Peak Season Prep: 2024 Trends & Strategies
What can your operations team do now to ensure a successful peak season ahead? Today we’re going to look at some of the consumer trends that might affect your preparations for peak season 2024, and strategies to maximize them.
Key Takeaways
- Consumers expect an omnichannel experience, but omnichannel fulfillment requires fully integrated systems and a robust 3PL software platform.
- Online shoppers have been burned by long delivery times and the inability to return products. Build trust in your brand by optimizing fulfillment and returns processes.
- Inflation worries may check consumer spending this holiday season. Reduce shipping and inventory costs to gain pricing flexibility.
- Consumers are looking for a reason to support your business over the competition. Operations demonstrate brand values of service and sustainability.
2024 Consumer Trends
Early this year, HubSpot released its 2024 Consumer Trends Report. We’ve selected a few that might help your operations team better prepare for Peak Season 2024.
Trend #1
Social media is the #1 product discovery channel, and buying directly via social media is up YoY. In other words, omnichannel sales are here to stay. The question is, can your operations team handle omnichannel fulfillment? Are legacy systems and lack of integration hampering your ability to grow?
What Can Operations Do?
Omnichannel fulfillment requires a robust 3PL software platform and fully integrated systems. Here’s what to look for:
- The ideal software platform combines order management, inventory management, warehouse management and transportation management, enabling you to track orders and inventory levels across all channels on one user-friendly platform.
- Most importantly, it should fully integrate with your shopping cart, website, mobile app, social sales channels, marketplaces, retailers, payment systems, EDI and ERP systems, and any other app or tool you use to manage your business.
- Data from each channel should be synced in real time, providing complete transparency throughout the fulfillment process.
- It should have robust tools for data analysis, reporting, tracking, forecasting and managing inventory.
Trend #2
While 80% of shoppers were satisfied with a social media purchase, only 30% felt that what they purchased was “high quality.” This indicates that their level of trust in online brands is not where it should be. HubSpot identifies consumers’ three main concerns:
- The company is not legitimate.
- Their order will take longer than expected to arrive.
- They won’t be able to get a refund.
What Can Operations Do?
Customers expect the same level of customer service and accurate, on-time delivery no matter how or where they’re placing their orders.
- By delivering on your promises of accurate, speedy deliveries and a seamless return process, the operations team plays a large role in building trust in your brand.
- Make sure your fulfillment team(s) have the capacity to scale, while maintaining speed and accuracy.
- Invest in a returns app or self-service claims portal to reduce customer frustration.
- Build in redundancies, such as multiple quality checks, multi-node fulfillment, and multiple shipping partners to reduce errors and risk.
Trend #3
More than half of consumers are being more careful with spending.
Inflation is taking its toll on consumers and ecommerce brands alike. Cutting costs puts your brand in a better position to compete in the marketplace.
What Can Operations Do?
Here are a few of the ways a tech-enabled 3PL can reduce costs for ecommerce businesses.
- Huge order volume gives 3PLs the leverage to negotiate deep discounts with shipping partners.
- A 3PL with 100% owned and operated warehouse locations enables their ecommerce clients to distribute inventory across the globe to reduce shipping costs and expand their reach affordably.
- A robust 3PL software platform enables merchants to more accurately forecast demand and reduce inventory costs.
- Outsourcing fulfillment relieves your business of the need to invest in warehousing infrastructure and technology.
- Transparent pricing and billing with breakdowns tells you exactly what you’re paying for.
Trend #4
Consumers want to support brands committed to diversity and inclusion, and small businesses. Customers are looking for a reason to support your business over your competitors. Share your values.
What Can Operations Do?
Showcase your brand values, whether through your hiring practices, outstanding service or small carbon footprint.
- Guarantee outstanding service by finding a fulfillment partner that guarantees they’ll meet their Service Level Agreements
- Develop a formal process for sustainably handling returns, and implement a claims tracking solution for your customers.
- Set up notifications to prevent stockouts and quickly respond to shipping exceptions and customer claims.
- Use branded, eco-friendly packaging and value-added services (VAS) such as package inserts to enhance your brand’s image.
- Distribute inventory across multiple shipping nodes to reduce emissions whenever possible.
Start Planning Now
Use your summer sales to inform decisions for peak season. If your existing systems and fulfillment provider can no longer meet your growing needs, it’s not too late to migrate to a tech-enabled 3PL.
