An important consideration that shippers should be aware of in the next few months is preparing for the holiday season. The holiday season, from late October to early January, is typically the busiest period of the year for freight movement. In particular, retail, e-commerce, and general cargo movement surge during this time. Both international and domestic shipping are affected by tighter capacity, rising rates, and higher demand during the holiday season. Along with impacting shippers, this period can put pressure on the entire supply chain, including truckers and customers. This article outlines what to expect when shipping domestically during this period and provides guidance on preparation.
How Can The Holiday Season Be Challenging For Trucking?
During the holiday season, numerous challenges arise, including increased demand and tighter capacity. The reason is that companies and shippers are rushing to finalize shipments before year-end and the holidays. A direct cause of reduced capacity is the increase in domestic shipping costs. Spot rates tend to rise due to fewer trucks on the road and an increase in freight demand. Higher costs also come from peak-season surcharges that carriers add to offset fuel and labor costs. The higher demand comes from online shopping, which surges as black Friday and Christmas approach. As the goods that shoppers buy online get imported into the US, trucks typically transport them to the final destination.
Another issue that arises from an increase in e-commerce is the likelihood of port congestion. In turn, this leads to delays in supply chains and potential demurrage charges, which go to the shipper and trucker. Transportation can be further prolonged by labor shortages from drivers taking time off during the holidays. Along with increasing delivery times, this can lead to tighter capacity and add pressure on the shipper. Other challenges to be aware of include potential weather disruptions such as snowstorms, particularly in the upper US. Cargo theft also tends to spike during the holiday weekends, particularly in unsecured areas and rest locations.
Tips For Preparing For The Holiday Season?
Due to the challenges of the holiday season, shippers should be prepared for what to expect. Before the holidays, shippers should book at least two weeks in advance to avoid overcapacity or disruptions. It is essential to establish relationships with carriers to receive preferred treatment during cargo movement. For drayage services, the shipper can benefit from using less congested ports to move cargo to and from. It is also essential to plan for disruptive weather by adding additional transit times or rerouting if necessary. Adding flexibility in terms of pickup and delivery windows can help prevent significant delays in the event of disruptions. Carriers should be properly locked and parked in secure lots to prevent cargo theft.
A1 Freight Solutions
Although this period can be beneficial for shippers, they must take the proper steps beforehand to avoid disruptions. In addition to the tips mentioned, an ideal way to prepare is to consult with a freight broker. Brokers act as intermediaries between shippers and carriers, transporting freight on behalf of their clients, the shippers. They do this by connecting to a network of carriers that can deliver your goods. Brokers also offer various solutions, including rate finding, documentation provision, and more. Reach us at info@a1wwl.com or 786-375-9420 to speak to our brokers regarding shipping during this holiday season. We provide FTL (full truckload), LTL (less-than-truckload), expedited, temperature-controlled, heavy-haul, drayage, and more to ensure the success of your shipment.