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What is Peak Shipping Season & Why Is It Important?

What is the peak shipping season?

Starting in mid-August and stretching through October, fall is known as the busiest time of the year for shippers and retailers. During that time, the peak shipping season starts. During the peak season of freight, the demand grows and supply lowers, which causes tight capacity, high freight rates, and a headache for the retail and logistics industry. However, it happens every year, and companies have to breakthrough.

Why is peak season important?

The main reason for the busy period that starts every summer is the demand for products. Respectively, high demand is caused by the dangerously close holiday season. Starting in the early fall with the ‘back-to-school’ season, and lasting through Black Friday, the holiday shopping season is much closer for retailers than for buyers. Before the craziness begins, each company wants its products ready for the shelf as early as possible.

Which factors affect peak shipping season?

There is no strict date when the peak season of freight begins. Each year, it is slightly different, and the beginning of the season depends on many different factors. For example, last year the rush started earlier than normal because of the tensions between China and the U.S. Retailers were afraid of transportation difficulties and delays, and the season started a couple of months earlier than usual.

In recent years, there are several trends that reshape the flow of the season. E-commerce, brick-and-mortar, the growth of retail industry impact and current world trade problems are altogether affecting supply and demand.

Generally, each year, the rise of demand makes carriers have higher rates, companies increase labor costs and shippers secure capacity in advance. But every year, regardless of the trends, advanced planning and consolidation will help you break through the tough season.

Read more about how to overcome the peak season in Surviving the Peak Season of Freight