New collaboration aims to create a business model for future e-commerce logistics gateways
With the growth of online shopping on a global scale, the need for efficient and innovative e-commerce logistics solutions is paramount. In response, Saudia Cargo, Cainiao, and Worldwide Flight Services (WFS, a Member of the SATS Group) have announced that the three parties will reinforce and increase their collaboration with a determination to optimize the efficiency of global logistics operations.
This collaboration strengthens their existing relationship, focusing on optimizing logistics processes by streamlining operations and adopting logistics innovations.
A key component of this collaboration is the establishment of a dedicated area in the air cargo station of Cainiao Liege eHub in Belgium, the company’s European regional hub. WFS/SATS, in close collaboration with Cainiao, operates in the air cargo station.
Robust collaboration
Saudia Cargo and Cainiao boast a robust collaboration, with a history that spans several years. The latest agreement reinforces this longstanding relationship by giving precedence to specific Saudia Cargo freighter flights originating from Hong Kong and bound for Riyadh and Liege. This strategic move is meticulously crafted to address the burgeoning logistics demands in these key regions, further amplifying the efficiency of e-commerce deliveries.
Additionally, the contract extension to WFS/SATS for handling over 50,000 tonnes annually on flights connecting Liege and Riyadh underscores Saudia Cargo’s commitment to operational excellence and reliable logistics services.
Natural evolution
“Our collaboration with Cainiao and WFS/SATS represents a natural evolution of our strong collaborations. By building on our existing commitments, we are poised to redefine the industry landscape, offering innovative and customer-centric solutions. Utilizing a meticulous process involving pre-built ULDs, we facilitate an uninterrupted supply chain, supporting Cainiao in achieving their key performance indicators,” noted Teddy Zebitz, CEO, Saudia Cargo.
“Cainiao is committed to transforming the logistics industry through continuous innovation to enable a seamless e-commerce experience and we are delighted to find close partners like Saudi Cargo and WFS/SATS on this path,” commented Eric Xu, Vice President, Cainiao Group.
Operational excellence
“This three-party collaboration leverages operational excellence skills and requirements from the airline, cargo handler, and e-commerce logistics perspectives, and will exemplify our commitment to innovation, speed, and real-time information for the future of the e-commerce logistics ecosystem,” said John Batten, CEO, Europe, Middle East, Africa and Asia (EMEAA) WFS.
The operations will be effective on 1 March 2024. The strategic collaboration between Saudia Cargo, Cainiao, and WFS/SATS aims to make a transformative leap in global logistics and to set a new benchmark which propels cross-border logistics into a new era, driven by efficiency and innovation.