End-of-year periods, such as Black Friday, St. Nicholas Day and the pre-Christmas season, typically experience significant sales growth. This is also a serious logistical challenge, for which manufacturers and retailers are already preparing in the summer. Given the rise in consumer expectations, delivery speed has emerged as a pivotal factor in determining customer choice of retailer. Research indicates that 60% of Polish consumers consider delivery time to be an important factor in their purchasing decisions. Companies that manage their supply chains properly are able to meet growing demand while minimising costs. What measures can businesses implement to optimise their operations during peak sales periods, with a focus on warehouse management, human resources and risk management?
In addition to being a key consumer expectation, fast delivery can also give a competitive business a significant advantage. According to Gemius data, over 60% of Polish consumers consider delivery time to be one of the key factors when shopping online. In today’s competitive market, order fulfilment speed is a crucial factor for both online stores and traditional shops that combine offline channels with e-commerce. Suppliers able to offer fast shipping can secure long-term customer loyalty.
Research by Deloitte confirms that during peak periods, such as the end-of-year shopping season, sales of products such as electronics, fashion and groceries can increase by 30–50 per cent. Companies that are able to organise their logistics properly are in a strong position to meet demand and differentiate themselves from the competition.
Flexibility and Risk Management in Logistics
In the face of economic uncertainty, rising raw material costs and fluctuating demand, logistics has become a key tool in risk management. In the contemporary business world, effective inventory management is no longer sufficient for companies to thrive; they must also be able to adapt their operations to fluctuating demand during peak sales periods.
“Operational flexibility is essential for companies to adapt to evolving market conditions. During peak periods, such as Black Friday or Christmas, when demand for specific products increases by several dozen percent, companies must be able to adapt their logistics resources to dynamic sales growth. Cooperation with a professional logistics operator gives companies the opportunity to flexibly manage their warehouse space and necessary staff, including temporary workers, which allows for a faster response to fluctuations in demand,” says Mariusz Jóźwik, Senior Business Development Director Field Sales at FM Logistic.
Flexibility in logistics also means being able to quickly modify operational strategies in response to sudden spikes in sales, which is crucial in the face of changing market conditions. Predictability and optimisation of delivery processes are pivotal for enabling companies not only to respond to changing demand but also to manage costs effectively.
Leveraging Economies of Scale in Operations Management
During peak sales periods, multi-client platforms and coordinated activities are one of the most effective solutions, as they provide additional storage space when it is most needed. The sharing of resources, including warehouse space and personnel, enables optimisation of operations and faster adaptation to changing market conditions. Economies of scale also allow operating costs to be reduced while efficiency is increased.
“Our platforms in Będzin, Olszowa and Niepołomice are excellent models of effective coordination of activities for customers and management of shared space. Each has its own specific characteristics, but our joint management ensures they form a single entity. This allows us to respond quickly to sudden increases in volume and current market demand. This flexibility allows us to adapt our warehouse space continuously and efficiently provide additional services such as co-manufacturing and omnichannel,” says Mariusz Jóźwik from FM Logistic.
Managing operations across various types of platforms, including multi-client ones, allows for dynamic resource allocation based on demand, which is crucial during periods of increased demand. Temporary workers can be deployed to areas where their assistance is most required. At the same time, the warehouse space is used in the most efficient manner, which helps to avoid bottlenecks and delays in order fulfilment.
Optimising Storage Space as a Key Priority during Preparations
Suitable storage space for winter sales peaks should be reserved well in advance. This usually happens during the summer months. Pre-planned logistics mean manufacturers can avoid unpleasant surprises during their busiest periods. These measures are contributing to ensuring the smooth fulfilment of orders and maintaining operational efficiency as the year draws to a close.
“Companies that initiate their logistics planning in advance can avoid problems related to warehouse space constraints and delivery delays during peak sales periods. Furthermore, flexible management and advance planning enable them to secure and stabilise supply during peak sales periods. Shared space is therefore also an excellent solution for companies seeking warehouses for buffer stock,” adds Mariusz Jóźwik from FM Logistic.
According to the report Logistics in Poland 2024, 30% of e-commerce companies are booking warehouse space for the pre-Christmas period in Q3. For those engaged in traditional trade, securing warehouse space for peak sales periods is becoming imperative to avoid issues related to space shortages and delays.