In the dynamic realm of logistics and supply chain management, navigating the rhythmic ebb and flow of seasonal supply chain shifts is both an art and a science. The ability to harmonize your operations with seasonal fluctuations can spell the difference between triumph and turbulence for your business. Whether you’re peddling sunscreen in summer or crafting holiday magic in winter, understanding and conquering these seasonal shifts is paramount. In this blog post, we will delve into the intricacies of seasonal supply chains and unveil ingenious strategies to help your business not just survive but thrive amidst these shifts.
Decoding Seasonal Supply Chain Shifts
Seasonal supply chain shifts are the balletic movements of commerce, choreographed by the calendar and consumer whims. They materialize when consumer demand for particular products or services experiences pronounced variations throughout the year. These variations are often orchestrated by a symphony of factors, including weather patterns, cultural events, holidays, and economic triggers. Here are some illustrative examples:
Weather-Driven Seasonality: Companies dealing in weather-sensitive wares, such as swimsuits and ski gear, sway with the seasons, adapting their supply chains to these meteorological rhythms.
Festive Frenzy: Retailers, whether physical or online, witness a surge in demand during the festive season, necessitating a flawless fusion of augmented inventory, nimble distribution, and top-notch customer support.
Agricultural Rhapsody: The agricultural sector performs its seasonal sonata as crops are harvested at specific times of the year, affecting not only growers but also the entire supply chain downstream.
Back-to-School Ballet: Businesses peddling school supplies and uniforms orchestrate their operations for the back-to-school season, a crescendo of demand.
Key Strategies for Synchronizing with Seasonal Shifts
Demand Anticipation: Accurate demand forecasting acts as the conductor of your seasonal supply chain orchestra. Harness historical sales data, market intelligence, and predictive analytics to anticipate the crescendos and diminuendos of demand. This enables you to fine-tune inventory levels and production schedules.
Flexibility in Supply Chain Design: Inject adaptability into your supply chain’s DNA to harmonize with changing demand. Embrace flexible staffing arrangements, dynamic warehousing solutions, and versatile transportation options. Temporary personnel and rented storage spaces can be instrumental in hitting the right notes during peak seasons.
Supplier Synergy: Cultivate strong partnerships with suppliers, sharing your seasonal symphony well in advance. Collaborate closely to ensure a steady supply of materials and products when the demand crescendos.
Inventory Virtuosity: Mastery of inventory management is paramount. Employ techniques such as just-in-time inventory, safety stock, and ABC analysis to fine-tune inventory levels. This prevents surplus during lulls and staves off shortages during high-demand periods.
Technological Crescendo: Invest in cutting-edge supply chain technology and automation to streamline processes and elevate efficiency. These tools enhance visibility, orchestrate real-time inventory tracking, and facilitate agile responses to demand fluctuations.
Logistics Choreography: Ensure your transportation and logistics networks possess the grace to handle peak-season volumes. Consider alternative routes and transportation methods to sidestep potential bottlenecks.
Customer Engagement: Keep your audience informed about product availability and delivery schedules during peak seasons. Implement responsive customer support channels to address inquiries and concerns with finesse.
Post-Season Encore: After each peak season performance, conduct a thorough post-season analysis. Uncover areas for refinement, fine-tuning your seasonal supply chain symphony for a stellar encore.
Seasonal supply chain shifts are the verses and choruses of many businesses’ financial songs, and conducting them with mastery is the key to sustained success. By immersing yourself in the rhythm of seasonal demand variations and orchestrating astute strategies, your company can not only meet customer expectations but also transform seasonal challenges into opportunities.
In this harmonious journey, Taylor Logistics stands as your trusted partner, ready to help you hit all the right notes. With their extensive experience and expertise in supply chain management, Taylor Logistics can provide tailored solutions that synchronize your operations with seasonal shifts. Their innovative approach, backed by cutting-edge technology, ensures that your supply chain performs like a well-rehearsed symphony, delivering efficiency and precision.
In a competitive landscape, adaptability and agility during seasonal supply chain shifts are the notes that harmonize with long-term prosperity. So, step onto the stage, embrace the music of the seasons, and let Taylor Logistics choreograph your supply chain for a standing ovation in the world of seamless success.
As we dive into the midpoint of 2023, the freight market continues to evolve, presenting challenges and opportunities for shippers worldwide. In this blog, we will look closer at the current state of the June 2023 freight market and explore what the rest of the month holds for shippers. Understanding these dynamics can help shippers make informed decisions and optimize their supply chain operations.
Demand and Capacity
The freight market in June 2023 is witnessing robust demand for shipping services across various industries. In addition, economic recovery from the pandemic is gaining momentum, leading to increased consumer spending and heightened manufacturing activity. As a result, shippers can expect strong demand for their products, driving the need for reliable transportation services.
However, this surge in demand has led to capacity constraints in the freight market. The imbalance between supply and demand has resulted in higher freight rates and reduced availability of trucking, ocean, and air freight capacity. Shippers should anticipate these challenges and plan their shipments accordingly.
