The 2014 holiday sales season was a good one. In the U.S., the National Retail Federation hailed the sales results as a bellwether that “we have moved well beyond” the lingering consumer pessimism that followed the 2008 recession.
The NRF numbers showed a 4% increase in overall retail sales and, even better for online retailers, an increase of 15% in ecommerce sales
In Canada, holiday sales reporting is in flux as some results reflect our shift to a season that more closely reflects the U.S. “Black-Friday-to-Christmas” model. While some Canadian sales results showed a decrease in overall retail sales in the 2014 holiday season, many experts point out that those results do not reflect the shift to the U.S. season. When Black Friday is included in 2014’s sales, the Canadian holiday retail sales results improved over 9% – and ecommerce sales are expected to grow by double-digits for the foreseeable future.
Looking forward, the news is equally good. The NRF predicts a 4% increase in overall retail sales during the 2015 season and double that for ecommerce sales.
Fedex is setting up for a 12.4% increase in holiday shipments, which would be a new company record.
The rosy predictions are made partly in light of there being an extra sales day this year between Black Friday and Christmas.
So what does this all mean for ecommerce retailers who use third party fulfillment services? If the NRF and Fedex are predicting higher sales and more shipments, you would be well advised to do the same.
- Check Inventory – Talk to your warehousing company and make sure you have stock levels that can meet increased demand
- Ensure Distribution – Talk to your shipping partners to learn more about how they plan to accommodate the increased volume
- Get Sales Reports – If this year is a particularly good sales season, you need to know. And if it happens to fall short, you need to know even more.
If nothing else, when an average of 20% of your annual sales happen during the holiday season, it’s amazing the difference a day makes.