It seems like the only thing you can be certain about in today’s business environment is that the way things are today – will change. For those of us in the supply chain business, this is especially true. Over the past few years, consumers’ shopping behaviors and preferences have changed dramatically, forcing many companies to re-examine their go-to-market and supply chain strategies.
In fact, the third annual JDA Consumer Survey of more than 1,000 U.S. consumers shows just how much the shopping experience is changing. Survey respondents who used the buy online pick up in store (BOPIS) option in the past 12 months rose from 35 percent in 2015 to 50 percent in 2017! Now, at first glance this statistic may appear only to be relevant to retailers, but an increase in BOPIS fulfillment will ripple through the entire supply chain – affecting inventory allocation and replenishment, warehousing and logistics decisions and more. Plus, the survey found that nearly half (46 percent) of respondents prefer to shop online over in store, bringing more proof to manufacturers that there is market share to be gained if they structure their supply chains effectively.
My colleague Srini Muthusrinivasan and I recently wrote an article about this radical change in consumer behavior and how supply chain processes such as demand planning and collaboration must adapt. Visit IndustryWeek to read our article, The Customer Is Always Right Now.