Freight Rates
Due to the demand and capacity imbalance, freight rates increased in June 2023. Shippers should be prepared for higher transportation costs, particularly trucking and container shipping. Budgeting accordingly and negotiating favorable rates with carriers and logistics providers is crucial.
Shippers can explore alternative transportation modes to mitigate the impact of rising freight rates or consider collaborating with freight forwarders who can leverage their networks to secure competitive rates. Optimizing shipment consolidation and employing efficient logistics strategies can also help reduce costs.
Technology and Digitization
Technology is vital in navigating the freight market in this increasingly digital era. Shippers should leverage digital platforms and transportation management systems (TMS) to streamline operations and gain better visibility into their supply chain. In addition, real-time tracking and analytics can provide valuable insights, enabling shippers to make data-driven decisions and optimize freight movements.
Emerging technologies like blockchain and the Internet of Things (IoT) are also revolutionizing the freight industry. These technologies enhance transparency, traceability, and security throughout the supply chain. Therefore, shippers should explore opportunities to incorporate such innovations into their operations to gain a competitive edge.
Shippers can contribute to sustainability goals while maintaining operational efficiency by utilizing intermodal transportation, optimizing routes, and embracing alternative fuels. In addition, partnering with environmentally conscious logistics providers can help shippers align their supply chain with sustainability objectives.
Conclusion
As we progress through June 2023, the freight market presents a mixed landscape of opportunities and challenges for shippers. Understanding the current dynamics and proactively adapting to market changes are key to success. By considering factors such as demand and capacity, freight rates, technology and digitization, and sustainability initiatives, shippers can navigate the freight market effectively and ensure the smooth transportation of their goods.
Partner With Taylor
When meeting your freight needs, Taylor Logistics brokerage services stand out as an excellent choice. With their extensive expertise and industry knowledge, Taylor offers a comprehensive range of logistics solutions tailored to your requirements. Whether you need assistance with transportation management, freight optimization, or supply chain consulting, Taylor Logistics has the expertise and resources to deliver results. They leverage their vast network of carriers and deep understanding of the market to ensure efficient and cost-effective transportation solutions. With a focus on customer satisfaction, Taylor Logistics provides personalized support and real-time visibility, allowing you to track your shipments and make informed decisions. By partnering with #TeamTaylor, you can streamline your supply chain operations, optimize costs, and enhance overall efficiency, ultimately helping your business thrive in the dynamic freight industry.
Companies always look for ways to reduce costs and increase efficiency in today’s highly competitive global economy. To handle their supply chain needs, many companies outsource to third-party logistics providers (3PL).In addition to warehousing, order fulfillment, and transportation, 3PLs offer various services. The benefits of these services can be significant for companies, but they need to be appropriately considered before deciding to use any 3PL. To evaluate a 3PL provider, you should follow these ten steps.
Compare Costs
It is essential to compare the costs of their services to in-house operations as a first step. By doing this, you can determine whether 3PL’s services are cost-effective and if they provide value for money. Don’t forget to factor in additional costs such as setup, technology, and transportation fees.
Analyze On-Time Delivery Rates
An essential aspect of 3PL management is measuring on-time delivery rates. If the 3PL meets customer expectations, this will give you an idea of its reliability. On-time delivery rates are vital for companies that operate in industries where timeliness is critical.
Inventory Accuracy
Inventory accuracy is another important metric to look for in a 3PL provider. This will let you know how well the third-party logistics provider is managing your inventory and whether they can monitor stock levels. Since this can significantly contribute to errors and delays, measuring the 3PL’s capacity to track inventory in transit is also critical.
Customer Satisfaction
Numerous methods, including customer surveys, reviews, and feedback, can be used to gauge customer happiness. You can determine how well the 3PL is meeting consumer expectations by asking for a customer promoter score and referrals.
Return on Investment
Keeping track of your costs will provide insight into the amount of extra revenue your business obtains from the 3PL. In addition, analyzing the revenue generated by the 3PL and comparing it to the costs associated with their services will enable you to gain a more comprehensive understanding of your overall return on investment.
Results
Following the steps outlined above can help you evaluate a 3PL provider and see if they are providing value for the money. With the right metrics in place, you can make an informed decision about whether or not to continue working with them.
Bottom Line
?Selecting the right 3PL provider is an important decision that can significantly impact your company’s success. Evaluating a 3PL provider’s industry experience, technology and tools, services offered, customer service, pricing and agreements, security and compliance, scalability and flexibility, and reputation will help organizations meet their logistics needs and gain a competitive edge. As a result, you can make more informed decisions.
It’s essential to thoroughly research any 3PL provider before making a decision. This includes asking the right questions and conducting due diligence to verify vendor credentials and capabilities. By selecting a 3PL provider that best suits their needs, companies can improve the efficiency of their supply chain, reduce costs, and improve the customer experience. Questions or need to speak with an expert? Talk with Taylor!
We are proud to announce that we have renewed our partnership with SmartWay® for the fifth year in a row, a qualifying sustainability program run by the Environmental Protection Agency. Our fleet consists of US EPA SmartWay®-designated trucks. In addition, our trucks are equipped with anti-idling and fuel-saving equipment for minimal environmental impact and maximum fuel savings. SmartWay® sets standards for all modes of North American transportation businesses ?seeking to differentiate themselves and look for sustainable partners.
