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Impact of Supply Chain Disruptions on Singles’ Day Mega Sales

Shoppers in Asia have been receiving their 11.11 purchases relatively quickly despite current supply chain woes, faring better than those in the United States. According to experts, this can be attributed to several reasons including that shoppers in Southeast Asia are located much closer to the manufacturing hubs of China and Vietnam, the 24/7 nature of operations in Asian ports, and the faster speed by which cargo moves in Asian ports as compared to the West.

Kelvin Lim, founder of Pacific Logistics Group (PLG) was quoted in this South China Morning Post (SCMP) article noting that e-commerce and logistics players have prepared themselves months in advance this year in anticipation of the increased demand due to the 11.11 mega sales and end-of-year holiday shopping. To this end, PLG has also worked with its clients on their planning and production schedules to pre-empt any potential bottlenecks.

The article also mentioned Kelvin’s insights on the supply chain issues faced in China and Singapore where he highlighted the current power crunch faced in China, which impacted production rates in the country, and the stretch in manpower faced in Singapore due to current travel restrictions. To tackle these challenges, Kelvin noted that PLG has been leveraging its favourable relationships with industry partners to secure shipment for its clients, and advising customers to use a mix of sea, air and rail freight options to minimise any delays.

The article also included input from logistics experts from Thailand – Chaichan Chareonsuk, chairman of the Thai National Shippers’ Council, and Indonesia – Yukki Nugrahawan Hanafi, chairman at Indonesian Logistic and Forwarders Association.

To view the full article, click here.