DHL Global Forwarding 6/20 Capacity Protection
What is 6/20 Capacity Protection?
Q4 Capacity Protection is based on JAN – JUN avg. volume
160
140
Avg. volumes
Jan-Jun
Volumes exceeding
120% of average
Reasons and Benefits
Reasons
• High demand during Peak Season leads to capacity
constraints and significantly higher market rates during
the final months of the year
120
• Some customers have greater seasonality than others
100
80
• Standard pricing cannot be maintained for excessive
volume during times of constrained capacity
60
Benefits
40
• DGF supports customers with substantial capacity at
contracted rates during seasonal peak - up to 20%
more volumes at same rates
20
0
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
• Capacity provided is based on the average air or ocean freight
volumes shipped by a customer during the first half of the year
(Jan - Jun) on each trade lane
• Up to 120% of the average six month volume will be shipped at
the contracted rates.
• Any excess volume (KGS/TEU) above 120% of average will be
shipped at current market pricing
6/20 Capacity Protection, September 2014
• DGF strives to provide capacity and minimize cost for
all customers over the entire year. Customer support
throughout the year is recognized and will be honored
• 6/20 capacity management accounts for seasonality
and provides a fair solution to all as it balances
customer demand with available capacity
• It is more economical and offers greater flexibility than
alternatives such as blanket Peak Season Surcharges