What is SmartWay®?
SmartWay is a program that was developed by the U.S. Environmental Protection Agency (EPA) to help address the trends and challenges that the growing logistics industry poses to the environment. It was founded in 2004 as a voluntary, public-private association where private companies can find more sustainable resources to manage their supply chains. Companies can use SmartWay to help measure, benchmark and improve logistics operations to help reduce their environmental footprint and see significant savings to their bottom line.
Talk With Taylor
Fill out the form below, and a member of our team will be in touch asap.
As a business expands and you need to get products in new markets to more customers, there comes a time when it must determine whether to outsource its supply chain operations.
To meet customer demand, shippers turn to a third-party logistics (3PL) provider to do just that.
But not all 3PLs offer the same services and capabilities. For example, some just focus on transportation, and some just on fulfillment. But what about a full-service logistics provider that can do it all? Learn more about the functions of a full-service 3PL like Taylor.
1. Shipping and Receiving
Taylor helps companies with shipping and receiving; our brokerage team manages the shipping process from start to finish. As a technology-driven organization, our transportation management system (TMS) allows for managing carrier relations, freight data, and matrix reports for real-time visibility and increased transparency throughout the shipping process.
2. Transportation
As a multi-service 3PL that also handles transportation, we are responsible for transporting goods between locations, from manufacturer to fulfillment to any brick-and-mortar store, and even direct parcels to your doorstep. Because we have our in-house brokerage and local Cincinnati fleet, there’s no need to leverage another partner to complete any shipping needs.
In addition to transportation, warehousing, and distribution, several 3PLs like Taylor also provide a wide variety of value-added services, including eCommerce, pick & pack, kitting, custom labeling, manufacturing, Amazon prep services, and design. By outsourcing these services, business partners can focus on their core business.
Need a full-service 3PL partner?
Fill out the form below and a member of our team will reach out asap. Questions? Inbox us at info@taylorlog.com or call 513-771-1850
Have you ever had issues with port congestion or total transit time and cost issues for international freight? Taylor Logistics has a specific team that specializes in services with the New Jersey/New York Ports.
It’s one of the biggest days in sports and the second 2nd largest U.S. food consumption day of the year—Thanksgiving being the first. Yep. It’s the Super Bowl. This year it’s the battle of the Kansas City Chiefs vs the Philadelphia Eagles (or Kelce v Kelce). Because it’s such a large snack day shippers who offer the most popular items at big game parties must ensure their supply chains operate smoothly. As a result, fans will be able to purchase the right food and drink in the right quantities, as retailers will have the right food and drinks in stock. Freshness is paramount when shipping food and beverage freight, so supply chain management plays a crucial role here. Temperature-controlled storage is necessary for many of these items, especially in winter. Depending on the product type, shipping ahead and staging in warehouses may be fine. However, other products can only have a slight lead time due to the risk of spoilage. If you’re a food or drink shipper reading this now with plans to sell, sell, sell for the big game, expedited freight is still an option – especially with capacity still generally available. But ideally, you’re already ahead of the game and have had your ducks – or chips or bottles – in a row for a while.
A Super Bowl Experience – All The Food!
It’s not Super Bowl Sunday without wings, our favorite drinks, and every kind of chip dip imaginable (especially Skyline dip IYKYK). Over 1.25 Billion chicken wings, 28 million pounds of potato chips, 54 million avocados, and 50 million cases of beer will be consumed. With an abundance of demand, goods need to arrive on time to avoid shortages and missed opportunities for profits in retail. So whether fans make purchases in State Farm Stadium, from their local market to bring home, or out at their favorite sports bar, consumers are ready to spend for the experience. Food, alcohol, apparel, and decorations will need to be stocked by retailers.
Meeting Inventory Demands Through Capacity
The most important and challenging problem in fulfillment is last-mile delivery. If a disaster strikes a carrier, the most significant impact is during the transfer from distribution center to retail. Distribution centers cannot order perishable items too far in advance. However, suppose an inbound load is late to the distribution center. In that case, stores can order other items from their distribution inventory while still receiving their in-demand non-perishables. With interruptions in last-mile delivery, consumables may not reach the shelves in time for the big game surge in purchasing. Retailers do not like losing profits and market share.
Carriers want to focus on accurate projections to make best-fit decisions between FTL and LTL. FTL options are enticing due to lower spot rates; however, LTLs can have a significant cost-benefit advantage when expediting a load is the priority. Unfortunately, carriers can lose the gamble with FTL. When shippers are in a crunch for time and need to get, a load sent out, even if it’s a partial, they may end up paying FTL rates instead of LTL rates, which tend to be decidedly cheaper for the volume of freight being shipped.
Luckily, resources like visibility and real-time notifications mean that making a reliable supply chain doesn’t have to feel like betting. Instead, with transparency through technology and an excellent team like Taylor, your business will score big and win each time.
Do you have questions about your LTL or FTL? Talk with #TeamTaylor today.
