Black Friday has been considered the busiest shopping day in the United States for several decades. Droves of patrons flock to stores in order to secure the best deals. But in recent years, more and more consumers have shifted to the ease of shopping online instead of braving the cutthroat gauntlet of in-person shopping.
After Cyber Monday was coined in 2005, the turnout on Black Friday slowly started to wane. As companies saw the popularity of e-commerce continue to rise, they began offering online Black Friday deals days, and now, even weeks before the actual day.
This boom in e-commerce had a significant impact on the supply chain. This year, the strain is even greater as products remain tied up at the ports, causing consumers and businesses to shift their strategies for holiday shopping.
Spending is significantly up this year, but due to the supply chain backlog, it’s hard to count on inventory being available to support that demand.
The National Retail Federation’s annual survey shows 47% of holiday shoppers are worried they won’t be able to find items on their list this year, especially electronics, clothes, and toys. Because of this fear, nearly 50% of shoppers have started browsing and purchasing before November, which is the highest in NRF survey history. And more than half (57%) plan on buying holiday items online this year.
Having anticipated this change in consumer habits this season, many big box stores prepared in advance. Due to the size and scale of companies like Walmart or Target, ocean carriers and transport companies are already giving them preferential treatment, prioritizing their products. In addition, these large organizations are also investing in air cargo for shipping to ensure they are able to meet holiday demands. Unfortunately, smaller businesses are unable to afford this, and will likely suffer this season as a result.
In order to avoid this situation for the next holiday season, companies need to find a solution to the labor shortage plaguing the supply chain. The struggle to hire and retain frontline workers has led to the catastrophic situation at the ports and had a monumental impact on the global economy.
Although companies continue offering different incentives to attract new candidates, finding talent that will stay with a company for the long run is still a struggle.
WorkStep offers leading software for both hiring and workforce retention. We help companies find great-fit hires and collect anonymous feedback from their existing staff at key milestones, providing real-time insights into what drives turnover. Based on this information, leaders are able to take immediate action to make lasting improvements.
To learn more about how WorkStep can help with your hiring and retention efforts, reach out to us today.