How Leading Carriers & Re...

How Leading Carriers & Retailers Are Preparing for Peak Season 2022

Nov 24, 2022
How Leading Carriers & Retailers Are Preparing for Peak Season 2022
  • Global supply chain ecosystems are adopting digital and digitalization initiatives in increasing numbers, resulting in a more open and transparent exchange of information between different parties and touch points in the supply chain.

  • While it’s certainly category-specific, 2022 has seen e-commerce growth rates come back to more normalized levels as was observed pre-2021.

  • Unlike 2020 where peak season was punctuated by a distinct lack of carrier options,

    2021 witnessed customers becoming more accustomed to operational processes during a COVID situation.

  • A busier peak season is expected this year since the majority of the pandemic restrictions around the world have been lifted.

With the holiday season right around the corner, retail businesses worldwide are ramping up their preparations for the incoming surge in e-commerce orders. Even with a supply chain crisis plaguing the globe, consumers will still be looking to purchase their favorite products, and retailers will be vying for their share of the market during peak season 2022

Curious to know how peak season 2022 in Europe might look like? Download the free report to find out (exclusive to Parcel Monitor members).

To get a sense of what’s in store this year, we asked four industry experts for their insights on the parcel delivery sector’s busiest stretch: How was peak season 2021 like? Are there any particular trends that they observed in peak season 2021? What can shippers and retailers do to perform well during the upcoming peak season? Let’s find out what they have to say!

Arnel Gamboa – Vice President, Ace Hardware Corporation

There seems to be a big trend in adopting digital and digitalization initiatives for global supply chain ecosystems. This includes sourcing and shipping activities of first to middle mile activities. The effect is having a more open, transparent, and real-time sharing or exchange of information between parties or touch points in (the) supply chain.

The benefit of improving visibility and tracking across complex supply chains compensates for the rapid and large movements of goods at any given time. It also works to manage the risks brought about by the uncertainties and ultimate disruptions caused by the pandemic. 

In the simplest terms, a supply chain digital revolution enables businesses to boost their agility, flexibility and eventually resilience with the fast changing and highly disruptive times. The improvement in information flow along the attributes of accuracy, completeness and timeliness, helps collate the necessary elements to arrive at an informed decision and take timely action for calibrations or interventions.     

The future looks bright despite the pandemic. If there is one thing we will be after the pandemic is that we become much wiser and stronger than before.

Satyaki Banerjee – Chief Operating Officer, LUXASIA & Managing Director, LEAP Commerce

2020 was also a strong year for us, but we observed a few things that drove performance a lot higher in 2021. 2020 saw the entire world and society at large still grappling with understanding how the pandemic would pan out for everyone. In 2021, we had the right infrastructure in place (from teams driving content, robust campaigns, customer service and supply chain networks moving seamlessly together) and brands returning more ready than ever with strategic gameplans in place, topped off by consumers who were still very much restricted in their movement. These combinations of factors drove the e-commerce boom.

While it’s certainly category-specific, 2022 has seen e-commerce growth rates come back to more normalized levels as was observed pre-2021. For all players in the e-commerce value chain – as we look ahead to 2022 peak, the 2 themes that I’d have in mind are agility and ambition. We have seen how the first 8 months have been. It could well be that consumers have been holding back spending to gear up for a big year-end spend. Therefore, all industry players need to ensure we’re geared not just to deliver the plan, but also stretch ourselves beyond and be ready for positive surprises.

Senthil Kumar – Group Head of Commercial, Janio Asia

Peak season in 2020 was punctuated by a distinct lack of carrier options (air freight) and also in the shadow of some country-wide shutdowns. 2021 was slightly different from the perspective that people were more accustomed to operational processes etc. during a COVID situation.

Joel Ong – Chief Operating Officer, Ninja Van Group

The rise of on-demand digital services has continued to lead to higher customer expectations. Users of our service are expecting us to consistently deliver convenience and optionality with every parcel. To meet these needs, our NinjaChat product connects users with our customer experience teams, enabling them to chat in real-time through their preferred social messaging platforms. This is coupled with our Fantastic Service Recovery initiative that aims to swiftly resolve challenges for our customers when issues occur. 

We expect a busier peak season this year since the majority of the pandemic restrictions across the region have been lifted - people will be looking to make up for previous years celebrations which were more muted. With online shopping continuing to see strong growth, we will be doubling down on our existing efforts to invest in our network and improvements in our customer engagement and delivery experience, working closely with our shippers to provide them with a reliable and hassle-free delivery experience.

Expect the Unexpected This Peak Season

Customer behavior and expectations have changed significantly over the years, making it more crucial than ever for retailers to stay ahead of the curve. In order to maximize profits this peak season, retailers should keep their eyes peeled for the up-and-coming trends in the sector and ensure that they are working with a partner who can provide reliable and efficient delivery services.

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