The last quarter of the year finds the greatest strain placed on international freight. Events like Black Friday and Christmas directly increase demand and volume, and many companies time their product releases in line with the major holidays, while harvest seasons south of the equator put additional stress on food exports.

When you’re looking to move cargo between September and December, you need to go forward with a plan! At Millennium Cargo, we can help.

The Challenges of Peak Shipping Season

Supply chain logistics can be challenging. A delay at one stage has knock-on effects at the next, and so on. Without a careful guiding hand overseeing the operation, what’s normally a smooth process can easily turn into a chaotic mess.

It’s not just about a fight for cargo space (although that is a major consideration), challenges that occur at the end of the year include:

• The squeeze on capacity – Every ship, truck, train and plane has a limit to how much it can carry. During low periods, capacity is rarely reached, meaning it’s easy to get your cargo added to a manifest, but when everyone is looking to move their shipments, it can become quite competitive.
• Warehouse limitations – The space issues don’t just happen in transit. Many international companies rely heavily on warehousing space for a smooth supply chain, so the problems of capacity are reflected here, too. This is especially relevant for any global traders who need specialist warehousing, such as refrigeration, for their goods.
• Congestion – You see it on the roads during peak times, but congestion isn’t just limited to getting home after work. Ports, warehouses and road-based routes can all become congested when the demand for shipping increases, leading to delays that can have costly consequences.
• Weather – The last few months of the year can present difficulties due to weather conditions that are beyond anyone’s control. Ships can be delayed, planes prevented from taking off and roads cut off.
• More expensive rates – With all the competition, prices do rise. Companies find their profits impacted as shipping costs and surcharges eat into slender margins.
• Longer delivery times – Suppliers must contend with longer delivery times, often increasing the administrative toll.
• Labour shortages – Just as space is at a premium, so are the skilled personnel who keep the industry running. Logistics partners can face difficulties keeping everything running at peak efficiency.

Solving the Peak Season Problems

Of course, with a little foresight, it becomes possible to work with the challenges in mind, ensuring as smooth a shipping season as possible.

1 – Plan Ahead

Being ready for the peak season is the best response. This includes:

• Forecasting needs – Calculating your company’s requirements for shipping well in advance gives you an immediate advantage, allowing you to move forward confidently.
• Booking early – Securing your space early does more than simply guarantee a smoother time. It also brings down the cost, with preferential rates often offered for early booking.
• Plan routes – Analysing your options early gives you time to consider alternative routes, select carriers that you trust and choose the most efficient modes of transportation. 

2 – Develop a Flexible Supply Chain

Having a backup plan is key. Don’t rely on a single supplier or carrier, but have alternatives in place should anything go wrong.

One of the key factors here is to use multimodal shipping rather than relying on a single method, which increases your ability to respond to issues.

Contingency options will mean that you react to any disruptions early, ensuring all delays are minimised, keeping your business running smoothly and your customers happy.

3 – Operate Efficiently

Make sure that you’re not the cause of any of the delays – you don’t want to add to the problem. This means:

• Have a system in place to make sure documentation is always complete and accurate.
• Utilise the latest technologies for tracking and communication.
• Improve your packing and labelling to ensure potential issues are minimised.
• Work with partners who employ shipment consolidation to lower costs and increase shipment opportunities.

4 – Budget Accordingly

Don’t get caught out with the bill! Work out your costs well in advance and make sure you have taken any seasonal changes into account.

Ways to manage costs include:

• Booking early – As mentioned earlier, booking early will get you preferential rates.
• Consolidating shipments – Good for cost and sustainability, work with partners who can offer shipment consolidation to make the best use of cargo space, especially in the peak season.
• Balance speed and cost – With good planning, you can ship earlier, giving you cost advantages (for example, avoiding the need for expensive air freight when sea shipping is available).

Prepare for the Peak Season with Millennium Cargo

The best way to have a smooth peak season is to partner with a freight forwarding company that has all the experience needed to manage any challenges. When you choose Millennium Cargo, you get:

• Expert-level planning – At Millennium, we know exactly what to expect from a heavy peak season – after all, we’ve been doing this for decades. Our team will work with you to develop a superior plan to put in place for a smooth peak season.
• Established relationships – We partner with reliable logistics providers, giving you instant access to cost-effective rates, multimodal routes, expert shipment consolidation and assured shipping when you need it.
• Technological advances – We strive to stay ahead of the game with shipping technology, working with the latest innovations in the shipping world, including AI-assisted route computation, blockchain-secured tracking and streamlined communication. When you partner with Millennium, you gain the advantage of the best tech in the industry.

• Agile problem solving – Our team is experienced, reacting immediately and confidently to any issue, no matter when and where it crops up. There’s no panic; just seasoned expertise ensuring delays are minimised and costs kept to an absolute minimum.

Don’t wait until October to put your peak season plans in place – get ahead of the curve and save your business the hassle and costs of poor preparation. Speak to an expert at Millennium Cargo today and let us get your cargo moving.