SmartKargo: Driving the Future of Intelligent Cargo Management

In an exclusive interview with Air Cargo Update, Olivier Houri, EVP & Chief Revenue Officer at SmartKargo, elaborated on the company’s advanced cargo management solutions, emphasizing compliance, seamless integration, and cutting-edge technology.

With over 20 years of experience in the air cargo industry, Olivier has played a pivotal role in shaping airline and cargo technology solutions.

Houri highlights SmartKargo’s ability to integrate with airlines, freight forwarders, customs authorities, and ground handlers through a combination of APIs, IATA messaging, and other modern methods.

Addressing cybersecurity, Houri underscores the platform’s robust security framework, built on Microsoft Azure and fortified with multi-layer encryption and regular penetration testing. Notably, the company has maintained a perfect record with zero data breaches over 15 years.

He highlights SmartKargo’s adoption of advanced technologies like IoT for real-time tracking, ensuring service level agreements (SLAs) are met. This focus on innovation and customer-centric solutions continues to position SmartKargo as a leader in the cargo management industry.

In an insightful exchange with Houri, we uncover how the company ensures seamless global cargo operations through advanced integrations.

SmartKargo is transforming the logistics landscape with its innovative cloud-based air cargo solutions, seamlessly integrating technology and efficiency to meet the evolving demands of the e-commerce industry.

Unlike traditional freight systems, it offers seamless integration with airlines, freight forwarders, customs authorities, and ground handlers, ensuring a smooth and efficient cargo flow from shipper to consignee.

The company’s innovative approach has attracted partnerships with prominent airlines such as Delta, Widerøe, Cebu Pacific, IndiGo, Amerijet, Akasa Air, Air Senegal, Oman Air, Norwegian, and Copa Airlines. These collaborations have enabled airlines to enhance their cargo operations and tap into new revenue streams.

SmartKargo’s culture emphasizes innovation and respect, fostering a collaborative environment that drives technological advancements in the air cargo industry. With headquarters in Cambridge, Massachusetts, and key offices in India, the Philippines, Brazil, United Arab Emirates, and Canada, SmartKargo continues to revolutionize air cargo management worldwide

The platform is built on a secure Microsoft Azure foundation with multi-layer encryption, strict access controls, and regular penetration testing, ensuring top-tier cybersecurity. It supports Advance Cargo Information (ACI) requirements for multiple countries, eliminating the need for third-party providers and enhancing compliance efficiency.

With a focus on speed, transparency, and innovation, SmartKargo is revolutionizing air cargo management for the modern logistics landscape.

Can your system support Advance Cargo Information (ACI) requirements for different countries? If yes, kindly elaborate!
If you are in the business of cargo management solutions, staying ahead of industry standards and regulatory requirements is a must. We not only comply with global industry recommendations, but we also ensure that our system is aligned with country-specific regulations and evolving market needs.

Right now, two major regions are leading the charge when it comes to advanced security and information-sharing regulations. The first is the U.S., where Customs and Border Protection (CBP) set the framework years ago. More recently, they reinforced it with additional regulations, and SmartKargo has been ahead of the curve from the start. We have been actively involved in discussions with CBP and are fully integrated with their system.

What does that mean for our customers? It means that when they fly cargo into the U.S., they don’t need to rely on customs brokers or third-party filing platforms like Discard. Everything is handled directly within SmartKargo, making the process faster and more efficient. We have also expanded our direct integrations to include customs authorities across South America and the Caribbean, where many countries follow a shared customs framework.

The second big regulatory push came from Europe a few years ago. When new regulations came into effect a few years ago, we acted immediately to support our clients flying in and out of the region. Our philosophy is simple—if we can eliminate the need for third-party providers and allow our clients to manage everything directly through SmartKargo, we do it. And we invest on the development costs because we see it as an investment in making our platform more efficient and valuable for our customers.

This approach extends to other regions as well. For example, we have already established direct integration with customs authorities in the UAE, ensuring that our clients can comply with regulations without any additional hassle.

Our system fully supports Advance Cargo Information (ACI) requirements across multiple countries. But more than that, we go beyond just preparing and submitting data—we handle the entire process directly through SmartKargo, making compliance as seamless and efficient as possible.

