Quest for Quality 2022: Air Carriers/ Air Freight Forwarders

Leading up to the pandemic, air cargo had been experiencing a wrath of fundamental pressures: record high rates, tight capacity, mounting congestion at key gateways, and ever-present labor issues. However, the Russian invasion of Ukraine now takes the industry into unprecedented territory.

Prior to the invasion, indicators pointed to prevailing optimism, with tight capacity conditions loosening. Executives believed that this year, particularly in the second half, passengers would return to air travel, which would mean additional passengers flights.

Given that 50% of all air cargo is flown on passenger flights, capacity would become available for additional belly freight. The air cargo market has been operating at a 10% capacity deficit because of reduced passenger flights due to ongoing outbreaks, and more capacity would, technically, lower rates.

As Karen Thuermer reported last month as part of our comprehensive State of Logistics Report, recent WorldACD air cargo market data showed that the average worldwide USD yield/rate in the first quarter of 2022 was 29% higher compared with the same quarter a year earlier.

During that quarter, the year-over-year yield/rate changes (measured in USD/kg) were up +37%, +23% and +28% respectively. That trend did not change in April. In fact, the last two weeks of April showed an increase in capacity of +1% compared with the preceding two weeks.

All factors that curtailed the growth recovery in March continued to affect the industry in April, with volumes at -8% year-over-year, reports CLIVE Data Services. Airfreight rates remained elevated despite airlines adding capacity on summer passenger schedules.

And while this turbulence continues to permeate the skies above, we’re happy to report that the 23 carriers and service providers taking home Quest for Quality gold this year were able to find fairly smooth air over the past year and maintain world-class service levels.

Of the 12 air cargo carrier winners, Emirates SkyCargo (50.43) and Singapore Airlines (50.38) posted the top two weighted overall scores this year. Emirates put up the highest number in the On-time Performance attribute (12.48), while Singapore scored best in Value (11.41) and Information Technology (9.52) and tied with Turkish Cargo with the top attribute score in Equipment & Operations (9.44). Korean Air score top mark in Customer Service (10.95) this year.

FedEx Express (43.28) and DHL Express (42.77) both take home the Quest for Quality gold in the Air Express category this year, while nine freight forwarders win gold in this always hotly-contested category. Of note, Pilot Freight Services posted a 57.51 overall weighted average this year, which is one of the higher scores recorded in the 2022 survey. 

Air cargo carriers (Bold indicates leader in attribute category)

Source: Logistics Management, Peerless Research Group (PRG)

Air express carriers (Bold indicates leader in attribute category)

Source: Logistics Management, Peerless Research Group (PRG)

Airfreight forwarders (Bold indicates leader in attribute category)

Source: Logistics Management, Peerless Research Group (PRG)

2022 Quest for Quality Winners Categories

• 39th Annual Quest for Quality Awards 2022: Service prevails through trying times
• LTL
• TRUCKLOAD
• RAIL/INTERMODAL
• OCEAN CARRIERS
• PORTS
• 3PL
• AIR CARRIERS and FREIGHT FORWARDERS