Retailers and ecommerce sites make an average of 30% of their yearly revenue during their self-defined peak seasons. But, while revenues are magnified during these busy periods, so are operational losses. Many e-tailers incorrectly assume that these losses are simply an unavoidable cost of doing business. In this post, we'll point out common loss leaders so you can prepare for them and make the most of your peak season.
Revenue losses stemming from overstocks, stock-outs, and returns all increase during peak season – especially if your inventory management operations are not prepared for the increased volume. The exact solution varies, but a 3PL provider can make customized recommendations for reducing these losses.
As shopping activity rises, fraud tends to rise right along with it. Before peak season, ensure that your fraud prevention systems are updated and running as early as possible.
Operational & workforce scaling
The ability to scale your operations quickly and cost-effectively can make all the difference in maximizing peak season revenues. For many e-tailers, outsourced fulfillment services provide the flexibility and scope needed to have a profitable peak season with minimal losses.