As holiday online sales continue their record pace, e-commerce sites and retailers are finding shipping packages to customers is a growing challenge. Today, we look at the logistics challenges and who is winning and losing. Toys R Us is making an effort to promote in-store pickup at it’s more than 870 stores as a way to ship orders more effectively. 9News covered deadlines for shipping last-minute gifts. CNYcentral.com ran a list of deadlines for shipping from major retailers to reach customers before Christmas Day.
Hiring at transportation and logistics companies grew by 8,900 new jobs in November according to a report from US Department of Labor. This was an increase from the 12,900 new Logistics jobs created in October. One of the biggest impacts of Amazon Prime service has been to reset consumer expectations for same-day or next-day delivery. That’s a high standard for retailers in the future.
GeekWire featured a behind-the-scenes look at Amazon’s massive fulfillment center in DuPont, WA. Retailers are using apps like Facebook Messenger, Whatsapp and Snapchat to improve customer service and compete better against Amazon reports psfk.com. Pitney Bowes predicts Global parcel deliveries will grow by 20% by 2018.
As Web Sales Spike, Retailers Scramble to Ship From Stores
Toys “R” Us Inc. is trying to avoid a repeat of last Christmas, when it had to deploy an unusual step: “sales prevention.”
At that time, online promotions fueled a surge of web orders two times more than the company’s forecast on several days and beyond what its main e-commerce fulfillment centers could handle. Afraid that items wouldn’t arrive by Christmas, management halted some online deals to deter shoppers—a drastic measure during a period that generates half of all annual toy sales.
To address the issue this year, the Wayne, N.J., company has prepared nearly its entire chain of 870 stores to help ship web orders during the holidays. It started cramming its stores with as many goods as possible weeks earlier than last year, and is offering bonuses and better wages to recruit seasonal warehouse workers. Via wsj.com
Holiday shipping, shopping deadlines you really need to know
The deadline for first class mail through the U.S. Postal Service is Dec. 20, while standard ground packages need to be in by Dec. 15. Don’t fret, though, if you wait a little beyond that — there are two other deadlines you can hit: Dec. 21 for priority mail, and Dec. 23 for priority mail express.
Time is running out: Order by these dates for delivery by Christmas
Standard FedEx ground packages need to be sent by Dec. 16, FedEx 2-Day by Dec. 21 and overnight by Dec. 22. For the ultimate procrastinator: FedEx offers same-day delivery for Christmas Day.
UPS packages should get in by Dec. 19 for standard shipping options. And last-minute shippers will need to meet the deadline of Dec. 23 for next-day shipments since UPS will not be delivering on Christmas Day this year. Via 9news.com
National retailers reveal holiday shipping rates and deadlines
The holiday season is here and it is sometimes difficult to get around to seeing all your family and friends. For this reason, many decide to instead send their loved ones gifts around this time of year.
It’s important to know when you’re sending presents the cut off days to ship them out. The website, offers.com, has come up with a handy list to see when the last day to order gifts from certain retailers are.
2016 Shipping Deadlines for U.S. Carriers
FedEx: Dec. 25
UPS: Dec. 23
USPS: Dec. 23 Via cnycentral.com
E-Commerce Fueled Logistics Hiring in November
Logistics companies, which are in the midst of their busiest season, are expected to see continuing growth as online shopping gains a bigger share of the retail sales market. Logistics executives have said they keep many of the employees they’ve hired for peak holiday seasons in recent years, as e-commerce sales steadily increase as a portion of total U.S. retail.
Overall hiring at transportation and logistics companies grew by 8,900 jobs last month, with growth at companies touching e-commerce offsetting declining payrolls at industrial and passenger operators. The gain followed the addition of 12,200 transport and logistics jobs in October, the Labor Department said in a boost of the earlier estimate for the month.
