Early signs positive for Christmas 2010

Popular belief would have it that the seasonal rush for the country’s carrier industry peaks in the final days before 25th December thanks to a crescendo of consumer parcel traffic. However, while the volume of B2C packages undoubtedly climbs the nearer we get to Christmas Day, the overall picture is somewhat different.

This week will arguably attract even more attention from couriers nationwide. We are likely to see the largest spike in seasonal shipments as retailers continue stocking up for what they hope will be the shopping frenzy to come.

The boom in internet retailing in recent years has meant that shoppers are now able to buy online much later than they might ever have considered doing on the High Street. The consequent values attached to such patterns are staggering. Online sales last December were worth £5.46bn in the UK alone and were largely responsible for an increase of some 40% on normal daily parcel volumes.

But no matter how increasingly popular e-commerce has become, it still only amounts to between 5-6% of overall retail sales domestically. Therefore, carriers both large and small play a crucial part in filling store shelves.

Simon Veale, Director at Global Freight Solutions (GFS) has commented that while the prevailing economic uncertainty is still with us, trading is brisk.

The early indications are that 2010 will be better than 2009 for clients and carriers alike - but not dramatically so. Retailers have made their predictions as to likely trade, placed their orders accordingly and this coming week will see the carriers hugely busy as a result.

That’s not to say that there may not be issues, similar to the strikes last year by Royal Mail staff, which might affect the expected parcel cycle for commercial organisations and consumers alike.

Already, question marks have been posed by companies working in the nursery products industry as to whether the withdrawal by carriers of provision for large and bulky items might impact on order fulfillment.

In the last few months, GFS has experienced a rise in enquiries from firms working in a variety of different sectors who are keen that a seasonal rush doesn’t lead to a constriction of supply that means delays likely to kill off any prospect of repeat orders.

The hope, though, is that the initial brisk trading translates into sustained business through Christmas and into 2011. After the prolonged churn of the economic rollercoaster ride since 2008, no-one, however, is going to relax for a second.

Date added 12th November 2010.