CHATTANOOGA, Tenn.--(BUSINESS WIRE)--Peak season shopping predictions are optimistic, with 52% of U.S. supply chain practitioners expecting eCommerce sales to be higher compared to 2022. These sales have already begun – 42% of consumers reported starting their peak season shopping early this year. These insights and more are from Kenco, one of North American’s leading third-party logistics (3PL) providers, and the company’s Annual Supply Chain Survey, which polled 125 supply chain practitioners, and its 2023 eCommerce Peak Season Pulse, which surveyed more than 225 U.S. adult consumers. Both surveys asked respondents about their expectations for peak season sales, shopping holidays and more.
By utilizing these survey findings, eCommerce companies and others can adjust their processes to meet both operational demands and consumer expectations this holiday season.
While supply chain practitioners predict a busy eCommerce holiday season, 60% say the ‘Covid hangover’ still impacts supply chains, and they still have similar concerns. Nearly 30% of practitioners selected managing inventory concerns as their biggest concern heading into the 2023 peak season. Other top concerns from practitioners include customer dissatisfaction (23%) and finding suitable seasonal staff (21%).
Consumers had similar inventory concerns, with 60% indicating product availability as their top concern for peak season supply chains.
“As we look forward to a successful holiday shopping season, eCommerce supply chain leaders should already have plans to head off inventory and staffing issues now,” said Felix Vicknair, vice president of supply chain solutions at Kenco. “By preparing for potential peak seasons rushes, employee illnesses and vacations and more, leaders are better positioned to meet their customers’ expectations, and having the right logistics technology in place is key.”
To prepare their operations for peak season, 35% of practitioners have implemented new technology, including solutions addressing inventory visibility (42%), shipping efficiencies (38%) and eCommerce ordering (33%). Additionally, more than one third (35%) of practitioners have explored AI for their operations to manage everyday processes, and 73% of those respondents use AI to address inventory tracking.
Beyond technology, consumers revealed other ways that supply chain leaders can enhance the holiday shopping experience and provide more cushion for delivery times. For instance, 72% of consumers said they would select slower shipping options if it meant free shipping, and 64% indicated that a gift card or store credit would incentivize them to choose slower shipping.
Practitioners also had ideas about how to flatten the curve of peak season and spread out consumer spending. Some (38%) have encouraged additional sales events outside of Black Friday (38%), and others (34%) have implemented seasonal price matching on products.
“By digging into consumers’ spending habits and shipping expectations, industry professionals can encourage shoppers to spread out their spending, accept longer shipping times and lighten the logistics load this holiday season,” said Vicknair.
For additional data from Kenco’s Annual Supply Chain Survey and 2023 eCommerce Peak Season Pulse or to learn more about Kenco, visit Kenco’s Reports & Insights page.
About Kenco
Kenco supplies integrated logistics solutions that include distribution, eCommerce fulfillment, comprehensive transportation management and material handling equipment services, and customized supply chain solutions – all designed for Operational Excellence. Kenco is one of North America’s leading third-party logistics providers, building lasting customer relationships for over 70 years. Kenco’s focus is to support customers’ business needs through connected solutions and to redefine third-party logistics by offering innovative solutions.