Regardless of the time, day, month, or year, we can provide a precise update on what is happening with your cargo. If there are any problems, we will notify you so that a solution may be implemented before matters escalate. In addition, the information provided is so accurate that you do not have to worry about complaints later for incorrect information or the correct information at the wrong time. If you’re not already partnering with a 3PL with container tracking capabilities, let’s walk you through how your business can benefit.
How Container Tracking Works
Container tracking is a series of technological functions that allows shippers, carriers, and freight forwarders to access the latest status updates on cargo. The technology is effective regardless of location, time zone, route, port, personnel, and cargo type. Despite these benefits, experts are still trying to understand why the technology is not widely used in the sector.
Container Tracking Increases Efficiencies
Container tracking provides operations teams with accurate freight arrival and departure times, improving personnel productivity and exception management by reducing manual detective work by 20-50%.
Better Visibility Further Mitigates Risk of Detention and Demurrage
The ocean carriers have been slower to introduce this new technology because hours and minutes matter in trucking, whereas ocean shipping thinks more in terms of days. Identifying and responding to potential disruptions can significantly reduce demurrage fees and accessorial charges. This innovation and profit-boosting system for container tracking requires on-demand access to accurate and reliable accountability streams.
By partnering with Taylor, you gain access to our container tracking capabilities; we constantly evolve our technology to be best in class. That’s why we partner with project44 to provide our customers with the best data. project44 delivers, covering more than 96% of the world’s container volumes, with the highest data quality and most accurate ETAs available. Have questions? Please fill out the form below, and a member of our team will reach out ASAP.
Every year, freight shipping is different. However, in a lousy year or a good year – there is always a particular pattern. According to this pattern, we forecast and plan for the whole year. Like fall, winter, spring, and summer, the transportation industry has four seasons. Below are the four seasons of freight shipping.
January – March
It’s a new year; the holidays are past us, and freight volume is declining. Not to mention these months are the peak of winter, and the frigid temperatures and snowy roadways are not shipping-friendly. Typically during these months, logistics companies are recovering from holiday shipping. As a result, freight volume will start to progress as the months approach the spring season.
April – July
With the arrival of spring, the produce season begins. Freight volumes will increase, and carriers will have more loads to choose from, allowing them to pick and choose different loads. With pickier carriers, finding trucks becomes more challenging, and rates increase. In certain parts of the United States, the capacity and shipping rates change significantly for non-produce shippers, as carriers are massively switching to high-paying produce loads.
August – October
Produce season has come to an end; however, the hecticness doesn’t stop here. It’s time to prepare for the back-to-school season and start planning for the upcoming holidays. During these months, sales are typically up, and companies rapidly ship products in and out of their facilities to ensure all inventory is ready for the holidays. As a result, rates are still climbing, and freight volumes are towering.
November – December
Happy Holidays! It’s that time of year again; companies are rushing to complete last-minute purchase requests before the holiday closures. The new year is rapidly approaching, and no one wants to leave freight behind and drag it into the new year. The roads start to get busy with people taking time off for long weekends, holiday gatherings, and vacation time. It’s a time that needs to be carefully planned as last-minute items can pop up, and delays are likely.
Taylor Logistics has experience in each shipping season. We want to help you through each season and ensure you get the most out of each month. If you wish each year to be smooth and efficient, get a quote and partner with Taylor today.
The home of the greatest quarterback ever, Joe Burrow, is also the ideal place to store and distribute your products – that’s right, Cincinnati, Ohio. Why? Great question here’s a few key selling points:
Cincinnati is 24 hours from 70% of the United States population, so getting your products quickly and efficiently to the consumer will never be an issue. If you are doing a lot of eCommerce, look no further, as transit times for parcels are the best in the country in Cincinnati.
The Cincinnati region boasts the largest inland port in the country and the 14th largest in the country by cargo volume. Products coming into the Cincinnati rails? If so, we have a dedicated Cincinnati drayage team ready to assist.
So now, with the ideal location for warehousing, distribution, eCommerce, and transportation, you need a team. That’s where we come in; not only are we positioned in the most marvelous city ever, but we have the solutions for your business. Talk with our team today. Fill out the form below and a member of #TeamTaylor will reach out in no time.
It’s always a good time to #ThankATrucker, especially during National Trucking Week. This week we celebrate and recognize the important contributions made by drivers who keep the country’s freight moving.
National Truck Driver Appreciation Week is an important time for America to pay respect and thank all the professional truck drivers for their hard work and commitment in undertaking one of our economy’s most demanding and important jobs. These 3.6 million professional men and women not only deliver our goods safely, securely, and on time, but they also keep our highways safe.
This year’s National Truck Driver Appreciation Week is September 11-17, 2022.
Team Taylor helps manage domestic freight shipping needs for any port located in the United States
Providing solutions to managing port chaos is our thing here’s how we do it:
With Real-Time Visibility
We offer real-time GPS tracking, automated status updates, and notifications for every container. Leveraging the power of the project44 cloud-based platform allows Taylor to provide customers complete visibility throughout the supply chain.
Flexible Capacity
Whether you are shipping a couple of containers or hundreds, Taylor has a vast network of vetted carriers ready to handle your freight seamlessly from port to store or anywhere in between.
