Keeping things simple, Alaska Air Cargo recently joined the growing list of carriers that are simplifying their pricing models for shipments. Now, two current surcharges will be rolled into Alaska’s base rates, and customers will now be charged only by freight weight and a single screening fee. The simplified pricing structure went into effect March 1.
“As the only major U.S. carrier to operate freighters, Alaska Air Cargo plays a critical role in moving freight throughout the country,” said Jason Berry, managing director of Alaska Air Cargo. “Simplifying the rate structure has been a top request of our customers and is the next step in the transformation of our cargo business.”
Surcharges, fluctuating fuel prices and fees have made calculating the total cost of shipping cargo complex. Alaska said it hopes this will streamline and eliminate the swings created by changing fuel prices or other conditions. The carrier also plans to automate several processes later this year, which should reduce the time it takes to process a shipment.
Alaska joins other carriers, such as Emirates SkyCargo, Qatar Airways Cargo, American Airlines, Virgin Atlantic Cargo, AirBridgeCargo and others, that have scrapped their complex system of surcharges and switch to either an “all-in” single rate or a simplified single surcharge on top of the base rate.
The new pricing program is one of a series of changes Alaska Air Cargo has made in the past year, including expanding service to 10 new markets. In early 2017, the carrier expects to take delivery of 737-700 aircraft that have been converted from passenger to freighter configuration. The change to an all-freighter cargo fleet will allow Alaska Air Cargo to increase its main-deck shipping capacity by 15 percent.
Alaska Air Cargo transports more than 85,000 tonnes of cargo annually—including seafood, mail and freight – to more than 85 destinations in North America.