How Black Friday and Cyber Monday Affect Supply Chains

Black Friday has turned into a day of deeply discounted products for bargain hunting shoppers. This has transformed the supply chain around the holiday season. The supply chain has changed the way companies handle the increasing numbers of shoppers that turn to Black Friday and Cyber Monday for their holiday shopping. Some ways that Black Friday has changed the supply chain are:

1) Predicting volumes

It can be difficult to predict the exact number of products that will be needed for Black Friday and the holidays season. Companies want to have enough inventory to meet the demand from consumers without creating an overflow of product. Also, to ensure that the product will sell and will not need to be reduced in price for the product to sell.

2) Finding a balance

It can be difficult to find a balance between customer satisfaction and maintaining profitability. Companies look to provide the highest standard in customer service but also want to gain profits. This can be difficult to maintain both as companies to not want overstock but want to ensure customers can purchase/order the products they require.

3) Returned product

Around the holidays there is an increase of product returns as people look to exchange or return their product they received as gifts. There can high volume of returned product that comes in near the end of the holidays into January. With all the returned product, this can create extra processing measures which can be time-consuming and require employees to attend to the returns. A way that companies handle reverse logistics is by outsourcing through a 3PL. ADLI Logistics provides reverse logistics services which can save you time on your returned product.

The holiday shopping season can be difficult to navigate at times as there are higher demands of products and ensuring that companies are continuing to provide high customer service levels. ADLI Logistics can handle all your holiday season supply chain needs to ensure products are available for your customers when they are needed. We arrange the freight shipping, warehousing and distribution services. For more information fill out our contact form or call 1-877-363-7281 for more information!