Fast Implementation
When it comes to port services, speed is of the essence. That’s why our teams are quick to deploy solutions for your needs. So if you’re looking for speed and high service levels, look no further- partner with Taylor.
Customized Customer Portals
Our easy-to-use cloud-based customer portal gives you access to real-time insights on your freight while in transit and allows you to review scheduled loads.
CINCINNATI, Ohio. – MAY, 24th 2022—Taylor Logistics, a third-party logistics solutions provider, announced that it has partnered with project44 the world’s leading Advanced Visibility Platform™ for shippers and logistics service providers.
Leveraging the power of the project44 cloud-based platform allows Taylor to increase operational efficiencies, reduce costs, improve shipping performance, and deliver an exceptional customer experience. Connected to thousands of carriers worldwide and having comprehensive coverage for all ELD and telematics devices, project44 supports all transportation modes and shipping types.
“We are excited about our partnership with project44. This allows our customers complete visibility throughout the supply chain that we were missing on the front end,” said Vince Bonhaus, Vice President of Logistics, Taylor Logistics Inc. “project44 was the obvious choice for our growing business.”
project44 is a Leader among Real-Time Transportation Visibility Providers, according to the Gartner Magic Quadrant. To learn more, visit www.project44.com.
Our drivers are the backbone of our success; we couldn’t do what we do without them. Taylor has been in business since 1850, building upon a rich history is a foundation that is still family-owned and operated. Grow with us. As customer needs continue to grow, so do the career opportunities within our network. When you join #TeamTaylor, you can choose what personal career growth looks like for you.
Safety
Safety is our number one priority and is one of our five values, top-of-the-line technology, and an entire safety team dedicated to compliance and our drivers.
Company Drivers
The greater Cincinnati area is a vital part of Taylor as Cincinnati is the largest inland port in the country. We have some great opportunities out of the tri-state area, including local home daily fleets, dedicated regional fleets, and regional drayage. Because of the role drivers play in the success of our company, we’ve expanded our private fleet. With our ever-increasing customer needs and freight demands, we continue to recruit the best and safest talent in the transportation industry. Top talent deserves top pay for more than just your miles. Join the Taylor family!
Join Taylor’s owner operator program and get the best of both worlds. The freedom to choose your loads, your home time, and reliable freight and pay come with Taylor’s stable foundation of well-known customers. Plus, you’ll have the support of TeamTaylor and a fuel program that’s second to none. So whether you already own your truck or you’re looking to make the move to owner operator, choose Taylor, where we’re here to help you succeed.
Well, Q1 2022 had no shortage of curveballs, from record-high gas and oil prices to the war in Ukraine and supply chain blockades lasting days on end, on top of record-high inflation. With the unpredictability of Q1, our team is taking a look at the trends and events as we dive into the start of Q2.
Key items to note:
Omnicron 2.0: Surprise, a new Covid variant, is making its course throughout the globe. This new BA.2 subvariant of Omicron could account for a surge in cases impacting consumer behavior. According to data published by the Centers for Disease Control and Prevention last week (04/04) BA.2 spreads 80% faster than the earlier Omicron, has more than doubled in the U.S. over two weeks and will become the dominant variant.
Inflation, Inflation, Inflation: Consumer demand remained strong throughout the quarter. But March has been unusually soft in the truckload freight market. Consumers just aren’t spending like they were in 2021. New research reveals that supply chain issues are exacerbating inflation. A recent study found that during 2022 trade is expected to expand further, due to a 16% increase in exports during 2021 and imports by 12%. Production levels have been unable to keep pace with demand leading to supply shortages and will limit import growth in 2022.
Ocean Freight: Container shipping costs are higher than ever and will stay high for the foreseeable future as importers continue to battle for space in the face of record demand for consumer goods from Asia. Covid resurgence in China disrupted productivity and the supply chain in March. Next potential disruption on-deck: West Coast Longshore Union contract expiration and negotiation.
Drivers: making headlines and making late-night television. Last Week Tonight with John Oliver had an entire 24-minute segment on, you guessed it, drivers (aired just last week). Now a 24-minute spot in any programming late night or news is pretty significant, and the transportation and trucking crisis in America is of the utmost importance. 70% of the US cargo is transported by truck; nearly everything you purchase comes to you by truck. That box of Mac & Cheese that’s been sitting in the pantry for a hot second – truck. Headphones – truck. Your dogs squeaky toy that has seen better days – truck. You get the point. 3.5 million truckers supply our goods in this country. But the entire industry is facing a crisis; there’s a lack of drivers, a pretty massive lack of drivers, and it’s only increasing year over year. Not just long-haul drivers but final-mile delivery drivers. Leading to an overall shortage on shelves, congestion, the domino effect.
Domestic Shipping: Consumer goods demand remains high, filling truck capacities on tight routes due to driver and equipment scarcities. Diesel fuel spiked when Russia invaded Ukraine. As a result, unprecedented ground freight cost is the norm across North America.
Peak produce season is approaching; our team is breaking down the 2022 season, rate increases, transport practices, and capacity challenges. Even if you do not ship or grow produce, this season can directly impact your transportation performance and spending.
What is produce season?
