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China Southern Airlines Enters Express Market
2013-04-23

By Leon Zheng, WCARN.com | Apr. 23, 2013

On April 23, China Southern Airlines (CZ) announced that it is going to introduce a new cargo service called China Southern Express, effective from May 1.

With the rapid development of e-commerce, the business in logistics sector grows quickly as well. However, due to some restrictions in air routes, aircraft types, regions, etc., goods have to go through a long time to transfer from sellers to buyers. China Southern Express is expected to stimulate the development of express industry in China.

China Southern Express Will Operate in 12 Domestic Cities in the Initial Stage

China Southern Express service promises that goods can be transported to its destination safely and effectively on a specific flight designated by the owner of the cargo. In case goods can't be transported on the designated flight due to China Southern's fault, the airline will refund part of fees back to customers. This service initiative is an industry first in China. "China Southern Express aims to provide the fastest air transportation service for customers. Our Coustomer's goods will be delivered to its domestic destination in one day." Zhao Fengsheng, manager of Cargo Department of China Southern Airlines introduced.

In the initial stage, this new service will be introduced in 12 domestic cities among which there are direct flights operated by China Southern Airlines. These cities are Urumqi, Shenyang, Shenzhen, Harbin, Changchun, Dalian, Zhengzhou, Wuhan, Changsha, Haikou, Shantou and Guangzhou. Then, the express service will be introduced nationwide gradually.

China Southern Express service will deploy business information system to measure bellyhold's capacity in different aircraft, and guarantee the goods to be transported by designated flights. Aircraft of different types have different limits for cargo capacity, for instance, Boeing 777 aircraft can transport a maximum of 4,000 kg goods, while Boeing 737 500 kg.

China Southern Express Will Promote the Transformation of China Southern Cargo

China Southern Express is positioned as "first class" service for cargo by China Southern Airlines, which has many advantages. Besides offering designated flights for transporting goods, China Southern's customer can enjoy the following services: VIP counters, priority in booking, check-in in advance, extended time limit, etc.

China Southern Airlines admitted that, the introduction of China Southern Express is to increase its market competitiveness in high-end transportation market. The airline expects that it can have a 15% market share within 2 years after the new service is officially put into operation.

In recent years, China Southern Airlines has been looking for the ways to transform its cargo service. The introduction of China Southern Express is regarded as a strategy to promote the transformation in the airline's cargo service.



 
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