Trucking companies added 1,100 jobs in November, in the fifth consecutive month of growth, according to adjusted numbers. The sector has added 9,700 jobs over the 12 months despite tepid demand growth for truck transport for most of 2016. Via nasdaq.com
6 Reasons Why Same-Day Shipping Will be The New Standard in Ecommerce
Chances are high that you’re reading this on your smartphone, so you don’t need reminding that technology is pervasive in society. Since everyone seems to be watching Black Mirror these days, you can’t exactly blame people for being a little bit skeptical of this technology-dependent world we live in. But before we get caught up in the possibility of social media “likes” determining your ability to take out a mortgage, let’s acknowledge that there are some serious benefits to living in the digital age.
Especially if you’re in ecommerce, the future looks bright; the latest research shows that retail spending will continue shifting to ecommerce. The explosive growth and innovation we’ve witnessed — from mobile apps making it possible to buy offline to embedded cookies that offer custom suggestions for online purchasers — have placed ecommerce on an arc of ever-greater accuracy and expediency. Amazon’s Prime Now service has proven that retail goods such as groceries can be delivered the same day (in many cases, within a few hours), and this trend of same-day delivery will become more commonplace. In the not-so-distant future, receiving a package the same day you order it will become the new normal. Here are six reasons that explain why. Via brainsins.com
Inside look: How Amazon’s robots help pick, pack, and ship your holiday purchases
For those with an interest in logistics, robotics, and supply chain efficiency, touring an Amazon fulfillment center is like walking around a wonderland.
GeekWire got a behind-the-scenes look at Amazon’s massive fulfillment center in DuPont, Wash. — an hour south of its Seattle headquarters — on the company’s busiest day of the year, Cyber Monday, to learn more about what exactly happens after you click “purchase” at Amazon.com.
“This is like our Super Bowl,” said Greg Zielinski, general manager of the fulfillment center. “We get as many people in the building as we possibly can to get our customer orders out, and we try to get as much inventory so our customers can see the selection that Amazon has.” Via geekwire.com
Why Messaging Apps Are Issuing in a New Era of Commerce
In today’s retail sphere, every brand is striving to lead the pack in e-commerce and m-commerce solutions, but the reality is that many brands are failing to provide the essence of a true 1:1 experience for their consumers. This focus on commerce is complimented by a huge shift toward messaging applications as more and more consumers are jumping on these platforms versus other apps. Subsequently, this trend is shaping how digital transactions are taking place, creating a different modality for interaction between retailers and consumers.
The surge of apps like Facebook Messenger, Whatsapp and Retailers has positioned messaging as a prime component of the e-commerce world. Messaging is no longer poised to be a place to simply discuss weekend plans and catch up on life events, but instead to be an avenue for brands to serve consumers and provide an even higher level of customer service. Simultaneously, it allows smaller brands to legitimately compete with retail giants like Amazon through more meaningful communication and personalization. So what are the indicators of this move to e-commerce via messaging and why will it be beneficial to both brands and consumers? Via psfk.com
Global Parcel Shipping Projected to Grow 20% by 2018
Parcel shipping volume is to grow annually at 5% to 7% between now and 2018, for a total increase of 20%, with the biggest gains coming in cross-border shipping, according to a new study from Pitney Bowes.
The 2016 Parcel Shipping Index looked at B2B, B2C, C2B and consumer-consigned shipments weighing up to 70 lbs. in 12 major markets (U.S., Canada, Brazil, Germany, France, Italy, Norway, Sweden, Japan, Australia and India).
“With the growth we’ve witnessed over the last several years in ecommerce, it is no surprise the global parcel shipping market continues to expand at a strong pace,” said Lila Snyder, President of Global Ecommerce for Pitney Bowes. “That growth in parcel shipping is having a profound effect on businesses. Increased demand has led to greater service options from an expanding number of global, national and regional carriers. However, managing multiple carriers and shipping goods across borders also creates new challenges and raises complexity.”
As ecommerce is growing at about 15% per year compared to 5%-7% for global parcel volume, Snyder said she expects the share of parcels being generated by e-commerce to increase. “This highlights the challenges retailers face, including the complexity of managing the seasonality of volume and continued pressure on the shipping market,” she said. Via multichannelmerchant.com
Holiday logistics working?
The shipping and logistics industry will continue its rapid growth in parallel to the growth of e-commerce globally. We expect technology and robotics to also play a significant role in getting products to customers same-day or next-day in many more retail operations in the future.