80% say Brexit is biggest disruption

Research from Ivalua, a leading global spend management cloud provider, has revealed that 80% of UK businesses say that Brexit has been the biggest disrupter to supply chains in the last 12 months, while 83% fear the biggest disruption from Brexit is yet to come.

The Ivalua-commissioned study, conducted by Coleman Parkes, found that Brexit was having a bigger impact on supply chains than the war in Ukraine (76%), rising energy costs (71%) and COVID-19 (59%). Increasing supply chain disruption meant that 28% of UK businesses lost revenue in the last 12 months, with these businesses estimating an average drop in revenue of 18%. Supply chain disruption has also resulted in products arriving late, resulting in SLA fines (68%) and reputational damage (64%).

Moreover, 80% of UK businesses say that Black Swan events such as Brexit, COVID-19 and the War in Ukraine have “left supply continuity on life support”.

“These findings lay bare the significant toll of supply chain disruption on UK businesses,” comments Alex Saric, smart procurement expert at Ivalua. “Supply continuity has been left on life support after repeated blockages and restarts, resulting in supplier failure and organisations struggling to onboard new suppliers to kick-start supply. With supply chains being shocked at shrinking intervals, organisations must work to future-proof supply chains. A digitised, data-driven approach to supply chain management is a prerequisite for actionable scenario planning and agility. Yet, according to a study from Procurious, only 24% of executive teams have fast-tracked investments in new technology for procurement.”

Disruption to continue

On average, UK businesses estimate supply chain disruption will impact them for the next six months, with 31% saying the impact will continue for the next year. Over half (59%) believe supply chain disruption has become normal, and that we’ll see more Black Swan events in the future.

The effect of this disruption could be severe, with 69% of UK businesses concerned that more supply chain disruption will put suppliers out of business, while 51% fear they will go out of business. A further 83% say disruption has also slowed down their ability to innovate and develop new products.

“As Black Swan events accelerate, UK businesses must bolster resilience by ensuring they have total visibility into all suppliers, including tier-2 and 3. Collaboration is critical too – supply chains are only as resilient as your ability to work with suppliers to mitigate the impact of any disruption.” added Saric.

“But to do this, supply chain management must be digitalised. This is essential for continually assessing risk exposure, building a complete view of your supplier ecosystem and sharing information. Doing so will help organisations to better handle disruption, and cope with growing pressure that recession and inflation will pile on procurement teams in the next 12 months.”

 

80% say Brexit is biggest disruption

Research from Ivalua, a leading global spend management cloud provider, has revealed that 80% of UK businesses say that Brexit has been the biggest disrupter to supply chains in the last 12 months, while 83% fear the biggest disruption from Brexit is yet to come.

The Ivalua-commissioned study, conducted by Coleman Parkes, found that Brexit was having a bigger impact on supply chains than the war in Ukraine (76%), rising energy costs (71%) and COVID-19 (59%). Increasing supply chain disruption meant that 28% of UK businesses lost revenue in the last 12 months, with these businesses estimating an average drop in revenue of 18%. Supply chain disruption has also resulted in products arriving late, resulting in SLA fines (68%) and reputational damage (64%).

Moreover, 80% of UK businesses say that Black Swan events such as Brexit, COVID-19 and the War in Ukraine have “left supply continuity on life support”.

“These findings lay bare the significant toll of supply chain disruption on UK businesses,” comments Alex Saric, smart procurement expert at Ivalua. “Supply continuity has been left on life support after repeated blockages and restarts, resulting in supplier failure and organisations struggling to onboard new suppliers to kick-start supply. With supply chains being shocked at shrinking intervals, organisations must work to future-proof supply chains. A digitised, data-driven approach to supply chain management is a prerequisite for actionable scenario planning and agility. Yet, according to a study from Procurious, only 24% of executive teams have fast-tracked investments in new technology for procurement.”

Disruption to continue

On average, UK businesses estimate supply chain disruption will impact them for the next six months, with 31% saying the impact will continue for the next year. Over half (59%) believe supply chain disruption has become normal, and that we’ll see more Black Swan events in the future.

