How a pandemic upended retail supply chains

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Mar 2021
 |  
Supply Chain Dive
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What: 6 charts to show how shopping and supply chains were adapting to the pandemic.

Why is it important: Consumers moved online and retailers pivoted to move inventory locked in brick-and-mortar locations.


E-commerce sales boom in pandemic

E-commerce retail sales, % of total sales

E-commerce sales boom in pandemic


Retailers ship from store to move inventory

Count of annual or quarterly reports mentioning "ship from store"

When stores closed and customers moved online, retailers looked for a way to get in-store inventory moving. Target, for example, has been perfecting its ship-from-store model for years.

Retailers ship from store to move inventory


Retailers move to the curb

Count of annual or quarterly reports mentioning "kerbside pickup"

The other option for retailers was to get customers to pick up at the kerb. This simplifies the supply chain it’s cheaper for the retailer. But there are questions about how companies will improve these offerings going forward. "Retailers are going to focus on the kerbside, trying to make that experience actually enjoyable," said Dave Gill, vice president of insights and analytics at Rakuten Intelligence.

Retailers ship from store to move inventory


More shoppers choose to pick up orders

Order for pickup as % of all buyers

"More than 50% of our BOPIC orders for the fourth quarter were delivered kerbside," BJ's Wholesale Club CEO Lee Delaney said on the company's earnings call this month, referring to the retailer's buy-online-pickup-in-club option.

More shoppers choose to pick up orders


Amazon's network struggles to keep up

Click to ship and click to door, measured in days

It is worth noting that these figures are an average that includes marketplace sellers for which Amazon doesn't control the supply chain.

Amazon's network struggles to keep up


Amazon's orders start showing up late

Percentage of Amazon orders arriving late

The slowdown in Amazon's network resulted in an uptick in late shipments, but the retailer has seen these figures largely recover.

Amazon's orders start showing up late


6 charts show how a pandemic upended retail supply chains