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APL expands guaranteed service to Asia-Europe trade    14/06/2018
APL continues to build out its service offering that targets shippers who are prepared to pay premium rates for a faster and guaranteed service that provides a 100 percent refund if the carrier fails to meet the delivery date.

An APL ship.

Known as Eagle GO Guaranteed, APL is extending the service to Asia-Europe and Asia-Mediterranean trades, following a successful implementation of the shipping option on the trans-Pacific, trans-Atlantic, and Oceania routes. Photo credit: Shutterstock.com.

Known as Eagle GO Guaranteed, APL is extending the service to Asia-Europe and Asia-Mediterranean trades, following a successful implementation of the shipping option on the trans-Pacific, trans-Atlantic, and Oceania routes.

The Singapore-based carrier’s Eagle GO Guaranteed service will be offered on its Asia-Europe network on July 1, giving shippers of time-sensitive cargo guaranteed space on 13 Europe-bound services from 27 Asian ports.

When the premium service was launched in the fourth quarter of 2017, APL CEO Nicolas Sartini told JOC.com that it was a new approach the carrier had developed after its CMA CGM acquisition in 2016, and the right solutions rather than the lowest price would be the way forward.

“We need to be more imaginative. This is what we are trying to do with our Eagle Guaranteed program,” he said. “The program is highly successful and we have launched a suite of guaranteed services to deliver to shippers and create value at premium rates.”

Shippers using a service in the Eagle Guaranteed program pay a surcharge, and 100 percent of the surcharge is refunded if the delivery date is not met. The service enables APL to develop time-definite business arrangements with importers of certain products when it has a critical mass of shippers at designated destinations.

“Of course, the guy who ships two containers won’t be interested, because he doesn’t need it. But for those customers with a sophisticated supply chain we want to make sure there is a just-in-time delivery that they are prepared to pay for,” Sartini said.

A money-back guarantee

The new service, which comes with a money-back guarantee, will apply to APL services loading cargo in the Asian ports of Dalian, Nansha, Ningbo, Qingdao, Shanghai, Shekou, Xiamen, Xingang, Yantian, Djibouti, Hong Kong, Hazira, Mundra, Nhava Sheva, Busan, Port Klang, Tanjung Pelepas, Karachi, Port Qasim, Hamad, Jeddah, King Abdullah Port, Singapore, Colombo, Kaohsiung, Taipei, and Jebel Ali.

Launched in October 2017, Eagle GO Guaranteed is currently offered on 22 North America-destined services from 29 Asian ports; six US-bound services from 17 European ports, and seven services destined for Australia and New Zealand from 15 Asian ports.

It is a result of ocean carriers striving to differentiate services in an increasingly commoditized business, and is leading to new offerings that range from faster ocean transits, booking guarantees, and fixed prices to further integrating landside logistics into the supply chain.

The Ocean Alliance has deployed what it calls its Day Two Product incorporating 41 services across seven trades, and Maersk Line is expanding its online platform to China-Mediterranean shippers, ship.maerskline.com. It will include China-based shippers exporting to all Mediterranean destinations via Shanghai, Ningbo, and Qingdao, the carrier’s latest move to tackle the long-standing industry problem of container no-shows and cancellations.

Hyundai Merchant Marine re-entered the Asia-Europe trade in April with the Asia Europe Express (AEX), which has the fastest Busan-Rotterdam transit in the market (by one day, at least). HMM already operates a premium service on the trans-Pacific that charges 10-20 percent higher rates for faster and guaranteed service.

 




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