The effect of this disruption could be severe, with 69% of UK businesses concerned that more supply chain disruption will put suppliers out of business, while 51% fear they will go out of business. A further 83% say disruption has also slowed down their ability to innovate and develop new products.

“As Black Swan events accelerate, UK businesses must bolster resilience by ensuring they have total visibility into all suppliers, including tier-2 and 3. Collaboration is critical too – supply chains are only as resilient as your ability to work with suppliers to mitigate the impact of any disruption.” added Saric.

“But to do this, supply chain management must be digitalised. This is essential for continually assessing risk exposure, building a complete view of your supplier ecosystem and sharing information. Doing so will help organisations to better handle disruption, and cope with growing pressure that recession and inflation will pile on procurement teams in the next 12 months.”

 

Home Delivery: Competitive Difference

Peak season home delivery is more complex than ever. Andrew Tavener of Descartes explains how businesses should address the critical challenges.

In the face of peak season order volumes, last-mile delivery has become a trigger point for defining the customer experience. Unfortunately, as consumers head into the holiday shopping season, many are frustrated and taking action against poor performers.

A recent study of 8,000 European and North American consumers found that nearly three-quarters (73 percent) of consumers experienced delivery problems in the October–December 2021 holiday shopping period. The top three issues (see illustration) were related to timeliness: deliveries were late (26 percent); deliveries didn’t arrive when promised (22 percent); and time windows for deliveries were too long and inconvenient (22 percent). Plus, a disgruntled 16 percent didn’t receive their delivery.

This poor delivery performance can be catastrophic for retailers during peak season, especially with many online vendors relying on high sales volumes during the holidays to buoy revenues. Nearly one-quarter (23 percent) of the study respondents refused to order from poorly performing retailers again; nearly a quarter lost trust in both the delivery company (24 percent) and the retailer (21 percent). Additionally, 17 percent of consumers indicated they advised friends and family to avoid the retailer. E-commerce vendors that accept mediocre delivery quality will likely experience hits to their holiday sales tallies as consumers turn to competitors that do find ways to meet consumers’ expectations.

Meeting the delivery performance expectations of holiday shoppers begins well before the product is loaded onto the truck — with visibility into the warehouse. From an inventory management (and customer trust) perspective, retailers must ensure the products presented online accurately reflect available inventory. Furthermore, consumers should be able to choose from various delivery options at the point of sale (POS).

On the home delivery front, while delivery speed remains – for many consumers – a factor in purchase decisions, notably, consumers place more value on retailers keeping their delivery promise. To meet delivery expectations and keep customers happy (preventing failed deliveries and returning for post-holiday purchases), e-commerce retailers must find ways to boost last-mile efficiency, productivity and reliability.

Sustainable home delivery

If all these factors weren’t challenging enough, further research around home delivery sustainability has revealed its increasing importance to a significant percentage of consumers. Indeed, only 38 percent of over 8000 consumers across nine countries in Europe and North America thought that most retailers were doing a good job of sustainable home delivery.

Furthermore, 60 percent of consumers today have environmental importance expectations for their home deliveries – from combining orders, accepting longer lead times for delivery, to having the retailer recommend the most friendly delivery option. And, if we look five years ahead, there is also a growing trend from consumers that the use of eco-friendly vehicles and a retailer’s ability to show home delivery carbon footprint will play a factor in their purchasing choices.

If a proportion of consumers are willing to compromise on convenience to ensure greater retailer sustainability, then the imperative to get efficiency and reliability right holds even greater emphasis, with a focus on making every mile as green as possible.

Competitive differentiator

While critical to an optimised customer experience, final mile delivery is a complex part of the fulfilment process – and is only becoming increasingly more so.

By implementing technology that creates efficiencies across the delivery lifecycle — from dynamic delivery appointment scheduling, delivery route planning, and continuous route optimisation to GPS-enabled real-time mobile tracking, mobile proof-of-delivery, and delivery status notifications — retailers can give consumers more delivery choices, improve delivery reliability, keep customers informed of delivery status, and – crucially – provide different consumers with parameters for home delivery that suit their specific priorities.

