Challenge Group said it would be focusing on boosting its end-to-end offering in 2024 as it anticipates continued supply chain disruptions this year.

"In 2024, the strategic focus across the group is on fortifying internal group collaboration and fine-tuning the service that sets it apart from its peers within the air cargo industry: the offer of an end-to-end logistics solution from a single source and stability to the supply chain," the international air cargo group said in a statement.

Yossi Shoukroun, CEO of Challenge Group, noted that two-thirds of the company's business is in the vertical segment, such as live animals, automotive, aerospace, artworks, temperature-controlled shipments, valuables, and dangerous goods, where the group is a recognized business partner.

"Our DNA and value proposition are based on an end-to-end solution approach to supply chain requirements. We have become the partner of choice when it comes to complex verticals and specific/unique logistics needs, in terms of commodity and destination," he said. 

"Overall, we expect the complex vertical segment to grow, and predict that our certified expertise and known capabilities will gain us further market share. The most growth, however, can again be expected in e-commerce," the chief executive of Challenge Group added. 

With this focus for the year, Challenge Group said it is expecting to face headwinds — reflecting the current industry situation.

"The group will be navigating the external industry challenges brought about by the global geo-political uncertainty and volatile economy," the announcement said.

Nevertheless, the group noted that concrete plans for 2024 include a new hangar and a new maintenance station for Challenge Technic, a few more new destinations being opened shortly, thanks to Challenge Grou's recent fleet additions, Challenge Logistics' investment in new technology such as the Project44 tool, which offers seamless visibility and transparency to customers, and electrical cars on ramp, electrical tractors and GPU are coming for Challenge handling in Liege.

Meanwhile, Challenge Group said 2023 was a year of records and growth for the group as it predicts that the year ahead will be an "extension of more of the same" as the group lays out a solid strategy to continue to ensure that it can meet every challenge head-on.

"In 2023, despite the many challenging conditions of a soft market coupled with yield decline, Challenge Group enjoyed a successful year," it said.

It added that with the introduction and deployment of its B767 fleet, it not only uplifted more tonnage than ever before but also increased its end-to-end and charter activities, reaching the milestone of 1000 charter flights that year.

Challenge Group added that both Challenge Handling and Challenge Technic acquired new customers such as MSC, SF and Smartwings, respectively, and were able to augment their range of logistics services.