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What is "Premium Service" and Why Are Container Carriers Offering It?

As summer 2021 is quickly coming to a close, peak shipping season is approaching at top speed. An exciting time for the container shipping industry, the fall and winter holidays mean business. However, it also means full ships and working at maximum capacity. That said, in order to keep high-paying customers happy, as of August, many shipping companies have decided to launch premium services that provide a faster turnaround.

In the following paragraphs, we will discuss exactly what premium service is, and why shippers might consider it.

What Is Premium Service?

An idea that has been around since the 1980s, premium services usually feature shorter transit and availability times. We’re talking 12-day Asia to US arrivals and less than 24-hour dock pick up.

Today, with various factors contributing to shipping delays, container carriers needed to get creative in order to alleviate supply chain challenges. Included in current premium services are skipped ports to provide a faster transit time; private chassis fleets to ensure chassis accessibility; and dedicated gates for guaranteed next-day container availability.

Why Is It Offered in 2021?

According to an article from Digital Commerce 360, “consumers spent $861.12 billion online with U.S. merchants in 2020, up an incredible 44.0% year over year.”

A shocking jump, the reason premium services are being offered is that this year, numbers are only expected to rise. As more shoppers purchase online, retailers will require rapid inventory. Ultimately, it is in the best interest of shipping carriers to support their most valuable customers.

In the end, being able to offer reliable ocean freight and first-off-the-ship services will lead to more business and revenue.

Interested in leveraging premium services? Contact ClearFreight today for help navigating the logistics. We are always here to help!

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