Indeed, gearing up with the right technology tools can help e-commerce retailers keep their delivery promise, whatever that may be — a critical factor in building customer loyalty and driving repeat business — by ensuring customers get the products they want, delivered to their door, at the expected time.

Moreover, these tools can also lay the foundation for agile and dynamic home delivery options that meet consumers’ growing needs for both convenience and sustainability.

www.descartes.com

Home Delivery: Competitive Difference

Peak season home delivery is more complex than ever. Andrew Tavener of Descartes explains how businesses should address the critical challenges.

In the face of peak season order volumes, last-mile delivery has become a trigger point for defining the customer experience. Unfortunately, as consumers head into the holiday shopping season, many are frustrated and taking action against poor performers.

A recent study of 8,000 European and North American consumers found that nearly three-quarters (73 percent) of consumers experienced delivery problems in the October–December 2021 holiday shopping period. The top three issues (see illustration) were related to timeliness: deliveries were late (26 percent); deliveries didn’t arrive when promised (22 percent); and time windows for deliveries were too long and inconvenient (22 percent). Plus, a disgruntled 16 percent didn’t receive their delivery.

This poor delivery performance can be catastrophic for retailers during peak season, especially with many online vendors relying on high sales volumes during the holidays to buoy revenues. Nearly one-quarter (23 percent) of the study respondents refused to order from poorly performing retailers again; nearly a quarter lost trust in both the delivery company (24 percent) and the retailer (21 percent). Additionally, 17 percent of consumers indicated they advised friends and family to avoid the retailer. E-commerce vendors that accept mediocre delivery quality will likely experience hits to their holiday sales tallies as consumers turn to competitors that do find ways to meet consumers’ expectations.

Meeting the delivery performance expectations of holiday shoppers begins well before the product is loaded onto the truck — with visibility into the warehouse. From an inventory management (and customer trust) perspective, retailers must ensure the products presented online accurately reflect available inventory. Furthermore, consumers should be able to choose from various delivery options at the point of sale (POS).

On the home delivery front, while delivery speed remains – for many consumers – a factor in purchase decisions, notably, consumers place more value on retailers keeping their delivery promise. To meet delivery expectations and keep customers happy (preventing failed deliveries and returning for post-holiday purchases), e-commerce retailers must find ways to boost last-mile efficiency, productivity and reliability.

Sustainable home delivery

If all these factors weren’t challenging enough, further research around home delivery sustainability has revealed its increasing importance to a significant percentage of consumers. Indeed, only 38 percent of over 8000 consumers across nine countries in Europe and North America thought that most retailers were doing a good job of sustainable home delivery.

Furthermore, 60 percent of consumers today have environmental importance expectations for their home deliveries – from combining orders, accepting longer lead times for delivery, to having the retailer recommend the most friendly delivery option. And, if we look five years ahead, there is also a growing trend from consumers that the use of eco-friendly vehicles and a retailer’s ability to show home delivery carbon footprint will play a factor in their purchasing choices.

If a proportion of consumers are willing to compromise on convenience to ensure greater retailer sustainability, then the imperative to get efficiency and reliability right holds even greater emphasis, with a focus on making every mile as green as possible.

Competitive differentiator

While critical to an optimised customer experience, final mile delivery is a complex part of the fulfilment process – and is only becoming increasingly more so.

By implementing technology that creates efficiencies across the delivery lifecycle — from dynamic delivery appointment scheduling, delivery route planning, and continuous route optimisation to GPS-enabled real-time mobile tracking, mobile proof-of-delivery, and delivery status notifications — retailers can give consumers more delivery choices, improve delivery reliability, keep customers informed of delivery status, and – crucially – provide different consumers with parameters for home delivery that suit their specific priorities.

Indeed, gearing up with the right technology tools can help e-commerce retailers keep their delivery promise, whatever that may be — a critical factor in building customer loyalty and driving repeat business — by ensuring customers get the products they want, delivered to their door, at the expected time.

