Peak Season 2024: 7 Strategies for Ecommerce Success
Peak season is rapidly approaching, which often brings a healthy mix of anticipation and anxiety for ecommerce brands. While the holidays offer an incredible opportunity to expand reach and boost sales, the pressure is on as customer expectations for a positive experience are at an all-time high.
But, not to worry. We’ve got you covered! We compiled 7 key tips to stay agile and adaptable, all while maximizing peak season sales. You deserve to enjoy the holiday season too, so consider this as our gift to you.
First off, what is the ecommerce peak season?
For ecommerce newcomers, peak season is precisely what it sounds like. It’s the massive, #1 sales event of the year, centering on holiday shopping.
The first piece of evidence? Staggering statistics from 2023.
During last year’s peak season, ecommerce shoppers spent a record $964.4 billion, an impressive 3.8% increase from 2022, according to the National Retail Foundation (NRF). A few categories that climbed in sales included electronics, health and personal care, and clothing stores.
This indicates consumers are still willing to spend, despite the burden of inflation and high interest rates.
When does peak season start?
When you think of the holiday season, your mind may drift to December.
But ecommerce insiders know the window is creeping up earlier, with sales starting to trickle in by late October. This shopping strategy is particularly prevalent amongst consumers who have their eye on distinct products and want to catch an early deal to avoid stockouts.
Still, the National Retail Federation traditionally classifies the season as November 1st to December 31st. It kicks into full swing when we reach Black Friday, Cyber Monday (BFCM) weekend, where retailers tend to battle for competing sales.
One thing is for sure, email inboxes across the nation will be flooded with discounts, sales, and major shopping events.
Here are the important dates to keep in mind as you plan your retail and marketing strategy this peak season:
- Nov. 29, 2024 – Black Friday
- Dec. 2, 2024 – Cyber Monday
- Nov. 30, 2024 – Small Business Saturday
- Dec. 25, 2024 – Christmas
- Dec. 25, 2024 – January 2, 2025 – Hanukkah
- Dec. 31, 2024 – New Year’s Eve
2024 peak season trends to watch out for
To get ahead of the game, take a look at your customers. Buyer behaviors are shifting, but you have the power to keep up with them if you can meet them where they are!
Insight: Online shoppers are scrolling on their phones.
Statista reports that in just the first quarter of 2024, smartphones accounted for three-quarters of retail site visits. What’s likely driving this trend is convenience and research, as social media has risen to become the primary product discovery channel for Gen Z, Gen X, and Millennials.
While eyeing products is one thing, buying is another.
Insight: With a potential recession looming, 46% of consumers plan on budgeting more and spending less on gifts.
This means significant sales are a must this holiday season, especially if you offer similar SKUs customers can easily find for less at other retailers. While time will tell, consumers are still willing to spend, but getting more selective when it comes to value and shipping speeds. Speaking of, while fast shipping is desirable, it isn’t everything.
Insight: Consumers are interested in siding with brands that are conscious about their shipping practices.
One survey suggests that nearly 80% of shoppers would wait an extra day for their online order if it shipped more sustainably. To ensure your eco-friendly shipping policies and options are on full display, develop clear messaging for your website, particularly in the checkout process or in your company values landing page.
Consider partnering with a platform like Eco-Cart, where your customers can shop carbon-neutral in one click at checkout.
Mastering peak season fulfillment: 7 tips for success
Now that you have an overview of what to expect, behold your to-do list!
1) Ensure your site is mobile-friendly
As we head into Q4, this is the time to organize and optimize your website for all channels, especially mobile.
With consumers turning to their phones to shop, the mobile commerce market is set to reach $710.4 billion by 2025. There are a few ways to create a seamless user experience (UX), like fast site speeds, enlarging images and videos for easy viewing, and making buttons bigger to tap with ease.
While you’re assessing, a full health check of your website before peak season is never a bad idea. For instance, try utilizing this Google mobile-friendly test.
2) Refresh your returns process
Every retailer would love to see a zero-percent return rate for their products, but that isn’t a dream worth waiting for.
The NRF notes that in 2023, 14.5% of retail sales were returned, which is common for clothing and shoes, two areas where sizing can be tricky.
Return processes aren’t always a breeze for consumers, so stand out by making it easy.
Consider extending your return window over the peak season, and make your policies explicitly clear. We recommend streamlining reverse logistics with accessible, simple services such as Loop, which we love working with at ShippingTree.
Lastly, develop standard operating procedures (SOPs) to help your warehouse team refine their return strategy to properly designate storage space, or know precisely when to restock or dispose of products, especially for perishable food items.
3) Surprise and delight with a stellar unboxing experience
This is a special time of year for shoppers, especially if they are shipping gifts directly from your ecommerce store to their loved ones.
Your package itself could be the ultimate present, so take advantage of fulfillment marketing advantages, like custom holiday branded packaging, marketing inserts, and discount codes to encourage repeat purchases.
If this is a first-time customer, this is a great opportunity to share your unique brand story, building your identity and locking in customer loyalty.
Whether you lean into creative copy or eye-catching graphics, make it a visual, engaging experience that social-media savvy shoppers feel compelled to grab their phone for.
In 2023 alone, videos featuring the word “unboxing” collected more than 25 billion views. A word to the wise? Picture your packaging on TikTok or Instagram.
