GFS Peak Pulse Weekly Bulletin #1

By Chris Dawson November 24, 2020 - 9:00 am

In partnership with GFS, who power delivery for leading retailers and B2B brands worldwide, we will be bringing you a Peak Pulse Weekly Bulletin coving the current state of the logistics industry and a forecast of expectations for the upcoming few days. Today we publish the first Peak Pulse Weekly Bulletin – check back next week for an update:

Current Outlook

Parcel volumes are already hitting record numbers – Up 60% compared to last year. But, carrier performance has continued to be exceptional – despite volume surges and Covid-related delivery restrictions.

Consumer delivery choices have been split 50:50 between Next Day and 2+ Day delivery.

Peak Pulse Weekly Bulletin #1: Key headlines

Many retailers are seeing record numbers and volumes. Others have reported that traditional Christmas best-sellers have been slower than expected – perhaps driven by the lack of Christmas “feel-good factor” usually experienced by visiting Shops and Christmas Markets.

The most proactive retailers are advising consumers now if they expect potential delivery delays and it’s clear this is having no effect on demand – while this may be deemed a negative message, evidence shows that Customer Satisfaction ratings are bolstered through such open communication.

The GFS Checkout Dashboard shows that conversion rates increased throughout the week. Sunday had the highest basket conversion rate with 3.5% more than on Monday.

Top performing sectors

  • Fashion retailers have started sales early this year.
  • High demand for DIY products, as people take on home improvement projects whilst in lockdown.
  • Gaming & toy volumes have also boosted significantly this week.

Top international lanes

Domestic and International split has remained at a consistent 80:20.

Top international lanes with volumes +50% higher than the same week in 2019:

  • Ireland
  • France
  • Germany
  • USA
  • Australia

The outlook for next week to Black Friday

Carrier volume restrictions possible

Based on the evidence so far in November, we anticipate volumes to exceed available capacity on some days – as a result (and without successful advanced planning around capacity and collection capabilities) there is a risk that carriers will implement volume restrictions on specific days to control the flow of parcel volumes and maintain service levels.

Protect your collection capacity

The most successful retailers will be those that provide clear delivery timescales. Deferred services allow parcel volumes to be spread over the week so protect their own capacity into carrier networks.

Surge expected on Christmas lines

Whilst volume is proving slower on the classic Christmas products a surge is expected in the coming weeks.

GFS Peak Pulse Weekly Bulletin #1 Webinar Promo

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