With immediate effect, the logistics company will use the cargo.one online booking platform to secure transport capacity for its own shipments. DB Schenker employees working in air freight worldwide can thus opt to book the belly compartments or main decks of around 60 airlines listed on cargo.one. Meanwhile, the deadline for submitting a purchase offer for the Deutsche Bahn subsidiary is drawing closer.
As CargoForwarder Global has learned from internal sources, potential Schenker buyers must hand in their takeover bids next Thursday (22AUG24). On that day the deadline for submitting bids ends. Of the original twenty interested parties, two candidates remain: CVC and DSV.
The strategic financial investor, CVC, is supported by the Abu Dhabi Investment Authority (ADIA) and the GIC fund from Singapore.
The Danish logistics company, DSV, could leverage the greatest synergy effects with the acquisition of Schenker, which would presumably cost jobs. This could be a disadvantage in the race for the logistics arm of state-controlled Deutsche Bahn. Therefore, insiders believe that CVC has the best chances to be commissioned the role as preferred bidder, although they do not rule out the possibility that Schenker parent, Deutsche Bahn, will continue to hold a minority stake in the logistics company.
Securing access to capacity
Regardless of the pending ownership decision, DB Schenker has inked an agreement with the online booking portal cargo.one to secure transport capacity for its own shipments. The peak season for air freight is about to begin and experience has demonstrated that the demand for available capacity will gradually increase. The step also strengthens the company’s digitalization course, says Thorsten Meincke, Global Board Member for Air & Ocean Freight, DB Schenker: “We are continuing the digitalization of transport by establishing solutions that are in high demand on the market. By increasing our access to available airline capacity, we save time for our customers and make processes faster, smoother and more efficient for them.” He adds that cargo.one is the perfect solution for this endeavor, as the company has in-depth expertise in handling the large amount of real-time data.
Efficiency gains
Christa Koenen, Global Board Member for Information Technology and Digitalization (CIO/CDO), DB Schenker, offers a similar explanation: “With more than 150 years of business expertise, we aim to choose the ideal external providers to build up new options based on innovation and technology. Efficiency gains accomplished through IT, help to make the entire logistics industry more resource efficient. The more carriers DB Schenker connects to digitally, and thus automates and optimizes processes, the better the final choice for our customers will be. The concept is comparable with automated last-minute deals from airlines or travel agents.”
Top carriers account for four-fifths of the total volume
DB Schenker is connected bilaterally with the top air freight carriers via an application programming interface (API), whereby the cooperation with cargo.one creates additional digital channels, i.e. complements the existing API scheme. 75% of the total air freight volume moved by Schenker, was previously handled with its Top 20 airline partners. Providers such as Royal Air Maroc or Air Europa, which are now new to cargo.one’s portfolio, are expanding the transportation options, says Mario Arnold, Head of Global Public Relations, DB Schenker.
Big fish
The number of airlines cooperating with cargo.one has increased significantly in recent weeks. With Air Europa, Royal Air Maroc, Condor, and WestJet Cargo, four more carriers have been added to the list, enabling them to market their capacities through cargo.one at the click of a button, with full price transparency. From now on this also applies to DB Schenker, which operates 2,100 branches worldwide with a total of 72,710 employees. Last year, the company transported 1,149 million tons of air freight. That puts it in fourth place worldwide after Kuehne+Nagel, DHL Global Forwarding, and DSV. “DB Schenker is a very important partner for us, which should once again significantly increase the volumes booked through our platform,” comments Moritz Claussen, Founder and Co-CEO of cargo.one. Hence, DB Schenker is a big fish, enabling cargo.one to grow its market share and further optimize its negotiating position towards carriers.
cargo.one intends to widen its product availabilities
However, the logistics giant can currently only book general cargo shipments for its customers via cargo.one. According to Moritz Claussen, the product range is to be expanded. For example, cargo.one already offers cool passive for perishables for some users, although dangerous goods are also already offered in some cases. “We will gradually open up our product portfolio further,” Mr. Claussen told CargoForwarder Global. cargo.one also wants to improve its footprint in sustainability. “We intend to offer customers a marker for adding SAF to their air transport requirements.” But it is up to the agents to negotiate the details with their airline. “We are not the carrier, so we have no influence on the refueling of aircraft with SAF or the introduction of CO2 compensation measures,” Mr. Claussen states.
