With so much talk about shipping containers being parked for weeks, even months, off the coasts of ports around the world for the past year, many people never dreamed of the ripple affect it would have on our daily lives. As gasoline and food shortages become a reality for many countries, the United States has begun to brace itself for some of the same realities. However, for most Americans, the overall impacts of supply chain shortages have impacted our conversations more than our daily lives. In October of 2021, we began to see gasoline prices creeping up. Some of our favorite stores have had slightly fewer options for everyday items lately. Last week, the first sign of real American crisis was observed as last-minute shoppers were unable to find Halloween candy at their usual haunts.
Although much of the Unites States is headed for some significant life-altering shortages in the next few months, the most talked about concerns have revolved around holiday shopping. If you are hoping to be able to purchase gifts and have them arrive in physical form in time for Christmas, you must start now! Shopping early for Christmas is a MUST this year! Here's what you need to know about the supply chain situation and holiday shopping.
1. The ports are backed up...
Why does this matter for Christmas shopping? Well, all of your favorite retailers likely purchased their holiday inventory months ago. Their intention was to have that inventory stocked and accounted for by now. How much of that inventory is still sitting on a container ship somewhere? When will it finally get off of that container ship? No one can be completely sure.
2. Shipping containers are waiting for trucks....
One of the reasons the container ships are sitting out at sea for as long as they have been is the actual ports are full of containers waiting to be picked up by trucks to be transported to their next destination across the country. The trucking industry has still not caught up! So, when the container makes it off the ship and into port, that container may sit and wait even longer to be put on a truck.
3. Shipping prices will be rising...
Due to gasoline shortages, prices at the pump have started to rise. As a result, the cost of shipping will likely reflect these same increased transportation costs. Ugh... make it stop!
4. Product price hikes...
To cover the higher costs of shipping to get the products to the actual stores, many retailers will be forced to increase their sales prices to offset the increased costs. Many retailers were counting on increased sales of inventory during the 4th sales quarter. With decreased inventory due to the supply chain issues, many retailers will have decreased physical inventory to sell. There is talk of retailers increasing sales prices on physical products that have the chance of arriving in time for Christmas. Don't worry! You might be able to get some great deals on items guaranteed to arrive sometime in 2022!
5. Price gouging...
It is inevitable that someone will take advantage of the situation. So, you've finally found the last available [insert name of your kid's top request] online. It is in stock and ready to ship. You scroll down to the price. WHAT?!!! Yep. That's the price of waiting to shop for gifts this holiday season.
So, the lesson here is that shopping early for Christmas is a must this year!
(This blog post was written by Haperson Hill - where prices are fixed and only in stock inventory will be sold this holiday season. Shop with confidence at: hapersonhill.com)