When it comes to moving product on Amazon, many sellers want to focus on the flashier aspects of the process, like building campaigns or creating winning content for ads. Unfortunately, many problems in the seller lifecycle actually occur behind-the-scenes in the logistics stages. One of these oft-overlooked logistical steps is shipping.
When brands have to continuously ship products to third party warehouses, Amazon FBA fulfillment centers, and even directly to consumers, they enter into partnerships with shipping companies to make these transactions happen. Unfortunately, thanks to a rising economy and low barriers of entry for competitors, freight volumes are hitting record highs, causing severe capacity issues in the trucking industry. With fuel prices steadily rising and driver shortages increasing, there might not be a clear end point in sight.
What the Trucking Shortage Means for Amazon Sellers
Amazon sellers are expected to get their products from point A to point B with as little confusion for the consumer as possible. With trucking shortages drawing the shipping process out, consumers will feel the repercussions. Delayed pick-ups and deliveries, missing package information, and confusing return processes are all results of a less-than-stellar logistics process. Last-minute shipments won’t be untouched either, as things in the Spot market are heading south as well. In January 2018, there were nearly 10 loads waiting to be moved for every available truck in the short-term shipping market, compared to only three in the same week in 2016.
Soon, sellers will no longer be able to make snap shipping decisions and remain confident a truck will be available for delivery. It will come down to precise supply and demand tracking to ensure FBA fulfillment centers and warehouses are ready and able to successfully deliver shipments on time. Planning ahead for these types of logistical nightmares is possible, but it requires a dedicated team, ample resources, and plenty of time to make it a success.
Stop Worrying about Logistical Nightmares
Working with a single seller to sell products on Amazon can help alleviate any confusion or issues in the logistics process. At SupplyKick, we leverage Amazon’s extensive network of contracted partners to help streamline shipping services, for both LTL (less-than truckload) and FTL (full truckload) shipments. With SupplyKick managing all aspects of a brand’s FBA relationship, you won’t have to worry about any logistics or back-end processes – you just have to wait for the results. Get started with SupplyKick today.