OPEN LETTER TO ALL BUSINESS LEADERS: Say no to air freight - despite the crisis in the Red Sea
Right now, we're facing the biggest logistics challenges we've seen since the pandemic. Unrest in the Red Sea means that shipping companies are avoiding the Suez Canal and instead taking the long route around the Cape of Good Hope. This makes container freight expensive and time-consuming, something that becomes evident to us in the shoe industry as well as to other import companies. Therefore, we want to send a clear message to all business leaders who are considering air freight: don’t do it!
Many companies have set ambitious climate goals linked to halving carbon dioxide emissions by 2030, as well as reducing emissions in the meantime until 2030. It is in situations like this, when the business reflex is to save delivery times with air freight, that we must dare to stand by our promises. Air freight causes at least 20 times the emissions of container freight by boat. Seriously striving towards climate goals means that all emissions caused by the business need to be reduced. We haven't used air freight for delivery delays in many years, and since we set our ambitious climate goals, it's unthinkable, because it would double the CO2 footprint on every shoe we bring in.
Saying no to air freight comes with a price. It cost us, conservatively estimated, 30-50 million SEK in turnover during the peak of the pandemic in 2020, when large parts of our autumn deliveries were over three months delayed. The easy solution would have been to fly the products home and get them into stores as soon as possible. But our inner compass said no, and it's our inner compass that also guides our policies.
In the short term: an expensive decision. But it soon became clear that there were advantages too. When customers who hadn't received their products on time contacted us and were explained that the delay was due to our choice to avoid air freight in favor of the climate, we gained a lot of appreciation. Instead of choosing to abandon us, the vast majority chose to wait for their products.
It's easy to talk and act sustainably when there's no conflict of interest. We must do it even when it's uncomfortable.
Choose to stand by your promises and resist the temptation to maximize profit at the expense of the environment. Dare to trust that customers will show both patience and sympathy for delayed collections.
领英推荐
Now we want to give three simple recommendations to business leaders:
1.???? Say no to air freight!
2.???? Explain why you're doing it.
3.???? Encourage competitors and partners to do the same - the transition can only be made together!
David Ekelund and Tom Nilsson , co-owners and CEOs, Icebug AB
Helping You Grow International Business
1 年??????????
Sustainability Manager Outnordic (Fjellsport, Outnorth, Out Fishing)
1 年I fully support you and congratulate you in saying no to air freight! At Outnordic (Fjellsport.no, Outnorth AB, Skitt Fiske AS) we have since 2020 had the policy to say no to air freight for our Own Brand production, instead delivered from Asia to Sweden and Norway by sea. We have also made changes to reduce the downstream freight options including air freight, where possible. We hope that both partners and competitors will follow and do the same!
Freelance 3D Fashion Designer and Production consultant
1 年Love that you act according to your gut feeling and core values in line with nature. Of course it is not always an easy desicion, maybe struggling with payments and cancellations due to late deliveries. In the long run actions like this helps to raise the value of your brand. I would absolutely pay a bit extra for Icebug shoes knowing this. ??????
Sales Representative Vibram presso Vibram S.p.a.
1 年Rail freight service is another solution :) https://www.dbgroup.net/en/freight-forwarding/rail-freight