It’s not too early to start preparing for peak retail season
Things seem to calm down for a brief moment in July as we come out of the heavy demand placed on the broader network by the influx of produce. That demand tails off at the beginning of July as we move into the next phase of the logistics calendar, Labor Day and Retail Peak. Each carries their own unique demands.
- While the largest of the summer holiday logistics disruptions are behind us, Labor Day will provide supply challenges that should be prepared for. With many taking time to travel for the last of the warmer months or just to get outside, expect carriers to have driver staffing issues, with drivers taking time off coinciding with higher demand in areas like food & beverage, as well as consumer goods like charcoal for the summer closing cookout.
- CEO Carol Tome mentioned that a short holiday shipping stretch and anticipated volume growth justified heightened peak seasons surcharges starting as early as Sept. 29. UPS is expecting to encounter “the highest volume ever in our network” on Dec. 18, she added. “We think that the prices are going to stick because of what the environment is telling us from a demand perspective.”
