In our work, we are now beginning to see some clarity about how the evolving ecommerce business model is impacting air cargo and rapid delivery logistics.  Increased volume for next-day and two-day deliveries is causing a fundamental change in some logistics patterns, and we see this trend growing.  This is fast-moving and a new paradigm is being developed which is creating business opportunity around some airports that had been previously overlooked by the market, specifically in North America   We see this phenomenon spreading to Europe as well, although the business model drivers there are about 2-3 years behind the US in many ways, in some cases even further behind.  New ecommerce air cargo business is currently governed by proximity to established distribution centers and fulfillment facilities.  The upsides for the airport and its partners are both obvious and not so obvious.  It’s quite clear that new cargo-only aircraft will enhance a smaller airport’s revenues – from landing fees, fuel changes, etc.  What’s not so obvious is the corresponding potential business that could be developed alongside enhanced air service, better airfield and support infrastructure, and also on-site and off-site but proximate infrastructure.  We will be commenting more on this subject over the next months to highlight the opportunity for strategically located airports and for asset enhancement in districts around these airports.  An exciting time indeed.

Atlas Air announces five-year contract with FedEx