4) Enable a cohesive, omnichannel experience
Flexibility is the name of the game. Capital One reports that 73% of retail shoppers are classified as omnichannel shoppers, and retailers that use three or more channels can increase engagement by up to 251%.
Before you create a new channel or work on your existing ones, be thoughtful as you map out a seamless buying experience across brick-and-mortar locations, online channels, and pick-up in-store options.
Whether customers grab your product off the shelf, or with a quick tap on their phone, the experience should evoke the same brand personality, and be packed with practical information.
5) Be transparent with your customers
Speed and accuracy are top-tier priorities in the holiday rush. Customers are short on time and racing against deadlines, so remain transparent at all costs, or it will cost you their trust.
At checkout, state cutoff dates or potential delays so customers can plan accordingly. For last-minute shoppers, give overnight or 1-day shipping options, as nearly 55% say they will switch retailers to get their orders delivered quicker.
Once an order has been placed, leverage your customer relationship management (CRM) platform to send an email confirming the order, and provide an estimated shipping window, along with a tracking number when it’s available.
6) Avoid any ‘Goldilocks’ inventory effect
We’ve all felt the disappointment of finding the perfect present, and then realizing the item is out of stock, or on backorder.
While this situation is not always preventable, you can do your best to order inventory appropriately. Ordering too much leaves you with a pricey bill and a packed warehouse, while too little sends customers to competitors.
But the right amount, just as Goldilocks learned, can help you maximize sales.
To forecast demand, look back at your historical sales data to get an accurate picture of sales, especially for seasonal items. Closely examine factors such as forecast vs. order accuracy, inventory turnover, forecast accuracy, and order fill rate.
As the season approaches, stay tuned to your inventory levels to see what may be running low. From there, communicate with your suppliers to reorder, or prepare a backup solution.
7) Partner with a 3PL
If these to-dos feel overwhelming, leave it to the experts by finding a third-party logistics partner (3PL) that fits your needs.
With direct access to a larger network of carriers and warehouses, your customers can count on fast, reliable, and cost-effective shipping options for the holiday season, and beyond.
And, to solve the inventory puzzle mentioned above, you can get real-time visibility into stock levels if your 3PL has personalized software.
Plus, 3PLs often offer value-added services (VAS) like pre-kitting and dynamic product bundling. Lastly, if your business also ships directly to retail stores, you’ll need a team that understands the ins and outs of retail compliance to get your products on shelves or point of purchase (POP) displays set up correctly.
How ShippingTree unlocks scalable, peak-season fulfillment
If you’re wondering which 3PL to partner with, here are our unique offerings.
Custom fulfillment, thanks to:
- Personalized fulfillment. Make the most of every delivery. With us, you get our full suite of VAS such as branded packaging, gift wrapping, handwriting, kitting, and bundling.
- Simple shipping. We’ll map out the right recommendations for domestic or global deliveries, ensuring it’s done on time and within budget.
- Orderly orders. Get full control of creating and importing orders whether you opt for manual, bulk, or an integration with your online store.
Real-time visibility with:
- Inventory management. With our ShippingTree inventory management system, you get accurate performance snapshots and a detailed, real-time dashboard.
- Low-stock alerts. Stay in the know. We’ll send you notifications when orders are reaching capacity.
- Clear order status updates. Both you and your customer deserve transparent tracking, so we provide direct access to every order status to reduce “Where is My Order” (WISMO) requests.
A track record of success stories:
Our end goal? Smart growth. Here’s how we helped two of our valued clients scale their businesses.
When one podcast conversation turned into matcha mayhem, André Fasciola and Dr. Andrew Weil found themselves at a crossroads.
As co-founders of Matcha.com, they needed a partner who took a personalized, caring approach to logistics. Leading the charge, their COO Nick Noble sought a 3PL that could help them spend more time on growing the business instead of tedious manual work. Otherwise, they might need to lean on matcha to stay awake to work round the clock.
Through several strategic sessions with our ShippingTree experts, we were able to successfully launch their subscription model, and ship 1200% more products per month, resulting in 13x growth.
Speaking of the holidays, Kate McLeod, founder of a DTC skincare brand, was searching for a fulfillment partner right before the 2018 peak season.
Along with her COO Nichola Gray, they tapped our team, and we helped them integrate seamlessly with Shopify. Although the team had to briefly pause service, McLeod re-partnered with ShippingTree within six months, knowing the human-centered service and top-tier tech were at our core.
In three years, Kate McLeod scaled its volume of monthly orders by 30x, and worked to maximize their QVC order kitting, which remains a huge platform for present-hunting.
When popular golf lifestyle brand Malbon’s small but mighty team began to experience rapid growth, they knew they needed an experienced ecommerce partner who could unlock customized fulfillment operations and cater to their expanding retail footprint and online channels. Thanks to their dynamic partnership with ShippingTree, Malbon gained the following:
- Scaled monthly order volume 1400%
- Seamless next-day delivery for CA
- 99% next-day shipping for all customers
- Robust international expansion
Feeling ready for the peak season retail rush?
A successful peak season is possible for ecommerce businesses—with the right preparation. With customer satisfaction at the forefront, online retailers must ensure all of their supply chain ducks are in a row to meet increased sales.
Now that you know what consumers are looking for during peak season, and how to prepare your operations to meet the increased demand, we hope you take away that convenience, transparency, and memorability are a few must-haves.
Our ShippingTree team is here to help you wrap up the year successfully and meet your customers where they are. Get in touch with one of our friendly fulfillment specialists today.
