The traditional GSSA model is changing as airlines gain greater access to markets, technology reduces the need for transactional support, and outsourcing expectations become increasingly sophisticated. Rather than competing solely on sales representation, the next generation of cargo service providers will need to combine commercial expertise, digital capability and operational knowledge to remain strategically relevant.
By integrating commercial services, technology platforms, specialist expertise and total cargo management capabilities, the opportunity is to create broader outsourcing partnerships that deliver measurable value to airlines.
“The scope of the GSSA will reduce progressively because airlines have more and more capacity to have access to the market compared to a few years back. You need to absolutely change, modify or grow the GSA activity so that it brings added value to an airline. We can only exist if we bring added value compared to their own organisation,” Adrien Thominet, Chairman & Founder of AERION, stated.
Beyond the traditional model
The pressure facing GSSAs is not driven solely by competition, but by the changing economics of airline operations. As digital platforms improve market access, visibility and commercial decision-making, some traditional activities are becoming less dependent on local representation. The implication is that GSSAs must evolve from transactional providers into strategic partners capable of supporting wider operational requirements.
Digitalisation is central to this transition. While automation is often viewed as a threat to traditional business models, technology should instead enable organisations to redeploy expertise towards higher-value functions. The strategic opportunity lies in using digital tools to improve productivity while strengthening employee capabilities.
“Digital is an opportunity where you are shifting some of the activities, but protecting our staff is protecting our biggest asset anyway. We are training and requalifying our staff so they can move from bookings into revenue management, flight supervision and other functions. I see digital transformation as a booster from a labour cost point of view and from a social point of view, rather than a risk of disruption,” he explained.
Operational capabilities
Fragmentation has historically been a challenge across the GSSA sector, with different specialist services often operating independently. The emergence of broader commercial holdings reflects an attempt to address this by bringing together multiple capabilities under a single structure, allowing airlines to access individual services or combined solutions depending on their operational requirements.
This approach provides greater flexibility because airlines can select specific capabilities while retaining the option of a wider partnership. The shift is less about replacing the existing GSSA model and more about expanding its relevance through additional expertise in areas such as technology, pharmaceuticals, e-commerce and total cargo management.
“Initially, we wanted AERION to be more like a consultant to our airlines, advising them on diversification of outsourcing solutions. We realised that AERION is much more a commercial holding of everything we have created under our group. It gives more substance because we can discuss and deal with different activities within one corporate relationship,” Thominet said.
However, creating these capabilities requires significant investment, something that has traditionally been difficult within a sector where airline contracts can be terminated within relatively short timeframes. Developing digital platforms and new services requires confidence that the long-term value will outweigh the immediate financial commitment.
“One weakness of our business model could be that an airline can decide to terminate your contract in one day, and you lose it after a short period. It is complicated for a GSA to invest in long-term solutions when there is uncertainty around keeping contracts. We took the risk because standing still and expecting nothing to change was not an option,” he continued.
Scale, resilience and growth
Beyond technology, the ability to manage volatility is becoming increasingly important in global air cargo. Geopolitical disruption, changing trade routes and shifting demand patterns have shortened market visibility, requiring service providers to adapt quickly across regions.
Network scale provides a critical buffer against uncertainty. A diversified footprint allows activity to be rebalanced when one market weakens, creating resilience while enabling organisations to capture emerging opportunities elsewhere.
“The best answer to volatility is really the size and scale of your network. Logistics never disappears because it can stop in one country and reappear somewhere else. Having this network allows us to balance crises and sometimes even turn them into opportunities,” he said.
This dynamic is particularly evident in Asia-Pacific, where changing trade flows and e-commerce growth are creating new opportunities for cargo operators. The region has become increasingly important as supply chains diversify and companies seek greater flexibility in their logistics strategies.
“We see Asia as one of our best areas of development because the market is very dynamic. We have reduced our previous dependency on Europe and today the contribution is much more balanced. This is a region where we see strong potential growth and where we want to continue investing,” Thominet concluded.
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Author: Edward Hardy