How to Manage Shipping Demand Spikes During Black Friday and Cyber Monday

Every year, Black Friday and Cyber Monday kick off the holiday shopping season with a bang. As consumers look to snag the best deals, logistics operations go into overdrive to handle an unprecedented spike in orders. For businesses, this means balancing cost control, timely deliveries, and maintaining customer satisfaction. Here are some key strategies to help your logistics team navigate demand spikes smoothly during these peak shopping days.

Forecast Demand Using Data and Trends

Planning for a successful shipping season starts with accurate forecasting. Black Friday in 2022 saw $9.12 billion in online sales, a 2.3% increase over 2021, while Cyber Monday hit $11.3 billion, According to Adobe Analytics, Black Friday sales in 2023 reached $9.8 billion (a 7.5% increase compared to 2022), while Cyber Monday generated $12.2 billion, making it the biggest online shopping day in the U.S. These stats reflect the need for thorough forecasting based on historical data, website analytics, and customer behavior trends. Accurately predicting order volumes helps ensure you have the resources in place to meet demand. You can read more about these statistics in Adobe’s 2022 and 2023 sales reports.

Practical Ecommerce

Communicate and Coordinate with Carriers Early

Carriers quickly hit capacity during Black Friday and Cyber Monday, leading to potential delays. Communicate with your primary carriers well in advance to understand their peak-season policies, including volume limits and potential surcharges. Proactively booking slots with multiple carriers can provide added flexibility and keep shipments on schedule. During high-demand periods, working with regional carriers alongside national providers can also help meet deadlines.

Optimize Inventory Placement for Faster Fulfillment

Positioning inventory strategically across multiple warehouses can drastically reduce transit times. By placing popular items close to high-demand areas, you minimize shipping times and relieve pressure on long-haul routes. Accenture found that companies can reduce shipping times by up to 20% through optimized warehouse placement alone. Efficiently positioning inventory also cuts down on last-mile delivery costs, which can be especially high in densely populated areas.

Use Dynamic Routing and Real-Time Tracking

Implementing a robust Transportation Management System (TMS) that allows for dynamic routing can optimize delivery routes based on real-time data like traffic, weather, and road closures. This enables dispatchers to reroute drivers as conditions change, saving both time and fuel. Real-time tracking is also essential: 85% of customers now expect to track orders (Descartes study) throughout the delivery process, making transparency critical to maintaining customer satisfaction. When they can see updated ETAs, customers feel informed and less stressed about potential delays.

Descartes study

Strengthen Customer Service and Manage Expectations

Clear communication with customers is a must during these peak shopping days. Prepare your customer service team to handle a higher volume of inquiries and proactively communicate any potential delays. Setting realistic shipping times on your website can help manage expectations. A survey indicates that 69% of customers are more likely to return to a business that kept them informed throughout the delivery process—even if delays occurred. Being upfront with customers fosters trust, especially when demand is highest.

Keeping customers updated about complaints

Leverage Technology and Automation

Automation can streamline processes like order processing, warehouse picking, and packing, enabling your team to handle more orders efficiently. Integrating an inventory management system with your e-commerce platform reduces backorders by keeping stock data up-to-date. As workloads increase during Black Friday and Cyber Monday, reducing human error through automation can be a game-changer, allowing your team to focus on complex, high-priority tasks.

Review and Adapt Your Shipping Strategy Post-Event

Once Black Friday and Cyber Monday have passed, gather your team to review what worked and where improvements are needed. Analyzing metrics like delivery times, client satisfaction, and cost efficiency helps refine strategies for next year. A well-documented post-event review can ensure you’re even more prepared when the holiday season rolls around again.

Final Thought

Black Friday and Cyber Monday bring unique shipping challenges, but with strategic planning, real-time technology, and clear customer communication, you can handle demand spikes effectively. From leveraging dynamic routing to optimizing warehouse placement, these strategies ensure a smoother holiday shopping season and enhance customer satisfaction, keeping your operations resilient through one of the busiest times of the year. ​

Written by Victor Kowalski