Produce season in the United States generally begins in February and continues through July. It’s the period in which the most significant volume of fruits and vegetables are harvested and shipped to food manufacturers, grocery stores, and other vendors across the country. In February, growing and harvesting kick off in Mexico, and we start to see an influx of produce imports into the U.S. Then, in late March, the produce wave moves to the southeastern states, southern Texas and the Rio Grande Valley, and southern California and continues to move north as temperatures rise.
The impact of produce season
Simply put, produce season it’s the rise in crop volumes and the elevated demand for trucks to transport these crops that impact capacity during this season. These factors lead to an upsurge in rates not only for shippers who utilize refrigerated trucks in harvesting areas but also for most shippers across other modes and regions.
How can you prepare for produce season?
It’s important for shippers to closely watch how all these current issues may magnify the typical challenges of the season. Here’s what you can do to avoid the potential problems during this season:
Partner with a team of logistics experts to help keep you informed of changes in the freight market during produce season
Ship your freight as early as possible and add flexibility into your delivery date
Factor in the longer lead time it may take to source trucks
Consider multimodal shipping solutions to explore alternate transport options
Talk With Taylor
Work with a partner that keeps you informed about the effects of the produce season and educates you on how to adjust your network in response to agricultural fluctuations.
Taylor has a vast network of qualified carriers across the country. In addition, we’ve built a rapport with trucks that produce routes regularly and can help you deftly navigate capacity jumps.
It’s one of the biggest days in sports and the second 2nd largest U.S. food consumption day of the year—Thanksgiving being the first. Yep. It’s the Super Bowl. And let me tell you, this year’s Super Bowl is a historical one and probably the best one yet. But, of course, we might be a bit biased being Cincinnati-based, and it may or may not have been thrown around to change our name to Burrow Logistics after our beloved Joseph Lee Burrow quarterback extraordinaire and king. So, combining our two loves logistics and the Cincinnati Bengals, let’s look at the logistics surrounding 2022 Super Bowl LVI. Who Dey.
A Super Bowl Experience – All The Food!
It’s not Super Bowl Sunday without wings, our favorite drinks, and every kind of chip dip imaginable (especially Skyline dip IYKYK). Over 1.25 Billion chicken wings, 28 million pounds of potato chips, 54 million avocados, and 50 million cases of beer will be consumed. With an abundance of demand, goods need to arrive on time to avoid shortages and missed opportunities for profits in retail. So whether fans make purchases in SoFi Stadium, from their local market to bring home, or out at their favorite sports bar, consumers are ready to spend for the experience. Food, alcohol, apparel, and decorations will need to be stocked by retailers.
Meeting Inventory Demands Through Capacity
The most important and challenging problem in fulfillment is last-mile delivery. If a disaster strikes a carrier, the most significant impact is during the transfer from distribution center to retail. Distribution centers cannot order perishable items too far in advance. However, suppose an inbound load is late to the distribution center. In that case, stores can order other items from their distribution inventory while still receiving their in-demand non-perishables. With interruptions in last-mile delivery, consumables may not reach the shelves in time for the big game surge in purchasing. Retailers do not like losing profits and market share.
Carriers want to focus on accurate projections to make best-fit decisions between FTL and LTL. FTL options are enticing due to lower spot rates; however, LTLs can have a significant cost-benefit advantage when expediting a load is the priority. Unfortunately, carriers can lose the gamble with FTL. When shippers are in a crunch for time and need to get, a load sent out, even if it’s a partial, they may end up paying FTL rates instead of LTL rates, which tend to be decidedly cheaper for the volume of freight being shipped.
Luckily, resources like visibility and real-time notifications mean that making a reliable supply chain doesn’t have to feel like betting. Instead, with transparency through technology and an excellent team like Taylor, your business will score big and win each time.
Do you have questions about your LTL or FTL? Talk with #TeamTaylor today.
As a third-party logistics (3PL) company, we are here to help your business. We consider ourselves an extension of your team, a partner. As you grow and evolve, we grow and evolve right alongside you. From expanding your brand from retail to offering direct-to-consumer fulfillment to drayage and port services, we’ve got you covered. Discover more about #TeamTaylor by clicking the below links.
Cross docking is the transfer of inbound goods to an outbound carrier through the use of a cross docking facility – that is, a temporary storage terminal that cuts out or reduces the need for inventory storage. All incoming goods are sorted and loaded onto outbound trucks as quickly as possible – often immediately.
It’s trending!
The cross docking market is growing yet again! Globally it’s expected to reach US$342 billion by 2030 at a CAGR of around 6%. This growth is fueled by increasing consumer expectations for delivery times, putting pressure on the supply chain through the ‘need for speed’.
Cross docking benefits
Reduced costs, particularly any costs associated with long-term inventory storage and associated facilities, labor and utilities
Improved stock turnover, as the goal of cross docking is to get goods in and out as efficiently as possible
Minimized risk, given there’s reduced handling of goods and no long-term storage that could increase the chance of spoilage
Halloween is this weekend; pumpkin-spiced everything has been taking up menu real estate at your local coffee shop for some time, and turkey is right around the corner. So not only is it the start of the holiday season, but it’s also the start of peak shipping season. Our experts give pointers on how to succeed during this busy season and how 2021 is already shaping up differently from years past.
