How Is The Holiday Season Expected To Affect Shipment Volumes?
When Halloween passes, the holiday season rings in! Trees, colder weather, ornaments, and presents, lots and lots of presents! The holiday season is the busiest time of year for shipping companies, as they are expected to get a large volume of shipments delivered to consumers just in time for holiday celebrations.
For 2025, the holiday shipping season will be shorter, with only 27 days between Thanksgiving and Christmas. This means there are only 19 business days to deliver shipments – a tight schedule for such high demand! That’s why it’s important to be prepared and consider what’s affecting shipping this holiday season.
Weather, Inflation, and High Shipping Demand
There’s no doubt that the holiday season will put a strain on shipping and logistics to meet the increased demand. Each year, demand grows higher and higher, with many consumers choosing shipping over in-person shopping.
Retailers expect a strong consumer demand, driven by the rise of e-commerce, where more and more people favor home delivery over store shopping, and some are even turning to AI to find deals.
According to CNBC, U.S. shoppers are expected to spend $253.4 billion online for the holiday season – a slower increase of 5.3% compared to last year.
Every year, businesses are faced with challenges in delivering packages. Particularly with winter weather conditions causing delays and with higher shipping demands straining carrier capacity and causing delays.
With inflation and the rise in tariffs, the holiday spending average will roughly stay the same, with lower-income Americans reporting to spend less this year and higher-income Americans reporting to spend more.
With the rise of ecommerce, there is expected to be even more shipping this year, with package deliveries expected to rise 5% compared to 2024.
These increases in deliveries cause carriers to become more burdened than usual, slowing the supply chain. That’s why some companies will give out shipping deadlines so that orders are more likely to be received by December 25th.
Another option for shippers is to use parcel carriers for inbound shipping, which could lead to more costly transportation expenses.
FedEx and UPS have introduced higher surcharges for the peak season, as both anticipate a volume surge – meaning shippers will face higher fees per package.
These surcharges cover the extra costs and higher transportation expenses that come with the peak season. Depending on the type, surcharges range from $0.40 to $8.75 per package per package among some carriers like UPS and FedEx.
The shipping industry has steadily prepared for the holiday shopping season and the extreme volume of deliveries that have already started to take place.
However, there may be some delivery delays due to the recent events that have shaken up the transportation and logistics sector in both the U.S. and Canada.
As a consumer, to help ensure packages arrive at your front door in time for all the celebrations, place any orders you have now if you have yet to do so.
Ensure that you are aware of shipping deadlines and are able to get the item you’re looking for before the deadlines. The more you delay, the more likely the package is to be delayed and arrive after December 25th.
During the holidays, it’s always a smart idea to place any orders ahead of time, especially with high shipping volumes expected for this year.
Of course, once your deliveries arrive to your doorstep, it’s all smooth sailing! Now you just need to decide what wrapping to use for your gifts before Santa comes!
