Consumers are still buying and retailers are responding. At the same time, available capacity on ocean containers is allowing more brands to bring in merchandise a little ahead of schedule this year, according to Kraig Foreman, DHL Supply Chain’s president of e-commerce.
Foreman tells Supply Chain Management Review that customers are utilizing the excess cargo space to build up their buffer stock now that inventory levels have normalized.
“Organizations are trying to get inventory in a little early this year, and they have the ability to get inventory in early this year because capacity is down,” he says. “By bringing it in a little early and avoiding that surge in inventory, you can pick and choose your [freight rate] price point.”