What is peak season shipping?
There are four seasons of freight shipping and the peak season of shipping starts at the end of the summer. This time is considered a peak shipping season because there is a combination of demand from different markets. Businesses start stocking up for the upcoming holiday season, there is back-to-school shopping time, and retailers try to sell out their inventories from the summer season. During this peak time, freight rates are at the highest, and the capacity is tight.
What are the four seasons of freight shipping?
The Quiet Shipping Season (January – March)
The Produce Shipping Season (April – July)
The Peak Shipping Season (August – October)
The Holiday Shipping Season (November – December)
How to be successful throughout the peak shipping season
Knowing the market
The key to navigating peak shipping season is to understand the truckload demand and market specifics across various industries. In 2020, demand was low, and freight rates were higher than usual. In 2021 however, shippers are less cost-sensitive, and freight volumes are extremely hot. If you plan to work with high-quality carriers, start navigating the market during spring and early summer. Create a proper shipping strategy to help you define the market trends and successfully ship goods.
During the peak shipping season, you need every advantage you can get! Here’s an example, you can efficiently utilize a transportation management system (TMS) to optimize route planning and ensure efficient deliveries. You can also use other supply chain technology to automate warehousing processes and inventory control, providing up-to-the-minute data on your entire operation.
Work with reliable a 3PL
Reliable 3PL here, and we will make sure you have fast and reliable shipping services. Our team knows that freight, more often than not, is time-sensitive, and capacity can be tight. So we work with a wide variety of professional, high-quality carriers to ensure your products are delivered timely and with ease.
This update is a report that analyzes data from multiple sources, including but not limited to FreightWaves SONAR, DAT, American Shipper, Morgan Stanley Research, FTR Transportation Intelligence, Journal of Commerce, and National Retail Federation(NRF).
The broken record phrase of “freight volumes continue to rise” is still in play. The current Outbound Tender Volume Index is roughly 3% higher year-over-year (YOY). We get that 3% might sound and look like a minimal increase but keep in mind volumes were accelerating quickly over the last several months of 2020. So while the comps are more challenging as we get into the more difficult months of 2021, the volumes are still dominating what they were a year ago. Our team is digesting the 2021 peak season and the factors that are currently influencing the market.
Ports Delays Continue to Rise
Many anticipated a slowdown in import activity, as ports are overburdened with operations and equipment trying to keep up with the constant influx of ships waiting to unload their cargo. But that is hardly the case. While the numbers fluctuate from day to day, there were 70 container ships in the queue on Monday in late September 2021, with a total capacity of 432,909 twenty-foot equivalent units. To put the vastness of that number in perspective, that’s more than the inbound container volume the Port of Long Beach handled in the entire month of August. It’s roughly what Charleston handles inbound in four months and what Savannah handles in two. So why the boom? Well, consumers are spending. eCommerce, a rise in CPG, the upcoming holiday season are driving demand for imported goods, requiring ships for transportation.
What happens when the cargo finally reaches the port? First, available trucks will flock to these locations due to the increased pay possibilities that this freight represents. Second, shippers and retailers waiting for their long-dormant freight will pay above-market rates to get their goods rushed directly to their destinations.
Consumers Buying Trends Continue to Increase
Consumer goods have encountered extensive growth since the start of the pandemic, and there are no signs of this trend slowing down. Employment numbers, a reliable predictor of spending, are the strongest since March of last year. While consumer spending did not need employment numbers to remain elevated for the past year, a more stable job market bodes well for the economic outlook and trends to continue. In August, consumer spending bounced back from a mid-summer lull. During the past month, it jumped .8% after a decline of .1% in July. Moreover, income rose by .2% as consumer prices increased by .4%.
Partner With a Logistics Solutions Provider to Navigate Peak Season
Our team is here for you. No matter the situation, we’ve got your back.
We are here as your partner — we are an extension of your team with a clear understanding of our responsibility to replicate the strategic business goals of your organization. No matter the size of your business, we help our customers achieve the best possible freight outcomes and decrease overall costs.
The National Oceanic and Atmospheric Administration’s (NOAA) Climate Prediction Center is predicting another above-normal Atlantic hurricane season. Forecasters predict a 60% chance of an above-normal season, a 30% chance of a near-normal season, and a 10% chance of a below-normal season. However, experts do not anticipate the historic level of storm activity seen in 2020.
If you’ve seen higher than expected freight rates, we hear you, we see you. There’s a couple of potential factors for these increases. Since Q2 of 2020, the freight markets have shown robust growth, which has raised rates dramatically. While this is good news for carriers and manufacturers, it has caused CPG shippers to pay the price in rising freight rates. In this week’s blog, our team analyzes the various factors that are driving up freight rates and why they are happening.
Factor 1 | Port Congestion
With pandemic-related consumer shopping habits, many West Coast ports operated at maximum capacity during the summer. In 2021, the uptick in imports has compounded the situation and caused even more congestion. March retail sales increased by 9.8% sequentially and 14.3% year-over-year. A 27.7% jump led to an increase in sales of food services. With more imports on board, shippers should brace for capacity constraints. As the produce season gets underway, rates will also rise.