Moreover, these tools can also lay the foundation for agile and dynamic home delivery options that meet consumers’ growing needs for both convenience and sustainability.

www.descartes.com

Electric vans “could be worked harder”

Petrol and diesel-powered light commercial vehicles (LCVs) are being worked more than twice as hard as electric vans within the same customer fleets, despite the average daily mileage being well within the range of an electric LCV.

Detailed analysis of more than 85,000 vehicle records by Michelin Connected Fleet’s data science team found the average internal combustion-engined (ICE) van travels 63 miles per day, compared with just 28 miles for an electric LCV.

Michelin Connected Fleet also found that 59% of electric vehicles (EVs) are being plugged in when the state of charge is greater than 50% – which negatively impacts driver productivity, particularly given half of charging events occur during the daytime. This overcharging is also putting lithium-ion batteries through unnecessary charging cycles which could cause them to deteriorate faster, negatively impacting range and residuals.

Alberto De Monte, Business Segment Director for EV and OEM at Michelin Connected Fleet, says: “Range anxiety is clearly impacting the fleet market’s confidence in electric vans, resulting in EVs being overcharged, and under-worked.

“In most applications the EVs you buy today have the range to do the job of a petrol or diesel-powered van in and around cities, but they’re being deployed on the lightest duty work – whilst ICE assets are being worked harder, which is less efficient and increases emissions.”

Electric vans overcharged

Michelin Connected Fleet’s analysis has also revealed that van drivers charged batteries to 90% or more in 76% of the charging events it studied – in comparison with car drivers who hit 90% or more in only 58% of instances.

De Monte adds: “We know lithium-ion batteries perform best when the state of charge is maintained between 20 to 80%, and the general advice is to only charge the battery fully if you need that additional range for a particularly long journey.

“What we’re seeing points to more guidance being needed for fleets to ensure they are maximising the benefits which transitioning to EVs offer; and not storing up issues which could impact performance and residuals down the line.”

Michelin Connected Fleet offers a dedicated electric vehicle fleet management service called MoveElectric, designed to help businesses of all sizes to lower fleet CO2 emissions, reduce operating costs, and to integrate EVs for the most efficient last mile delivery strategy.

MoveElectric brings easy-to-use tools to help fleets plan, grow and master all aspects of EV fleet management, from identifying routes to achieving EV roll-out. It forms part of a comprehensive fleet management solution to help connect vehicles, optimise performance, and gain greater visibility across an entire fleet based upon informed data-driven choices.

Michelin Connected Fleet will be using its attendance at the London EV Show 2022 (29th November – 1st December 2022, ExCel London) to talk to fleets about the importance of switching to EVs, and showcasing how MoveElectric can support the transition.

 

Electric vans “could be worked harder”

Petrol and diesel-powered light commercial vehicles (LCVs) are being worked more than twice as hard as electric vans within the same customer fleets, despite the average daily mileage being well within the range of an electric LCV.

Detailed analysis of more than 85,000 vehicle records by Michelin Connected Fleet’s data science team found the average internal combustion-engined (ICE) van travels 63 miles per day, compared with just 28 miles for an electric LCV.

Michelin Connected Fleet also found that 59% of electric vehicles (EVs) are being plugged in when the state of charge is greater than 50% – which negatively impacts driver productivity, particularly given half of charging events occur during the daytime. This overcharging is also putting lithium-ion batteries through unnecessary charging cycles which could cause them to deteriorate faster, negatively impacting range and residuals.

Alberto De Monte, Business Segment Director for EV and OEM at Michelin Connected Fleet, says: “Range anxiety is clearly impacting the fleet market’s confidence in electric vans, resulting in EVs being overcharged, and under-worked.

“In most applications the EVs you buy today have the range to do the job of a petrol or diesel-powered van in and around cities, but they’re being deployed on the lightest duty work – whilst ICE assets are being worked harder, which is less efficient and increases emissions.”

