Tuesday, June 8, 2021

Hey, Where's My Stuff? 2021 Global Shipping Crisis

The dreaded phrase...."That item is currently backordered." We are hearing this phrase everywhere...here at Pure Spa Direct, at your other vendors, at the furniture store, even lumber is sometimes not available these days!

What the heck is going on?

The world - literally the entire globe - is currently experiencing a "Shipping Crisis." 

What does that mean??

In short - manufacturers worldwide are struggling to get their products into the hands of consumers. In our global economy, goods are made in one place to be sold in another place. During normal times, this is a process most consumers don't even need to think about. Companies manufacture their products, transport them from their factory to their local port by truck, then the goods are loaded onto ships and brought to ports around the world. Once in those ports, the goods are separated onto trucks and transported to stores and warehouses. Companies will occasionally run into a hiccup - maybe their goods will be slightly more popular than they projected, and their stock will sell out faster than the replenishment stock arrives, or possibly a container gets held up up Customs for an extended verification check, so the deadlines are pushed back.

In the aftermath of the 2020 COVID-19 pandemic, however, there are hiccups at every single point in the supply chain. Factories are short-staffed in many places, as are trucking companies, ports, and warehouses around the world. People who were under strict lock-downs around the world began ordering more goods for delivery than ever before, filling up shipping containers with products that wouldn't normally be shipped in those massive quantities. Trucking companies around the world are also experiencing driver shortages, due to illness, quarantine, extended home obligations, and more. There are shipping delays, port congestion, vessel shortages, truck shortages, rail shortages, and more.

These disruptions in the global supply chain have led to a massive shipping crisis. According to Sea-Intelligence, a leading provider of Research & Analysis, Data Services, and Advisory Services within the global supply chain industry, currently 78% of ships arriving at US West Coast ports are late, and where it used to take a shipment approximately 35 days from loading in Shanghai to delivery in warehouses in Chicago, it is now taking an estimated 73 days - more than double the time it took prior to the pandemic.

Unfortunately, this crisis will not be resolved overnight. We may be seeing extended delays for much of 2021. Pure Spa Direct knows you rely on us for all of your business needs, and please understand that we are working with our extensive network of vendors to keep all of your favorite products in stock. If your favorite items do become backordered, be sure to reach out to us - we have lots of options, and will be happy to find you comparable products to ensure you are able to continue offering your services to your clients!

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