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Dynamic Consumer Buying Patterns Challenge the Flexibility of Supply Chain Management

Northampton, UK: 18th October 2021

The buying patterns of UK consumers have changed dramatically, resulting from lockdowns and travel restrictions imposed by the pandemic. The surge in DIY and home-based leisure activities and the sales of related products have boomed and seem here to stay. The dominant means of purchasing has shifted with online sales almost doubling during the first few months of the pandemic. DACHSER DIY Logistics specialist services have aided retailers in coping with both trends.   

The sudden growth in online shopping and the dynamic activity in the e-commerce economy made sales forecasting, inventory planning and supply chain engineering challenging to say the least. Previously infrequent e-commerce consumers found a new way of sourcing their DIY tools and materials. Statista reported the buying activity to have increased by more than 50%, jumping from 6% up to 14% of total sales in the first six months of the crisis, according to management consultant Accenture. More significantly, this level appears to have stabilised in the relatively less-restricted post-crisis period. 

Dachser’s industry solution specific for the DIY sector helps with these challenges, providing individually tailored logistics services for customers in the DIY, garden and home leisure sectors. Established twenty-two years ago, DACHSER DIY Logistics currently has an annual shipment volume of 7.7 million consignments. These figures indicate the significance of this sector-specific logistics solution and how the Dachser team continue to react to the demands placed on the DIY suppliers and retailers by the changing buying patterns of consumers.

The e-commerce boom in the DIY and household goods sector is here to stay. However, so too are the logistical challenges of delivering a huge range of products quickly and efficiently across the UK and Europe from source regions around the world. It is clear that retailers who have not positioned themselves for an e-commerce future will face particularly severe challenges. They must come up to speed as soon as possible.

Suppliers also experience other challenges brought about by the characteristics of an online marketplace, including irregular demand spikes that require sudden changes in supply capacity. These unpredictable order sizes can make managing the distribution difficult, for instance, direct delivery, holding inventory in intermediary hubs, last-mile delivery, proof of receipt and handling product returns.

Consequently, Dachser focuses on a range of tailored eLogistics services to adapt to the continuing digitalisation of its customer’s order processes and supply chains. Providing access to all relevant data concerning customer shipments and a system that has a direct connection with the Dachser transport and warehouse management systems, has proved beneficial to the customer. eLogistics provides quick and accessible information about all processes along the supply chain. There are numerous functions available for handling, control and transparency. Crucially in circumstances where online sales demands are immediate and fluctuating, there is the ability to track in-depth process sequences both in transit and in the warehouse when necessary.  

With variations in routing, volumes, delivery criteria and unexpected disruptions occurring, maximum transparency of the product supply chain is vital in a DIY supplier’s competitive advantage within the future of online sales.

ABOUT DACHSER UK

DACHSER, a family-owned company headquartered in Kempten, Germany, provides transport logistics, warehousing, and customised services in two business fields: DACHSER Air & Sea Logistics and DACHSER Road Logistics. Comprehensive contract logistics services and industry-specific solutions round out the company’s offerings. A seamless shipping network—both in Europe and overseas—and fully integrated IT systems provide for intelligent logistics solutions worldwide.

Thanks to some 30,800 employees at 387 locations all over the globe, DACHSER generated consolidated net revenue of approximately EUR 5.6 billion in 2020. The same year, the logistics provider handled a total of 78.6 million shipments weighing 39.8 million metric tons. DACHSER is represented by its own country organisations in 42 countries on five continents. For more information about DACHSER, please visit dachser.co.uk