Electric vans overcharged

Michelin Connected Fleet’s analysis has also revealed that van drivers charged batteries to 90% or more in 76% of the charging events it studied – in comparison with car drivers who hit 90% or more in only 58% of instances.

De Monte adds: “We know lithium-ion batteries perform best when the state of charge is maintained between 20 to 80%, and the general advice is to only charge the battery fully if you need that additional range for a particularly long journey.

“What we’re seeing points to more guidance being needed for fleets to ensure they are maximising the benefits which transitioning to EVs offer; and not storing up issues which could impact performance and residuals down the line.”

Michelin Connected Fleet offers a dedicated electric vehicle fleet management service called MoveElectric, designed to help businesses of all sizes to lower fleet CO2 emissions, reduce operating costs, and to integrate EVs for the most efficient last mile delivery strategy.

MoveElectric brings easy-to-use tools to help fleets plan, grow and master all aspects of EV fleet management, from identifying routes to achieving EV roll-out. It forms part of a comprehensive fleet management solution to help connect vehicles, optimise performance, and gain greater visibility across an entire fleet based upon informed data-driven choices.

Michelin Connected Fleet will be using its attendance at the London EV Show 2022 (29th November – 1st December 2022, ExCel London) to talk to fleets about the importance of switching to EVs, and showcasing how MoveElectric can support the transition.

 

Smooth docking at Evri superhub

As one of the UK’s largest delivery companies, Evri sorts and delivers millions of parcels every day. With ambitions of adding greater capacity to its nationwide network and strengthening its regional operations, the company – formerly known as Hermes – committed to creating a third superhub.

Situated on a 42-acre site in Barnsley, the 340,000 sq ft facility is the largest of its kind in Europe and represents a £60m investment by the firm. Responding to the growing demand generated by online shopping, the automated parcel distribution hub will take Evri’s national capacity to 4.2 million parcels per day.

A key aspect of the building is the 163 docking bays; lining two sides of the superhub, they provide the entry and exit points for every one of the 1.1 million parcels making their way through the facility each day during peak periods. This high volume of parcel traffic makes the vehicle docks an integral component in smooth and efficient parcel distribution.

Efficient doors for Evri

To equip the superhub with the docking solutions it required, Evri turned to long-term partner Assa Abloy Entrance Systems for a range of expertly designed systems. Centred around the OH1042P Insulated Panel Door, the solution for each loading bay also benefits from a DS6060P Mechanical Curtain Dock Shelter and a DL6120T Telescopic Lip Dock Leveller.

Providing a reliable, robust and well-insulated operational entrance, the OH1042P Insulated Panel Sectional Doors used in each bay maximise free space by opening vertically, or up and over ceilings, conveyors or mezzanines as required. Paired with a hard-wearing twin-ram hydraulic Teledock which ensures an adjustable, ergonomic and seamless contact between vehicle and dock, Evri’s team can get to work loading and unloading vehicles at each dock quickly, safely and easily.

Surrounding each dock system is the Mechanical Shelter, which provides weather protection during the loading and unloading process. For staff, this creates a safer and more comfortable working environment internally, while adding greater protection to parcels, ultimately improving standards through Evri’s processes.

For a long-term solution, however, several variants needed to be considered. From everyday high-volume use through to differing trailer types which will be regularly docking in the bays, the experienced Assa Abloy Entrance Systems team tailored each product specifically to Evri’s requirements.

Reduced window size

On the doors themselves, window sizes were reduced to limit the potential of accidental impact damage; buffers were modified to provide more robust protection to the building fabric and docking equipment; and the levellers and shelters themselves were adapted to accommodate different trailer bed designs and those of varying heights and widths – a crucially important consideration at a time when new trailer types are being introduced to improve vehicle efficiency.

Elsewhere on Evri’s 42-acre site in Barnsley, a dedicated Vehicle Maintenance Unit is regularly servicing and maintaining the fleet which moves parcels between hubs. Here, Assa Abloy Entrance Systems provided the 1042P Sectional Doors in level access arrangement. As well as maximising the opening area for vehicles to drive through, the doors also house larger windows, allowing more natural light inside the building whilst enhancing visibility of the yard. Simple, practical solutions designed to create safer and more comfortable environments for the superhub’s maintenance engineers.