How does your system integrate with airlines, freight forwarders, customs authorities, and ground handlers? How does it smoothen the information flow?
SmartKargo is one of the few next-generation cargo management solutions out there, offering a truly end-to-end system. While most traditional freight forwarding systems focus on airport-to-airport operations, we have been ahead of the game for over a decade—covering the entire journey from shipper to consignee, meaning true door-to-door service.

From the very beginning, this approach pushed us to develop a highly flexible and configurable platform that seamlessly integrates with various players in the industry. Whether it’s airlines, freight forwarders, customs authorities, or ground handlers, we ensure smooth connectivity through multiple integration methods.

We support traditional IATA messaging, modern XML messaging, and, most importantly, over 250 APIs that we have developed to make integration faster and more efficient. APIs have been a game-changer in the air cargo industry, making it easier than ever to connect different systems, streamline processes, and expand beyond just air cargo into the broader supply chain ecosystem.

SmartKargo integrates with partners using APIs, SFTP file transfers, and standard IATA messaging formats. But we also recognize that not everyone has the latest tech. That’s why we have built the capability to process even the most basic inputs—whether it’s an Excel file, a Word document, or other non-digital formats. Our system uses advanced algorithms to quickly read and convert this information into structured data, ensuring seamless integration regardless of the format.

The bottom line? We don’t believe in limitations. Whether it’s a small retailer with no tech infrastructure or a major airline looking for deep API integration, SmartKargo adapts to their needs—making it one of the most flexible and future-ready cargo management platforms available today.

What security measures are in place to prevent data breaches and cyber threats?
Cybersecurity is something we take very seriously. It takes years to build a business, but just one security breach to bring it all down. That’s why data protection and cybersecurity have been a top priority for us from day one.

SmartKargo was built on the highest security standards, leveraging the most advanced cybersecurity measures available through Microsoft Azure’s platform-as-a-service. But we don’t just stop at what Azure provides—we have added multiple layers of security on top of that. Every piece of data transmitted within or outside our system is fully encrypted end-to-end. Nothing moves without encryption.

Access to our platform is also tightly controlled with multi-layer authorization and security protocols, ensuring that only authorized users can interact with sensitive information. Given that we process around 50 million shipments per year—making us one of the top three providers in the industry—we understand how critical our role is for our clients.

To ensure we stay ahead of potential threats, we conduct rigorous security testing, both internally and through third-party penetration tests, twice a year. Some of our clients have strict contractual security requirements, and we make sure to meet or exceed those expectations.

I am incredibly proud to say that in the 15 years since SmartKargo launched, we have never experienced a single data breach—neither on our side nor for any of our clients. That track record is something we work hard to maintain, and it’s one of the key reasons our customers continue to place their trust in us.

Do you provide AI, machine learning, or predictive analytics to optimize cargo capacity and demand forecasting?
Artificial Intelligence, machine learning, and predictive analytics play a huge role in optimizing cargo capacity and forecasting events—and we have been ahead of the curve on this for quite some time.

In fact, even before COVID, nearly seven years ago, we worked with Oman Air to develop a capacity control and revenue management system specifically for air cargo. Unlike other providers who simply tweak passenger airline algorithms for cargo use, we collaborated with industry experts to build a solution from the ground up. The goal was simple: improve capacity utilization and optimize revenue generation, especially on restricted routes.

Even back then, we were using machine learning—though at the time, we didn’t call it AI. Today, SmartKargo truly lives up to its name. We have fully embraced AI and are integrating the latest algorithms to drive efficiency and profitability. But for us, it’s not just about adopting new technology—it’s about making it practical and valuable. The real challenge isn’t just plugging in AI; it’s applying it in ways that create real impact, whether that’s reducing costs or increasing revenue.

One major area we are focusing on is dynamic pricing and revenue optimization. Traditionally, cargo pricing operates on long-term agreements and block space contracts, which don’t change often. AI is helping us improve pre-contract pricing by benchmarking market rates and refining contract negotiations. But where AI really shines is in spot pricing—adjusting rates dynamically based on real-time demand, capacity, and market conditions. We are currently piloting this, and while it’s not fully launched yet, our vision goes beyond what’s available in the market today.

Another key area is route optimization. Unlike most cargo management platforms that focus solely on airport-to-airport operations, SmartKargo provides end-to-end solutions, including first- and last-mile deliveries. That makes route optimization exponentially more complex because we are not just considering flights—we are optimizing the entire journey, from pickup at the distribution center to final delivery at the consignee’s door. AI helps us map the most efficient, cost-effective routes across multiple transport modes.

