OHL Experiences Record Growth Over the Holiday Shopping Week as Online Consumers Become More Savvy

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Dec 17, 2014, 02:00 ET

BRENTWOOD, Tenn., Dec. 17, 2014 /PRNewswire/ -- OHL, a leading global third party logistics (3PL) company announced record breaking volumes this year - fulfilling nearly 2,000,000 direct-to-consumer orders during the 5 day holiday shopping period, Thanksgiving Day through Cyber Monday.

OHL experienced a 75 percent increase in direct-to-consumer orders processed compared with the same five day period last year. Conversely, the National Retail Federation (NRF) reported a decline of 11 percent nationally over the four day holiday period from Black Friday to Cyber Monday. Many in the retail industry attributed this decline to the extension of sale promotions beyond the traditional Black Friday and Cyber Monday dates and more savvy price conscious consumers. OHL's up-tick in production over the longer five day period supported these trends.

"Retailers' timing and length of promotions across channels were factors behind the increase in orders we processed," said Mike Honious, OHL Contract Logistics Chief Operating Officer. "This year, holiday promotions extended beyond the two traditional days of Black Friday and Cyber Monday and required a seamless consumer experience across channels. OHL's extensive peak planning process allowed us to leverage the operational flexibility across our network. In return, our customers' consumers were able to successfully shop when and how they wanted, ultimately increasing sales for the brand regardless of channel."

Earlier this year, Price Waterhouse Cooper (PWC) suggested that retail holiday shopping success would include a strong omni-channel strategy. They segmented the omni-channel experience into three categories and predicted 39 percent of shopping would be in-store but ultimately buying online due to pricing, 32 percent strictly online shoppers, and 29 percent traditional in-store shoppers. The 2014 results showed in-store shopping was up 27 percent this year on Thanksgiving Day, and declined 6 percent on Black Friday. Thanksgiving Day online shopping performance was up 14 percent, yet, did not outpace comparable in-store sales. However, Black Friday's online channel did outperform the in-store channel with a 9 percent increase over last year.

"The numbers are in and they clearly illustrate the importance of having a strong omni-channel presence in retail today," says Fred Loeffel, OHL Executive Vice President of Sales and Marketing. "Our customers understand this and rely on us to provide the right mix of robust staffing and logistics solutions to support their efforts during peak season. As the buying patterns of shoppers continue to become more diverse and savvy, we only expect to see more growth in multi-channel capabilities."

About OHL
OHL is one of the largest 3PLs in the world, providing integrated global supply chain management solutions including transportation, warehousing, customs brokerage, freight forwarding, and import and export consulting services. OHL operates more than 130 value-added distribution centers, offers comprehensive transportation management services, employs nearly 7,000, and has 34 brokerage and agent offices worldwide. OHL has expertise in direct-to-consumer fulfillment, efulfillment, serves a wide range of business sectors from specialty retail to manufacturing and specializes in the textiles and apparel, footwear, electronics, retail, printing, healthcare, food and beverage and consumer packaged goods industries. www.ohl.com

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SOURCE OHL