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- 64% of retail executives are worried about holiday orders arriving late, according to Deloitte.
- This holiday season will be marked by less inventory, fewer discounts, and higher prices.
- Despite supply-chain issues, execs predict people will spend more on holiday shopping this year.
The majority of retail executives worry that supply-chain issues will prevent holiday orders from arriving on time as demand for holiday shopping soars this year, according to a report from Deloitte.
Supply-chain issues caused by skyrocketing online orders, crisis levels of traffic jams of cargo ships at ports, and labor shortages in the transportation and trucking industry are hamstringing retailers from stocking up on inventory ahead of the holiday shopping season.
64% of retail executives surveyed by Deloitte voiced concern over packages arriving for the holidays. A majority of executives also expect holiday shopping to start earlier this year and around half say consumers should expect higher prices and fewer promotions, according to the Deloitte report.
Facing extreme delays and sparse inventories, retailers also have little incentive to offer the typical doorbuster sales that customers may expect on Black Friday this year. According to Adobe, holiday discounts will range from around 5% to 25% this year, compared to 10% to 30% in previous years.
The vast majority of customers are also concerned about stores running out of inventory, especially for toys, electronics, and accessories and are planning on finishing their holiday shopping before Thanksgiving. Chaos in the logistics industry is also projected to result in shortages of many holiday staples, like artificial Christmas trees, Thanksgiving turkeys, and electronics.
Though shoppers helped fuel the supply-chain crisis by spending huge amounts of money online shopping, experts say consumers can help ease the supply chain woes by buying from local stores and purchasing second-hand goods.