4 Steps to Watertight Christmas Sales

It’s going to be a white-hot Christmas in the US, according to an annual sales and spending prediction by the National Retail Foundation.

The NRF says it expects sales in November and December to increase by 3.6% over the 2015 holiday shopping season. That translates to US consumers spending US$655.8 billion. The organisation expects B2C and eCommerce sales to hit $117 billion.

The spending bump prediction is greater than the average actual year-on-year increase over the past decade and is attributed to strong economic indicators such as consumer credit, disposable personal income and monthly retail sales releases through 2016.

This is cheery news for any B2C, B2B or eCommerce supplier competing in the lucrative US market, and more evidence (as if any were needed) that if you’re not already selling there, you should be. If you’re already doing business in the US, it is quite possible you’ll need to prepare for a spike in demand leading up to the holiday buying season. And if you’re not doing business there yet, there are ways to enter that market without having to actually set up a physical presence.

Here are some things you need for selling in the US, particularly if you are not based there.

eCommerce. B2B suppliers must learn what B2C companies have known since the rise of online retail: eCommerce is where it’s at. If you’re trying to sell to retail partners anywhere,  it is increasingly important to make your B2B eCommerce portal as appealing and accessible as an online retail store. Analysts predict that B2B eCommerce will represent a $1 trillion market in four years, so you can’t hope to do B2B online as a “bolt-on” to your internet sales channel. B2C suppliers, again, already know this and for selling in far flung places, it’s the only way to establish a brand presence.

3PL. The old trope about location, location, location dissolves in the context of eCommerce. But you still need a supply chain in the States if you’re going to do any kind of volume business, and that is where third-party logistics steps in. A 3PL provider is crucial for shipping, helping with import duties, warehousing and trucking in an overseas market. A 3PL in the US may also be able to help provide a perspective on efficiencies and streamlined supply strategies to handle spikes during the holiday season there.

Demand spikes. About those spikes: the Christmas holiday season in the US may put your company in a position of taking more orders than anticipated. Unforeseen spikes in demand can be a nightmare for the unprepared, but with proper demand planning and inventory management control, you can develop a flexible inventory management strategy to reduce the strain when a spike occurs.

EDI. If you are fortunate enough to land a contract with a big retailer in the US, it will be more than likely that you will have to use EDI to take and fulfil orders.

Selling in the US at Christmas means nothing if you don’t prepare your inventory, even anticipating potential spikes.

Ideally, the best way to plan and fulfil is with an inventory management system that connects across your B2B and B2C eCommerce sales channels, your 3PL partners, and can, when the time is right, link to big retail partners using EDI.

For information on how Cin7’s cloud based inventory management software can help with all the facets of tapping the American market, start by clicking here.