Christmas in July: Logistics Planning Today for 2024 Holiday Rush

After enduring a record-breaking heatwave, the last thing you may be thinking about is Christmas. But, believe it or not, it’s time to start logistics planning for the Christmas holiday “peak season.”

Santa sets a high standard for efficient Christmas logistics. Anyone hoping to deliver that degree of efficiency requires extensive transportation network planning, especially since Journal of Commerce predicts an early peak season.

This article aims to guide shippers with successful strategies for logistics planning that will help drive efficient and profitable peak seasons on the horizon.

Transportation Network Planning for Peak Season Dynamics

Peak season, as we’ve known it, typically runs between August and December. However, Inbound Logistics says, “The holiday selling season is getting longer.” Ensuring your Christmas supply chain is ready requires broader awareness, visibility, execution, and strategy.

Here’s how you can plan for peak season dynamics.

Conduct “What-if?” Transportation Network Scenario Planning

The past is the best predictor of future outcomes. You can review the previous peak seasons’ last-mile performance to ask, “What if?” we had taken different routes or selected another carrier or any other hypothetical.

Going through transportation network simulations allows you to see the different outcomes and apply them toward improved planning for future shipments. You aren’t dwelling on the past but learning from it to enhance the efficiency of your supply chain through better asset management, collaboration, and routing.

Leverage Supply Chain Predictive Shipping Analytics for Continuous Improvement

When you improve the likelihood of predicting future outcomes, you improve agility. Predictive analytics get smarter over time and identify potential issues, allowing you to make informed decisions and plan proactively.

In terms of logistics planning for the Christmas peak season, predictive analytics help manage risk and adapt to changing market conditions so you aren’t caught off guard when it’s time to deliver.

Stay in Tune with Last-Mile Delivery Trends

Trends in last-mile delivery show us new ways to speed things up, like using tech to increase transparency and visibility in real-time, utilizing alternative delivery points, or crowdsourcing to enhance flexibility and reduce costs. Trends can also help anticipate consumer behavior. Fast, free, reliable, and sustainable deliveries influence customer satisfaction and retention. By staying current on customer trends and values, you can refine your approach to last-mile delivery to improve delivery efficiency and exceed customer expectations.

As we adapt to the evolving demands of the holiday season, staying ahead of last-mile delivery trends prepares us for immediate challenges and sets a foundation for long-term success. With the right strategies in place, shippers confidently navigate the peak season, ensuring that every delivery meets or exceeds the high expectations of today’s consumers.

Technology’s Role in Enhancing Christmas Logistics Planning

Leveraging the right technological tools in your logistics planning strategy becomes essential for ensuring efficient logistics operations during the hectic peak season. Infios TMS offers a suite of capabilities that are particularly valuable during this time for route optimization, carrier selection, freight spend management, and cost analysis, allowing for smarter, data-driven decision-making.

AI and Machine Learning

Artificial Intelligence (AI) and machine learning are changing the game in transportation by optimizing routes, making them more efficient and cost-effective.

In a recent webinar, Infios SVP of Business Intelligence Kevin LoGuidice said, “Machine learning algorithms really shine when you start to consider a lot of variables … because that data model is capturing lots of different measurements, we get results that reflect the real-world dynamics more accurately.”

Think of AI and Machine Learning as having a super smart assistant that predicts traffic jams before they happen and finds the best way around them. In the same webinar, Infios' Steve Blough adds, “We’ve been using statistical techniques like linear regression … to forecast things for decades … but machine learning algorithms are about what might be, they’re the foundation of forecasting and prediction.”

Plus, they’re great at figuring out the best way to load shipments and choosing the most reliable shipping partners.

Transparency and Visibility

Transparency and logistics visibility are crucial, especially during the peak holiday season. This means being able to monitor shipments from departure to delivery, which enhances operational control and boosts customer trust.

Joe Cook of Oak Harbor Freight Lines shares the impact of Infios' final mile solution:

“The ability to receive accurate ETAs from the final mile solution and post them to our website for visibility … proved to be a huge gain,” Cook says. “We knew we would get better visibility and more accurate routing, but we didn’t know just how well received this new ETA information would be and what an impact it would have on our customers and growing our business.”

Furthermore, increased transparency helps identify and resolve issues faster. Visibility ensures that businesses can keep promises to customers and maintain service quality, even when unexpected challenges arise. Essentially, the more you see, the better you manage — and in today’s fast-paced market, managing well means staying ahead.

Logistics Planning: How to Prepare for the Christmas Holiday Peak Season

Ready or not, peak season is right around the corner.

It won’t be long before holiday music fills the airwaves and retail locations. The best way to prepare for peak season is to leverage all the tools and resources at your disposal to anticipate demand and execute flawlessly. Infios' TMS technology combines the power of data analytics, trends, and scenario planning to allow you to do just that.