Future-proofing smooth operations

Now Evri’s super hub is fully operational, the next challenge lies in keeping every door system and dock operating smoothly. Afterall, they’re the start and end of each parcel’s journey through the facility and need to remain operational round the clock.

Besides ensuring precisely designed, crafted and installed engineered solutions, Assa Abloy Entrance Systems is delivering a service and maintenance programme. Combined, this approach reduces lifecycle cost over the complete operational life of each door system, cuts the potential for unforeseen downtime and equips Evri with entrance systems they can rely on day after day.

As part of the service and maintenance programme, Assa Abloy Entrance Systems says it takes a two-pronged approach. Firstly, it schedules planned preventative maintenance at set periods and will see every opening asset on site serviced to keep them operating as expected. Secondly, the company provides immediate hands-on support when the unexpected happens, ensuring any system faults are quickly resolved by expert engineers.

Philip Whiteley, of Assa Abloy Entrance Systems, said: “Through our work with Evri, we have helped them to fulfil their ambitions of creating a major element of their nationwide distribution infrastructure which is able to cope with significantly heightened capacity. With the latest entrance systems in place, they can process more parcels more quickly than ever.

“We’re excited to be continuing our work with Evri over the coming years as we provide regular servicing and maintenance which will keep things running smoothly and, ultimately, reduce costs over their entire service life.”

 

Smooth docking at Evri superhub

As one of the UK’s largest delivery companies, Evri sorts and delivers millions of parcels every day. With ambitions of adding greater capacity to its nationwide network and strengthening its regional operations, the company – formerly known as Hermes – committed to creating a third superhub.

Situated on a 42-acre site in Barnsley, the 340,000 sq ft facility is the largest of its kind in Europe and represents a £60m investment by the firm. Responding to the growing demand generated by online shopping, the automated parcel distribution hub will take Evri’s national capacity to 4.2 million parcels per day.

A key aspect of the building is the 163 docking bays; lining two sides of the superhub, they provide the entry and exit points for every one of the 1.1 million parcels making their way through the facility each day during peak periods. This high volume of parcel traffic makes the vehicle docks an integral component in smooth and efficient parcel distribution.

Efficient doors for Evri

To equip the superhub with the docking solutions it required, Evri turned to long-term partner Assa Abloy Entrance Systems for a range of expertly designed systems. Centred around the OH1042P Insulated Panel Door, the solution for each loading bay also benefits from a DS6060P Mechanical Curtain Dock Shelter and a DL6120T Telescopic Lip Dock Leveller.

Providing a reliable, robust and well-insulated operational entrance, the OH1042P Insulated Panel Sectional Doors used in each bay maximise free space by opening vertically, or up and over ceilings, conveyors or mezzanines as required. Paired with a hard-wearing twin-ram hydraulic Teledock which ensures an adjustable, ergonomic and seamless contact between vehicle and dock, Evri’s team can get to work loading and unloading vehicles at each dock quickly, safely and easily.

Surrounding each dock system is the Mechanical Shelter, which provides weather protection during the loading and unloading process. For staff, this creates a safer and more comfortable working environment internally, while adding greater protection to parcels, ultimately improving standards through Evri’s processes.

For a long-term solution, however, several variants needed to be considered. From everyday high-volume use through to differing trailer types which will be regularly docking in the bays, the experienced Assa Abloy Entrance Systems team tailored each product specifically to Evri’s requirements.

Reduced window size

On the doors themselves, window sizes were reduced to limit the potential of accidental impact damage; buffers were modified to provide more robust protection to the building fabric and docking equipment; and the levellers and shelters themselves were adapted to accommodate different trailer bed designs and those of varying heights and widths – a crucially important consideration at a time when new trailer types are being introduced to improve vehicle efficiency.

