Clipper reports milestone for online retail

Clipper Logistics, the firm that distributes goods for retailers such as John Lewis, Marks & Spencer, Asda'‹ '‹and Morrisons,'‹ '‹'‹said the festive period saw mixed fortunes for UK retailers.
Retailers such as John Lewis have benefited from Clippers new retail focused click-and-collect solutionRetailers such as John Lewis have benefited from Clippers new retail focused click-and-collect solution
Retailers such as John Lewis have benefited from Clippers new retail focused click-and-collect solution

The Leeds-based group said online sales, and mobile sales in particular, performed well​, but​ ​​high-street fortunes were mixed​.

​The group said: "​Some suggested that this year would be the first where online would deliver a greater sales figure than some retail store estates on key days – something which is backed up by our data.

Hide Ad
Hide Ad

​"​If this figure is validated across the sector, it’s a huge milestone for retail and something that could create further opportunities and challenges.​"​

​On the high street, Clipper said it hadn't seen ​the fire-sale ​approach adopted by​ some retailers in previous Christmas peaks​. This time sales​ were markedly more measured, suggesting a more confident and pre-planned approach to sales strategy. ​It added that this is only possible with a robust supply chain process in place.​

​"​Just because Christmas is over, ​it ​doesn’t mean the retail supply chain can sit back and recover​," said the firm in a Christmas update​.

​"​Although we’re now well into the New Year, retailers and logistics companies are still processing deliveries, returns and orders​."

Hide Ad
Hide Ad

​Clipper said that e​very year, the ​traditional ​Boxing Day sales seem to arrive earlier, with some retailers emailing their databases on Christmas Eve to ​tell customers the best way to spend Christmas money/gift cards.

​"​The truth is, for retailers and their service providers, peak trading has truly become a multi-day event​," the report said​.

​"​Whereas in the past, we’d see significant peaks for individual days – whether that be Black Friday, Boxing Day or the first working day of January – the retail sector has successfully applied some smoothing to these sales period spikes.​"​

​Clipper said that​ customers ​have become more savvy – often waiting until the last minute to make their purchases​. It said it has heard reports of people delaying their present-giving to fit ​in ​with the sales.

Hide Ad
Hide Ad

​"​It has become a competition over who blinks first​," the report said.​

The group said that the rise in online shopping mean​t​ a rise in demand for deliveries.

​"​This places significant pressure on retailers and the logistics solutions they have in place​," Clipper said​.

​"​This surge in the popularity of ordering online created some challenges, but non-food retailers, such as John Lewis, have become savvy to the problem and benefited from Clipper’s new retail focused click-and-collect solution, which performed admirably across peak, helping to lock-in customer loyalty.

Hide Ad
Hide Ad

​"​The success of Click & Collect overall is evidenced by our own data which showed outputs from some of our shared use retailer sites hitting over 65​ per cent​ of all orders being delivered by this channel – and our in-house data also suggests that the Click & Collect growth could be up by ​18 per cent year on year during the peak sales period.​"​

​The firm said that i​f retailers have a flexible enough logistics solution, disappointment can be avoided, even at peak times.

​"​For example, Clipper worked with several retailers to extend the delivery order deadline for Christmas by a day or two to accommodate the amplified demand​," said the report.