We are also seeing AI-driven improvements in smart warehousing, though modern warehouses already incorporate intelligent automation, so the impact there is a bit less dramatic. However, real-time tracking and visibility are huge areas where AI is making a difference, enabling proactive decision-making and reducing disruptions.

Then there’s AI-powered customer support. Think of it like an Alexa or Siri for cargo. Instead of relying on human agents, we are developing a smart chatbot that can provide real-time answers, assist with booking, and troubleshoot issues by pulling from live system data. This significantly reduces response times and improves customer experience.

Another exciting project we are piloting with a client is AI-driven rate auditing. The airline industry still relies on a mix of digital and paper-based records, which means discrepancies between system data and actual airway bills are common. Traditionally, this requires manual audits—time-consuming and expensive. But with AI, we can automate this process, flagging inconsistencies and pinpointing their root causes instantly. This not only saves money but also prevents revenue leakage.

At the end of the day, our approach to AI is all about practical impact. We are not here to just follow trends—we are developing solutions that deliver measurable value, whether by cutting costs, improving efficiency, or driving revenue. And with ongoing pilots and new innovations, we are just getting started.

What kind of training and onboarding support do you offer?
At SmartKargo, we believe in working hand-in-hand with our clients rather than just developing solutions in isolation. Every enhancement we make to our platform is a collaborative effort, where we team up with at least one or more clients to identify real-world challenges, test solutions, and fine-tune them before rolling them out.

When it comes to training and onboarding, we make sure our clients are fully equipped to use the system effectively. Our approach isn’t just about providing initial training—it’s about empowering our clients with the knowledge and tools to become self-sufficient.

One of the key things about SmartKargo is that our platform is highly configurable. That means we don’t want our clients to rely on us every time they need to make an adjustment. Business needs evolve, and if every small change required reaching out to us, waiting for modifications, and paying extra fees—that wouldn’t work for them, and quite honestly, it wouldn’t work for us either.

SmartKargo is not in the business of constantly charging for change requests. We are a SaaS (Software-as-a-Service) company, and our focus is on making sure our clients get the most value from our system. Our goal is to provide a seamless, user-friendly experience so that clients can manage their operations efficiently without unnecessary delays or costs.

So, anything we can do to make the platform more intuitive and easier to use—we do it. That’s why we invest in robust training, knowledge transfer, and ongoing support to ensure our clients can maximize the system’s potential without always needing to rely on us.

How does your solution support IoT-based tracking, blockchain for secure transactions, or digital twin technology?
I had an opportunity to discuss this in an email with a CIO from one of our biggest clients. He was preparing for a conference and had reached out, asking, “Olivier, if you had to name two or three of the biggest technological advancements in air cargo over the past few years—ones that have truly impacted revenue growth and industry expansion—what would they be?”

One of the first things I told him was IoT (Internet of Things). It’s something that often gets overlooked, but it’s had a massive impact on air cargo, particularly in ensuring service level agreements (SLAs) are met. In fact, IoT-driven solutions have contributed to an estimated 30-40% growth in air cargo revenue over the past five years.

Think about it—every industry conference you go to, everyone’s talking about the importance of pharmaceuticals and perishables in air cargo. These high-value shipments have become a major revenue driver for airlines and logistics providers. But here’s the thing—this wouldn’t have been possible without IoT.

Today, IoT technology enables real-time tracking, temperature control, and cold-chain monitoring. It ensures that sensitive shipments, like vaccines or fresh produce, remain within strict environmental conditions. But having sensors alone isn’t enough. The real value comes when this data is fully integrated into a cargo management system, so any temperature deviation or issue can trigger an immediate response. If a shipment starts to go outside the safe temperature range, action needs to be taken—automatically, without delay. That’s exactly what we have built into SmartKargo.

And this isn’t just theoretical—it’s been a real driver of industry growth. Before e-commerce became the dominant force in air cargo, pharmaceuticals and perishables were the key growth sectors. The reason they could scale so rapidly? IoT. Without it, maintaining the strict SLAs required for these shipments would have been nearly impossible.

SmartKargo is fully IoT-enabled, and we have been ahead of the curve in ensuring that it’s not just about collecting data, but actually using it to improve operations and revenue potential. It’s an essential piece of the puzzle for the future of air cargo.

