Understanding the Seasonality of Freight

When it comes to freight, understanding the seasonality of your industry can help you make intelligent business decisions. Incoming freight is often cheaper than outgoing freight, meaning truck drivers are more likely to be available when high rates are high. In contrast, a low rate is better than a no rate. Because truck drivers want to be there when rates are high flock to areas with high demand and high speeds. Each industry has its unique seasonality impact. While it can be challenging to manage the costs of shipping goods, there are some things you can do to help you understand these seasonal fluctuations.

Peak shipping season

To ensure your products are shipped on time, avoid releasing products during the peak shipping season. Carriers are overbooked during this time, and shipments may take longer to reach their destination. If you must ship a creation during the peak shipping season, consider staggering its cargo to ensure it arrives on time. If you don’t know the expected sales, you may be required to pay a premium to guarantee delivery.

To prevent these shipping delays, you should always ship your products early. Shipping products before peak shipping season will avoid surcharges. Try to space out your shipments and use shipping services such as car shipping – rcgauto.com with multiple carriers when possible. Also, shop around for shipping carriers to keep your costs low. Finally, tapping into regional airlines is a good idea, especially if you’re trying to reach niche markets. Peak shipping season is stressful, but these four strategies can help you make it through the rush.

Holiday shipping season

The holiday shipping season is a time of year when e-commerce dominates the market, yet several factors remain to consider. While some areas are returning to in-person shopping after the Great Recession, the rise in online shopping has primarily displaced these efforts. Nevertheless, this year’s holiday season is like any other. Pandemic-related issues such as delayed manufacturing and port closures have plagued supply chains, causing a massive labor shortage. As a result, carriers are at capacity, and a labor shortage continues to affect businesses throughout the globe. These problems are likely to be especially acute for shipping companies, retailers, and consumers.

The “new normal” has increased the importance of supply chain management for online retailers. The holiday shipping season builds up by the end of Q3 and reaches its peak during the last two weeks of December. While this can put an enormous strain on the supply chain, proper planning and analysis can help businesses cope with the extra demand. The ability to meet customer expectations is imperative to the success of any online business, so proper planning and analysis are vital. To achieve these goals, it is essential to have the right technology in place.

Nursery shipping season

Before shipping your plants, you must understand how the nursery shipping season works. While many nurseries ship from early spring through fall, others ship all year round. While a general rule is that woody plants and perennials are shipped during spring and fall, many nurseries are shipping year-round to serve their customers better. 

First, understand what type of plant you’re ordering. Some retail mail-order nurseries prefer to ship winter-hardy plants, but these are generally unavailable until late fall. This is because shipping is more accessible, and the volume of business is lower during these seasons. In other words, fall-shipped plants will be dormant when they arrive. Customers are less likely to return a plant they’ve already received in winter because they are waiting for spring to start their gardening season.

Produce shipping season

The seasons of fall and winter affect transportation demand for fruits and vegetables. While the current produce season is a significant driver, the onset of back-to-school time and early preparations for the holiday season also play a significant role in shipping demand. Some carriers already devote part of their truckload capacity to moving agricultural products. As a result, rates rise, and companies actively move products to accommodate the holiday season.

Texas and Florida drive much of the nation’s produce freight during early spring during early spring. But as local produce slowly takes hold of the market during early Q2, shipping volume can become strained. As a result, carriers will be in high demand during this period, while rate premiums may increase nearby areas. In Q2, production shipping volume ramps up in the northeast, mid-west, and northwest. While the seasonality of produce shipping may affect the demand for products, the seasonality of its shipping can benefit the shipping industry.

Y/Y load postings affect route guide performance

To improve routing guide compliance and performance, transportation data can be used to enhance routing guides. The transportation data available to DAT iQ Benchmark Analytics allows shippers to compare their actual costs to market rates and the prices of specific industry sectors. The dashboards can also give shippers insights into specific lanes and compare their performance relative to peers in their industry or the broader shipper market. DAT iQ Benchmark Analytics provides insights into a carrier’s price performance in a particular lane and helps shippers quantify the relative cost of finding a replacement carrier.

Independence Day affects load postings..

This year, the day of the week surrounding the Fourth of July will impact the truckload market. The market will be affected by the lack of volume in lower-volume lanes. These lanes’ average route guide depth increased significantly during the Independence Day holiday period. In addition, low-volume lanes are more susceptible to disruptions than high-volume lanes due to varying demand patterns. Because of this, we expect lower volumes of shipments in these lanes to underperform.

After a typical July lull, capacity pressures have eased a bit, but the holiday is still expected to impact freight volumes. Rates in the Southeastern U.S. and the Mid-Atlantic regions fell during the holiday weekend. In the following weeks, freight volume should pick up as the Christmas shopping season approaches. But, until then, regional shifts in demand are already underway.