Elsewhere on Evri’s 42-acre site in Barnsley, a dedicated Vehicle Maintenance Unit is regularly servicing and maintaining the fleet which moves parcels between hubs. Here, Assa Abloy Entrance Systems provided the 1042P Sectional Doors in level access arrangement. As well as maximising the opening area for vehicles to drive through, the doors also house larger windows, allowing more natural light inside the building whilst enhancing visibility of the yard. Simple, practical solutions designed to create safer and more comfortable environments for the superhub’s maintenance engineers.

Future-proofing smooth operations

Now Evri’s super hub is fully operational, the next challenge lies in keeping every door system and dock operating smoothly. Afterall, they’re the start and end of each parcel’s journey through the facility and need to remain operational round the clock.

Besides ensuring precisely designed, crafted and installed engineered solutions, Assa Abloy Entrance Systems is delivering a service and maintenance programme. Combined, this approach reduces lifecycle cost over the complete operational life of each door system, cuts the potential for unforeseen downtime and equips Evri with entrance systems they can rely on day after day.

As part of the service and maintenance programme, Assa Abloy Entrance Systems says it takes a two-pronged approach. Firstly, it schedules planned preventative maintenance at set periods and will see every opening asset on site serviced to keep them operating as expected. Secondly, the company provides immediate hands-on support when the unexpected happens, ensuring any system faults are quickly resolved by expert engineers.

Philip Whiteley, of Assa Abloy Entrance Systems, said: “Through our work with Evri, we have helped them to fulfil their ambitions of creating a major element of their nationwide distribution infrastructure which is able to cope with significantly heightened capacity. With the latest entrance systems in place, they can process more parcels more quickly than ever.

“We’re excited to be continuing our work with Evri over the coming years as we provide regular servicing and maintenance which will keep things running smoothly and, ultimately, reduce costs over their entire service life.”

 

Black Friday returns up 60%

Following the Black Friday weekend, retail returns specialist ZigZag Global’s proprietary data has revealed interesting consumer trends. The headline is that global returns for Black Friday weekend were up 60% from the same period in 2021 as shoppers looked to spread the cost of Christmas during a time of economic downturn.

Full data released by ZigZag indicates:

  • Global returns for Black Friday weekend were up 60% from the same period in 2021
  • UK returns for Black Friday weekend were up 8% from the same period in 2021.
  • Sunday had the biggest jump in returns in the UK, with people returning 24% more on Sunday 27th November than they did on the Sunday after Black Friday in 2021
  • Germany had one of the biggest return weekends in Europe, with 88% more returns flowing back to retailers over the weekend compared to 2021
  • The value of goods returned over this week rose by 44% compared to last year globally
  • The value of goods returned over this week rose by 5% compared to last year in the UK
  • 488% increase in returns handed into lockers in the UK
  • Padded coats, leggings, and bags were the most returned items this weekend as consumers seek to wrap up warm on a budget this winter
  • Liverpool saw the biggest drop in returns in the UK, with returns volumes in 2022 only 49% of that in 2021
  • Leeds (45%), Global (54%), and Bristol (56%) all saw significant jumps in their returns this weekend
  • The UK and France sent back more items per returning order this year than in 2021, although the world average actually dropped. With less items coming back per return parcel
  • People were more than happy to pay for returns after securing their discounted goods as paid returns were up 159% this year in the UK
  • The cheapest item returned was only £0.10 – a light-up decorative eucalyptus tree.

Black Friday reinvented

Al Gerrie, CEO & Co-founder of ZigZag Global, comments: “Black Friday has been reinvented yet again this year and 2022 shows that we’re more determined than ever to bag a bargain. One thing is for certain: by spreading the Black Friday deals across the month of November, retailers are doubling down on every effort to combat consumer concerns around the cost-of-living crisis and the potential impact this might have on anticipated Christmas spending budgets.

“However, if the trends in returns tell us anything, we can see that the shoppers are becoming more discerning with the purchases they choose to hold onto, and those they choose to send back. There has been a significant jump in global returns compared to last year’s Black Friday weekend which is up 60% for global returns and 8% in the UK.

