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Dive Brief:
- As delivery companies face increased shipments for the holidays, a Signifyd report shared with Retail Dive found that delivery times in November and December improved by 47% compared to last year, and cancellations have dropped by 52%.
- The report also noted that porch package thefts have risen to 87% in December so far compared to the previous year. Last month, package thefts jumped 47% year over year.
- In November, the use of stolen credit cards online spiked by 174% year over year. So far this month, it’s only up by 5%, but it’s expected to surge later in December.
Dive Insight:
Although package thefts are on the rise, the improving speed of package deliveries is a good sign, given that online holiday sales are expected to rise this year. According to an October Adobe Analytics report, e-commerce sales will reach $209.7 billion between Nov. 1 and Dec. 31, a 2.5% bump from 2021.
Last year, ongoing supply chain disruptions slowed down e-commerce orders, resulting in lower volumes than years past. In its Q4 earnings report, Pitney Bowes CFO Ana Chadwick said its U.S. parcel volumes were 20% below what the company anticipated for the peak season in 2021.
For this holiday season, UPS said it expects package volumes to peak later in December than last year, as shoppers resume pre-pandemic habits like shopping later. With Amazon delivering more of its own packages, the company also has more space for other businesses this year.
Meanwhile, the U.S. Postal Service is also bracing itself for peak season. Tammy Hull, inspector general of the Postal Service, said the agency isn't anticipating a higher package volume compared to 2021, but has taken various steps to prepare for an influx of shipments. In September, the agency said it planned to hire 28,000 seasonal employees, and it also leased more trailers and installed package sorting machines.
via https://www.aiupnow.com
Tatiana Walk-Morris, Khareem Sudlow
