E-commerce peak season has become a six-month period that stretches from the onset of Chinese Golden Week through mid-spring. While peak season represents an expansive opportunity for retailers and supply chains of all sizes, the rise of Amazon, and its faster, free shipping policies made staying competitive almost impossible. As explained by Stevie Hay of Inbound Logistics, supply chain leaders need an effective strategy to succeed in peak season, and warehouse analytics may be the ideal solution.

Lack of Data Contributes to E-Commerce Peak Season Challenges

Take a moment to think about the primary challenges associated with e-commerce peak season. More customers are ordering products, and they expect fast, free shipping. More importantly, all orders sent during peak season are time-sensitive so that any delay could contribute to a terrible customer experience. With that in mind, the ideal solution lies in understanding more about what customers will want and need. Remember, a supply chain is only as effective as its weakest link, and if replenishment processes fall short, order fulfillment and throughput in the warehouse will falter. Therefore, supply chain leaders need a way to look beyond the current operations and understand what is happening, what may happen, what needs to happen, and how minor changes contribute to the overall success.

Warehouse Analytics Enable Better Planning

Supply chain leaders must focus on getting orders correct and accurate before getting them delivered on time. This is a simple logic principle, but inaccurate orders and delays only snowball into larger issues. Corporations spend vast sums of money attempting to correct erroneous shipments and orders. The opportunities for losses are great, so understanding exactly what customers want and what they will order before the order is ever placed is crucial. Supply chain leaders are not clairvoyant, but warehouse analytics is the next best thing to the gift of foresight.

Advanced warehouse analytics support all functions from
replenishment through facility management. Tracking purchase patterns over time enables better inventory management. Combined analytics that considers existing equipment and carrying costs can further drive overhead expenses down for an organization. Therefore, profitability increases, and gains in profitability trickle down to benefits for consumers.

Tips for Using Warehouse Analytics

Using warehouse analytics can be a tricky process. With the rise of cloud computing technology, numerous software vendors have entered the market, and it can be difficult to distinguish the best vendors from those that offer subpar service. Instead of choosing a vendor out of immediate necessity or without thorough research, supply chain leaders should approach each vendor as a critical business partner. New software and systems that contain analytics should require connected platforms, enable the sharing of data, and provide remote accessibility. These underlying factors can be the difference between the success of warehouse analytics and their failure.

Peer Into Your Customers’ E-Commerce Peak Season Plans With Connected, Intuitive Systems

E-commerce peak season plans depend on the ability of supply chain leaders to order enough product, move product fast enough, and provide superior customer service. Instead of risking everything, supply chain leaders need to take action and be prepared with advanced warehouse analytics. Of course, working with a supply chain systems consultant can help small and inexperienced retailers identify the best systems and put them to use. Learn more about demand planning and how to prepare for e-commerce peak season by contacting Veridian online today.