“The increase in returns is because shoppers are buying multiple items and being more considerate of returning items they don’t want. There is also an interesting trend in the value of the returned items being higher than last year – again pointing towards a more frugal shopper this year.

“The data also shows a significant increase in the number of paid returns this Black Friday – which are up 159% this year in the UK – whilst free returns have dropped. This reflects retailers’ recent decisions to start charging customers for returns, and is a healthy sign for retailers looking to recoup profit on the returns journey.

“Alongside this, UK customers are actively adopting more sustainable practices regarding their returns, with 79% opting for a paperless return when it is offered and an increased likelihood – almost five times more – of returning via a locker this year. Overall, paperless returns were requested 64% more globally this year compared to 2021.

“With such a drastic change around the largest consumer event of the year, it is our hope that consumers continue to adopt these sustainable practices all year-round.”

Black Friday returns up 60%

Following the Black Friday weekend, retail returns specialist ZigZag Global’s proprietary data has revealed interesting consumer trends. The headline is that global returns for Black Friday weekend were up 60% from the same period in 2021 as shoppers looked to spread the cost of Christmas during a time of economic downturn.

Full data released by ZigZag indicates:

  • Global returns for Black Friday weekend were up 60% from the same period in 2021
  • UK returns for Black Friday weekend were up 8% from the same period in 2021.
  • Sunday had the biggest jump in returns in the UK, with people returning 24% more on Sunday 27th November than they did on the Sunday after Black Friday in 2021
  • Germany had one of the biggest return weekends in Europe, with 88% more returns flowing back to retailers over the weekend compared to 2021
  • The value of goods returned over this week rose by 44% compared to last year globally
  • The value of goods returned over this week rose by 5% compared to last year in the UK
  • 488% increase in returns handed into lockers in the UK
  • Padded coats, leggings, and bags were the most returned items this weekend as consumers seek to wrap up warm on a budget this winter
  • Liverpool saw the biggest drop in returns in the UK, with returns volumes in 2022 only 49% of that in 2021
  • Leeds (45%), Global (54%), and Bristol (56%) all saw significant jumps in their returns this weekend
  • The UK and France sent back more items per returning order this year than in 2021, although the world average actually dropped. With less items coming back per return parcel
  • People were more than happy to pay for returns after securing their discounted goods as paid returns were up 159% this year in the UK
  • The cheapest item returned was only £0.10 – a light-up decorative eucalyptus tree.

Black Friday reinvented

Al Gerrie, CEO & Co-founder of ZigZag Global, comments: “Black Friday has been reinvented yet again this year and 2022 shows that we’re more determined than ever to bag a bargain. One thing is for certain: by spreading the Black Friday deals across the month of November, retailers are doubling down on every effort to combat consumer concerns around the cost-of-living crisis and the potential impact this might have on anticipated Christmas spending budgets.

“However, if the trends in returns tell us anything, we can see that the shoppers are becoming more discerning with the purchases they choose to hold onto, and those they choose to send back. There has been a significant jump in global returns compared to last year’s Black Friday weekend which is up 60% for global returns and 8% in the UK.

“The increase in returns is because shoppers are buying multiple items and being more considerate of returning items they don’t want. There is also an interesting trend in the value of the returned items being higher than last year – again pointing towards a more frugal shopper this year.

“The data also shows a significant increase in the number of paid returns this Black Friday – which are up 159% this year in the UK – whilst free returns have dropped. This reflects retailers’ recent decisions to start charging customers for returns, and is a healthy sign for retailers looking to recoup profit on the returns journey.

“Alongside this, UK customers are actively adopting more sustainable practices regarding their returns, with 79% opting for a paperless return when it is offered and an increased likelihood – almost five times more – of returning via a locker this year. Overall, paperless returns were requested 64% more globally this year compared to 2021.

“With such a drastic change around the largest consumer event of the year, it is our hope that consumers continue to adopt these sustainable practices all year-round.”

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