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Q&A with Performance Team CEO Craig Kaplan

 

What was the most significant trend to impact the retail supply chain in 2016?

The most significant trend in 2016 was the continued shift of volume from brick and mortar to e-commerce. This issue is here to stay and we need to continue to help design and support flexible solutions for our customers. In our March blog we spoke about how brick and mortar stores were evolving and the shift to e-commerce was accelerating. The 2016 holiday shopping season was further proof as the growth of…

“The Cyber Five” is here and it’s mobile!

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No, it’s not a new super hero movie or this season’s hottest toy, but rather what industry insiders are calling the busy online shopping period after Thanksgiving when shoppers can expect to find the best deals from their favorite retailers.  More specifically, Cyber Five is the week-long shopping holiday defined as the five consecutive days from Thanksgiving through Cyber Monday which includes Black Friday, Small Business Saturday and Super Sunday.

The combination of growing online sales as well as mobile friendly shopping sites means that consumers…

Thoughts on Supply Chain Trends in the Footwear Industry

dreamstime_xl_50400943   Nike was one of the first companies to breakthrough in the “modern” footwear industry by using the now famous slogan “Just Do It” and selecting Saturday mornings as the universal day of the week when new Air Jordan shoes were released. Since that time, the footwear industry has continued to evolve and has embraced several trends as companies battle to stay ahead of the curve. Let’s examine a few of these:  
  1. 3D Printing – This technology is now bleeding into the footwear industry. Under Armour recently used 3D printing within the…

The Robots are Coming!

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The robots are coming! The robots are coming! We aren’t talking about Robocop or even the loveable “Wall-E”. These new-age robots are headed directly to the warehouse. There has been subtle usage of robots in the warehouse for years, but Amazon’s purchase of Kiva set the stage for the current landscape of robotics within the warehouse.

There are a number of advantages to warehouse robots:

  • Robots have the capability to work 24×7 without a break.
  • The maintenance cost is relatively low, particularly in…

Free Shipping…The New Normal?

Free Shipping To offer free shipping or not…that is the question. As the ecommerce space continues to grow and develop into a major shopping portal for consumers, online retailers are left with a decision to make about free shipping. A compete.com survey stated that free shipping would encourage 93% of consumers surveyed to purchase more products online. Shoppers are also reported to spend approximately 30% more when free shipping is offered. 52% of shopping cart abandonment is due to shipping and handling costs. In general, consumers are more at ease when…

The Power of Reverse Logistics

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As the e-commerce movement continues to grow, the importance of an effective reverse logistics strategy is paramount. A flexible and strong reverse logistics strategy helps companies reduce costs, add efficiencies, improve the customer experience and build a sustainable supply chain. The official industry definition of reverse logistics is “the process of controlling the efficient flow of goods from the point of consumption to the point of origin for purposes of recapturing value.” The primary driver of reverse logistics is the massive cost of returns. In 2010,…

Same Day Delivery – Here to Stay or a Passing Fad?

Same Day Resized Same day delivery has developed into a legitimate fulfillment model that appears to be gaining traction with consumers. By 2018, the value of merchandise delivered via same-day delivery in 20 U.S. cities is expected to reach over $4 billion. Many big-box retailers have already implemented same-day delivery options. Target currently offers rush delivery (same day) in Boston, Miami and Minneapolis, with expansion to other cities likely coming soon. Macy’s offers same-day delivery to 17 cities including Atlanta, Honolulu, and Chicago. Walmart, one of the first retailers to…

Brick and Mortar No More?

clothes display in the fashion store
Have you noticed that the stores of your youth are slowly disappearing? The growing trend of brick and mortar stores fading away into oblivion is real. However, the better question that needs asking is:  “Are these stores closing permanently or will they continue to exist but in a different form?” Retailers have an opportunity to evolve the store to better match the purchase behaviors of the much sought after millennials, consumers between the ages of 20 and 35. As the millennials and to a large extent,…

Retail Supply Chain Trends to Watch in 2016

Screen Shot 2016-02-03 at 4.13.09 PMIt’s our first ever blog post and we wanted to share our thoughts on the upcoming year and some of the key trends we believe will impact the retail supply chain in 2016. We are already seeing these trends impact our customers and know they will have a broader and more significant impact within the retail supply chain space in the coming year.
  • Order Online/Pick-up from Store – It is predicted that the percentage of consumers that expect to order online and pick-up from the store…