Festive Online Shopping – Hosting and Logistics

Christmas ShoppingAs we near the end of October we are well into the run up to Christmas and the massive spends that come with the festive time of the year. The Interactive Media in Retail Group (IMRG) has forecast that the UK will collectively spend £107 billion this Christmas in figures collected from the IMRG-Capgemini eRetail Sales Index.

This £107 billion market has a positive knock-on effect on many different industries within the UK and further afield, channelling money into logistics, warehousing, on and offline marketing agencies, website and data hosting and much more.

Website Hosting / Marketing

When people think online shopping they probably think of the bulging business bank accounts of massive online retailers such as Amazon, Argos and all the rest, but a knock on effect of the booming Christmas business is that data and web hosting businesses get a piece of the pie.

In order for websites and apps to deliver not just products but a positive online shopping experience to their customers, they must be able to scale their web and data hosting to meet the extra demand. There are a plethora of online retailers available and I know that if I go onto a website that doesn’t perform as quick as I’d like then I simply move onto the next. Providers of cloud resources can expect yet another bumper Christmas period.

Warehousing / Logistics

It’s no secret that increased demand results in increased stock and deliveries from major online retailers. The knock on effect that the increase in sales has on warehousing and logistics involves large investment in equipment and recruitment.

On the warehouse side of things you can expect heavy investment in recruitment but also large investment in material handling equipment such as pallet trucks and stackers. Speaking with sources at Pallet Truck Shop, one of the UK’s largest retailers of manual handling equipment such as pallet trucks, I was informed that there is an increase in orders for equipment approaching the festive period but that due to the long lasting nature of the equipment, it is rarely consistent year on year.

Logistics firms reflect the same kind of investment as they extend their fleets through extra recruitment and investment in either purchasing or hiring more vehicles for their operation.