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Your eCommerce peak questions: answered

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What is considered peak season in eCommerce and how should I define it for my business?

Peak season in eCommerce refers to periods of significantly increased consumer demand, often aligning with Black Friday, Cyber Monday, Christmas, or other seasonal events. Defining your peak season depends on your industry and historical sales data, but it’s essentially the weeks or months in which your business experiences order surges. For example, health and wellness brands may experience order volume increases in January, in line with consumers’ New Year’s resolutions and lifestyle changes.

Why is early planning for peak season fulfilment critical?

Early planning ensures your fulfilment provider can allocate resources, secure warehouse space, and assign labour to handle increased order volumes. This reduces the risks of stockouts, delays, and costly last-minute changes, helping you maintain customer satisfaction and meet sales targets.

What forecasting data should I provide to a fulfilment partner?

Provide as much information on volume projections, product mix, promotional calendars, and expected demand as possible. Historical sales data and growth trends also help your provider prepare resources accordingly. Using forecasting tools can help you anticipate demand by leveraging historical data from your previous peak periods.

How can I use last year’s performance data to prepare for this year’s peak?

Analyse order volumes, shipping delays, stockouts, and returns from your last peak season. Use these insights to adjust forecasts, optimise your inventory levels, and improve your operational workflows with your fulfilment partner. Using the latest tools in your fulfilment platform can help significantly with this, such as demand forecasting and inventory planning software.

What stock levels should I maintain before peak season?

Maintain buffer stock above average demand based on forecasted peak volumes and historical data. A typical buffer is between 20–30%, but this depends on your predicted volumes and industry. Liaise with your fulfilment provider to analyse data and decide on an optimal peak stock level. Maintaining optimal stock levels during peak reduces the risks of stockouts but helps you avoid excessive overstocking to minimise holding costs.

How can overstocking or understocking impact revenue during peak periods?

Overstocking can increase your storage costs and ties up capital, while understocking leads to missed sales, customer dissatisfaction, and lost market share. Getting your stock levels right is therefore key for maximising revenue and customer loyalty.

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The peak influence

For many retailers, peak sales account for up to 32% of annual revenue. When everything gets busy, don't let poor fulfilment practices take away from your hard work. Partner with a specialist who can provide you with the latest technology to nail stock levels, order processing, returns management, and more (psst, that's us).