logistics.
The remainder of the market is dominated by over 5,000 companies, with no formal partnerships and limited IT capability, he said.
In addition, the recent downturn in the US economy means tighter margins and increased pressure to reduce costs.
This translates into an oppurtunity for companies like Integres, because businesses are looking for shipping solutions that leverage the benefits of e-commerce, enhance existing relationships and assist with margin control, he said.
This type of integrated air cargo solution at competitive prices, with reliability and convenience, is currently only available for the largest shippers, Hartigan added.