Factor 2 | Produce Season
The start of the produce season typically occurs in February in the southern US. By spring/summertime, it has reached the majority of the US. During this time, capacity is tightened as refrigerated carriers dedicate a lot of their space to hauling produce. Other products that can ship via dry van or on refrigerated trucks will move to van transport, thus increasing freight rates across the board.
Factor 3 | Reliance on Split Shipments
eCommerce brands have been comprehensively using split shipments for years. Firstly goods need to be picked from inventories across different locations. With not enough room on a single truck or plane for an entire shipment, it may have to be divided into individual boxes and delivered individually. Split shipments happen to occur even more often during cross-country or international shipment of goods. The more the shipments, the costlier the shipping costs; therefore, the trend ends up being a pricey affair and often harmful to the shipping ecosystem.
Counter Rising Rates with these Techniques:
Advance Planning
One of the most effective ways to combat these high freight rates is planning shipments far in advance. Cargo cost is increasing every day. To avoid paying surged charges and avail early bird facilities, companies have to plan their shipments well in advance strategically. Working with a team of transportation experts (Like Taylor) that uses digital platforms to leverage data on the freight costs to predict rates and trends affecting the rates will help to plan and lower costs.
Work With A Team Of Experts
Work with a dedicated logistics team to ensure conditions do not endanger profitability. Teaming up with a partner like Taylor can help your organization correctly forecast costs and find more favorable pricing through consolidation or mode optimization services.
Your favorite co-hosts, Chris Baum and Noelle Taylor, are back covering a full range of topics from port to door services, the lunar new year, expecting the unexpected, and drop trailer services.
Have you ever had issues with port congestion or total transit time and cost issues for international freight? Taylor Logistics has a specific team that specializes in services with the New Jersey/New York Ports.
New-age technologies have widened the scope of transportation. Some features will allow you to access to driving and travel analytics. As a result, you will adjust your business according to the recent trends in the market. Today, we live in a world that is digitally connected. The trucking industry is also working hard to create that perfect network. Here are ways to ensure your fleet is connected.
On-The-Go Tech
Putting mobile technology into the hands of drivers can help managers collect real-time data around arrival/departure times, wait times, loading/unloading times, fuel stops, and more. These real-time metrics help managers work smarter, providing the critical insights they need to make informed decisions around pricing, generate increased revenues, and better manage the bottom line. Mobile also helps to enhance employee experiences by enabling people to take control of their schedules. Using employee self-service features, drivers should be able to tap their mobile device to request a vacation day, anywhere at any time, and they know with confidence that their request was received and processed by a manager.
Data, Data, Data!
Analyzing data while on the go enables managers to identify trends, drive better business outcomes, and eliminate possible waisted time. If a driver isn’t on the move, that truck isn’t earning revenue. So, look at drivers’ wait times – are they longer than expected? A manager may find that a particular yard wasn’t ready for a truck when it arrived, and this left the driver waiting longer than expected before unloading could begin.
There have been several advancements made throughout the trucking industry that have positively impacted the well-being and safety of truck drivers. It will be fascinating to see what new innovative technology emerges in the coming months to continue to shape the industry.
Flatbed trucking is an integral piece of the supply chain frequently used for carrying oversized or oddly shaped loads but has a wide variety of uses making it very versatile and valuable. Flatbeds are designed not only for providing an unconfined space for freight but are also makes loading and unloading of goods much more uncomplicated. Read about all the practical reasons to use flatbed trucking.
Use Flatbed Trucking for Variety of Materials
When transporting a high volume of material on a single trip, the flatbed can accommodate various types of cargo equipment with different dimensions. This dimensional flexibility allows for cargo of any shape or size.
Ease of Loading and Offloading
Flatbed trailers are open with no confined walls making it more accessible to load from all directions. Loading is exceptionally efficient, with a forklift from the ground rather than having to dock for loading. This trailer can carry bigger and wider loads than confined trailers.
No Loading Dock
Vans are the most popular mode of transportation of cargo; however, they have a limitation as they need access to a loading dock for loading and unloading. With flatbed trucking, you will not be restricted to a dock as it’s able to deliver cargo in virtually any open location. This flexibility is appealing to lumber shippers and contractors.
Shipping Rates
Flatbed rates are determined based on a variety of market factors. The area where the freight is transported to and from, diesel prices, the weight, and dimensions, as well as the number of available trucks, all have a role in determining the flatbed rate.
Let Us Help
Within the scope of Taylor’s service portfolio, we offer Freight Brokerage services through our expert team of dispatchers and maintain relationships with a network of screened, dependable carriers allowing us to expand our customer service reach to the entire United States. We service 100% of freight lanes, providing our customers with a one-stop-shop for all supply chain services.
Final Thoughts
If you are knowledgeable about the freight you are shipping, understand the options available, and select the right people to work with, your shipping efforts will not only go smoother, but you will also save valuable time and a lot of money. Not sure where to begin? Reach out to us at Taylor Logistics and let us show you what we can do for you today!