While getting ahead of peak shipping season is always critical for businesses, this year it is more critical than ever.
With the shortage of containers, planes being grounded, and a shortage of truck drivers, logistics will need careful planning. One way to cover your bases is to diversify your shipping methods.
Peak shipping season begins in August and goes until October each year, just as retail businesses start their back-to-school sales all the way through holiday shopping season. This is when freight rates are at their highest and capacity is tight.
Even though peak season is not a surprise to anyone shipping, it will look different in 2021 versus past years.
The demand for all methods of shipping will be much greater than 2020 as the economy is improving and consumer demand is higher.
Every year it is about planning and consolidation to maneuver successfully through the season. However, this year there are several other factors that go into the planning. Freight volume will be up this year in comparison to last year.
The container shortage, port backups, grounded planes, and truck driver shortages are all additional issues that reduce the flow of freight, limit shipping capacity, and lengthen delivery times.
Industries are still trying to catch up on inventory recovery and moving into peak season adds even more pressure.
Pallet prices are still continuing to soar as the movement of goods on pallets is now a hot commodity. Lumber prices are much higher than a year ago wood pallets are more expensive and harder to find. The cost of the palettes is not the only issue, it is also the delays because of the lack of pallets. This issue is affecting many industries’ shipping and logistic strategies.
The issues of packaging and transportation adds an additional problem and very possibly will increase pricing for everyone. As a logistics provider, we are helping our clients navigate finding the best alternatives and shipping options.
As capacity is tighter than usual, the need for a reliable logistics partner that can help navigate the market is more important than ever.
No matter the shipping environment, your customers expect you to meet their needs. This is where we can help. PPLUS Global has multiple capacity solutions that allow clients to choose alternative options and an experienced team that looks for the best options as they become available. Our integrated technology helps you make smarter decisions and stay on top of tracking. A Transportation Management System (TMS) is a logistics platform that is cloud-based and helps plan, execute, and optimize shipments.
Don’t let the high volume of the holiday season stop your business’s shipping. At PPLUS Global we give you ‘Best in Class’ service with a system that is efficient and cost-effective. Contact us today, there is no time to wait.