How does your solution reduce operational costs and improve efficiency?
Return on investment is at the core of everything we do at SmartKargo. Every enhancement or feature we develop is designed to deliver measurable value—either by optimizing operational efficiency or driving revenue growth. If a solution does not contribute to a tangible ROI for our clients, we do not pursue it.

Take booking portals, for example. We have seen many solutions in the market that add minimal value—just another distribution channel for leftover capacity. But if that capacity isn’t being filled, the real issue isn’t the lack of a portal; it’s the need for a stronger market positioning and product strategy. Without that, you are just competing on price, lined up against 20 other providers, which isn’t a sustainable approach.

So, when we innovate, ROI is always front and center. If a client comes to us with a specific request that works for their unique business model, we’ll absolutely accommodate it as a custom solution. But for something to become a permanent part of our product suite, it has to prove its value—either by driving measurable cost savings through improved operational efficiency or by leveraging innovation to increase revenue and profitability.  Our approach ensures that every investment in our technology delivers strategic and financial benefits, aligning with our commitment to innovation and operational excellence. At the end of the day, if it doesn’t move the needle in a meaningful way, it simply doesn’t belong in our system.

How does SmartKargo structure its pricing model for clients?
At SmartKargo, our pricing model is built on a simple principle—our success is directly tied to our clients’ success. When we first introduced this approach, it was considered unconventional, and, to be honest, not everyone was on board. Some organizations stuck to traditional pricing structures, and we lost a few contracts as a result. But over time, as the industry evolved, it became clear that our model offered real value.

Instead of following outdated pricing methods—like charging per airway bill or per system transaction—we designed a revenue-sharing model that aligns with how our clients operate. Our preferred structure is to charge per kilogram of cargo transported. This makes sense because airlines and cargo operators generate revenue based on weight and distance, so by keeping our fees proportional to their earnings, we ensure a fair and scalable partnership. If their business grows, so does ours—it’s a win-win.

Beyond pricing, we also take a different approach to system enhancements. Unlike traditional software providers who charge for every customization or system update, we focus on long-term collaboration. If a client has an idea that can drive real revenue growth, we don’t treat it as a paid service request—we invest in it. If it benefits both sides, we develop and implement it at no additional cost. This way, our platform continuously evolves in ways that truly impact our clients’ bottom line.

Many of our competitors still rely on rigid, transaction-based pricing that can quickly add up. Charging per airway bill, per API call, or even per message sent during customs clearance creates unnecessary costs. Some systems charge clients multiple times for routine interactions, which adds financial pressure and reduces efficiency. That’s exactly what we avoid.

Our model is designed to be transparent and aligned with our client’s best interests. Instead of nickel-and-diming them for every transaction, we work as a true partner, ensuring they can optimize efficiency, increase revenue, and achieve sustainable growth.

Can you share a recent case study or project that SmartKargo has undertaken, highlighting the key challenges faced, the solutions provided, and the impact it had on the efficiency and profitability of the airline or logistics partner involved?

At the end of last year, we had the opportunity to work with AFCOM Holding. Our relationship with their team played a key role—they were familiar with us, knew our track record, and understood that every major carrier in India relies on our system in some capacity. When they decided to launch a cargo airline, they approached us while waiting for their Air Operator Certificate (AOC). Their request was clear—they needed to be fully operational as soon as the AOC was granted, as their aircraft were ready to begin flights.

This wasn’t a typical domestic freighter operation. They were launching an international cargo service, starting with two complex routes—Singapore and Shanghai—which added further operational intricacies. AFCOM chose us because of our flexibility and ability to implement solutions quickly.

Understanding the urgency, we aligned with their timeline. However, to avoid unnecessary costs while they awaited regulatory approvals, we held off on starting the project until they were confident about receiving the AOC. I told them, “Just give us a heads-up three to four weeks before you expect the certificate, and we will take it from there.” Initially, they were surprised—asking how we could deliver so quickly—but we were confident in our process and our team’s ability to execute.

By early November, they indicated they were likely to start flying in December. From that point, we moved fast. In just 28 days—from project kickoff, gathering their system requirements, to going live—we had their mission-critical cargo management system up and running. This kind of rapid deployment is practically unheard of in the industry, and we are incredibly proud of achieving it.

AFCOM recognized the significance of what we accomplished. They even invited us to their official launch event—our team member, Kostov, attended and was part of the celebration. At the end of the day, this system was crucial—it’s the backbone enabling their operations—and delivering it in record time was a milestone we are proud to have achieved.