Despite disruptions, holiday spending may shatter records

The forecast is a continuation of strong consumer demand since the second half of last year which is exacerbating port congestion and other supply chain disruptions as a record number of containerized imports pour into the nation’s ports.

The NRF’s forecast for this season is calling for holiday sales (during November and December) to grow between 8.5 percent and 10.5 percent, compared to 2020, to between $843.4 billion and $859 billion. The numbers compare to the previous high of $777.3 set last year despite the pandemic…

Last year saw extraordinary growth in digital channels as consumers turned to online shopping to meet their holiday needs during the pandemic. This year, however, the NRF said that while e-commerce will remain important, households are also expected to shift back to in-store shopping for a more traditional holiday experience.

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In its latest update addressing supply chain disruptions, the world’s top shipping company Maersk said the challenges the United States is facing with its supply chain is a byproduct of its growth and that more needs to be done to keep pace with increasing consumer demand…

The disruptions in manufacturing and ports in the Far East in early 2020, due to COVID-19, disrupted the normal flow of trade. But now that life is returning to normal in much of the United States, with people returning to offices and schools back in session, there’s been renewed demand from American households that is contributing to the rise in U.S. imports. After all, 70% of U.S. GDP is linked to consumer buying so it’s the U.S. consumer driving the economy, according to Maersk…

“The current situation is a growth story in the U.S. – and the supply chain disruption you are seeing is a byproduct of this growth. The challenge is every part of the U.S. supply chain needs to build more resilience and capacity to keep pace with consumer demand,” said Phol.

No surprise to me. I keep a listing on a major head-hunting site mostly to stay in touch with their economic research. I’m quite clear in letting folks know I’ve been retired for a couple of decades. That hasn’t inhibited folks trying to lure me back into logistics with green bits of paper. :-]

Fortunately, my wife and I are quite happy with our situation. Still, it’s the best kind of compliment in the Western World…getting job offers in both sales and logistics.