Businesses commonly anticipate the peak season because of the potential to maximize their sales due to the increase in consumer demand. While many businesses focus on Christmas and New Year, it is important to be aware that there are different peak periods that occur every year.
If you’re new in the business, it pays to know the peak periods in logistics so you can complete the necessary preparations and take advantage of the sales potential they bring.
Peak Periods in Logistics that You Should Know
Chinese New Year
An annual festivity, Chinese New Year is celebrated across the world, but most especially in Asia–including the Philippines. This is a very popular event when the largest annual mass human migration in the world happens. It is usually celebrated between January and February. During this time, many factories stop their operations for a week or more and full production usually resumes after almost a month.
Due to the changes during the Chinese New Year, it is expected that the number of containers increase by as much as 50%. This leads to a busy start to the year when carriers, shipping companies, and logistics companies deal with high demands followed by enormous backlogs due to the delays in normal operations.
Filipinos tend to do more purchases in the summer months or the months of March to May. Considered as peak months in the Philippines, logistics tend to be heavy during summer. This is a time when tourists come to the country to visit destinations and a lot of festivities happen. This results in a drastic increase in sales during this period and higher demand for carriers to transport goods from one place to another.
One of the peak periods in logistics is the harvest time in the Philippines which usually happens from April to May. As an agricultural country, harvest season is an important time. During this period, freight volume starts to pick up and carriers deal with more loads as products must be shipped to different regions within a limited time.
There is an increased demand for school supplies, uniforms, books, and other products used in school during this time of year. It is one of the major events when families allot money to spend on school essentials. For those who are entitled to a mid-year bonus, this also becomes a time to spend their extra money on the things they planned to buy. Usually, the months of May to June are spent preparing for school opening. In recent years, these months extended until August as a lot of schools and universities have adjusted their school calendars.
Christmas and New Year
Lastly, the period leading to Christmas and New Year is included among the peak periods in logistics. The 4th quarter of the year is the busiest shopping period in the Philippines. During this time, businesses are all in a hurry to ship out their products and beat the holidays when most businesses are closed. Consumers also demand fast and on-time shipping to ensure that their orders are received in time for the celebrations.
Aside from the holiday shopping rush, this season is also the busiest for those who are clearing their inventories. As much as possible, businesses would want to ensure that no freight will be left behind to have a clear start for the new year. Last-minute orders, delayed shipments, and overlooked cargos are among the things that keep shipping companies busy during this time of year.
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Businesses in the Philippines should take note of the peak periods in logistics to stay on top of the changes that are expected to happen in the market. Aside from taking advantage of the increased activity among consumers, awareness of these peak periods can help businesses prepare for the influx of shoppers and avoid problems or delays related to shipping and logistics.
Worklink Services, Inc. is a logistics company in the Philippines that offers cost-efficient and reliable courier, forwarding, trucking and logistics services to various domestic industries. Reach out to us today so we can help you with your peak-season shipping requirements.