[#99] Supply Chain in Numbers - Nov 1, 2021
59% of US consumers need transparency, Sephora same-day at $6.95, Ahold Delhaize has insourced 65% of the supply chain, LA ports' TAT at 6 to 7 days, Fabric raises $200 million
Welcome to “Supply Chain in Numbers.” This newsletter tracks significant digits from the world of the supply chain. Five prominent numbers are published every Monday. If you have any feedback, please send it to me.
59% of US consumers need transparency
With so much anger, anxiousness, and frustration tied to supply chain issues, what consumers really want is more transparency from their favorite brands. Sixty-three percent of consumers polled said they want “more regular updates” on shipping status, while 59% said they want more transparency on inventory available and 54% said they want to know about potential supply chain issues. Amid all this doubt, most people don’t see positive changes on the horizon, either. Ninety-two percent of those polled said they believe more disruptions are coming, and 66% think these challenges might never end. While people understand the reasoning behind the issues, 80% of consumers said that shortages and delays could force them to cut ties with their favorite brands. [Yahoo Finance]
$6.95 per order
Sephora is expanding same-day delivery of makeup, hair, skincare and other wellness and beauty products at checkout on its website or mobile app for a flat $6.95 fee. The move is part of Sephora’s Beauty on Demand omnichannel fulfillment portal. Orders are fulfilled by in-store associates and then given to a courier for direct delivery to customers, according to the report. Delivery status can be tracked in the Sephora app, which also offers near real-time notifications, according to the announcement. Sephora also offers buy-online-pickup-in-store (BOPIS) service at all stores and curbside pickup at most locations. [Pymnts]
65% self-managed
Ahold Delhaize USA has transitioned The Giant Company’s Carlisle, Pa., distribution center into its self-distributed network, raising self-managed center-store volume to 65%, its goal for this year. ADUSA Supply Chain, the retailer’s distribution and logistics arm, announced the transition of the Carlisle DC yesterday. Under a three-year supply chain transformation unveiled in December 2019, Zaandam, Netherlands-based parent Ahold Delhaize plans more than 85% of its U.S. distribution network to be self-managed by the end of 2022. [Super Market News]
6 to 7 days TAT
The lineup of container ships in the ports of Los Angeles and Long Beach has stretched to more than 70 vessels in a vivid display of the volumes of freight that have swamped the country’s freight networks. The backups stretch to port terminals where stacks of containers have formed dockside canyons that are navigated by thousands of trucks each day. Port officials estimate that 250,000 containers filled with goods are idling on the water. It now takes six to seven days to unload and reload ships at terminals, up from a usual three or four days, and officials estimate it can take some 8,000 trucks to carry containers away from a single ship. [WSJ]
$200 million
Micro-fulfillment automation provider Fabric landed a $200 million in venture backing, pushing it over the “unicorn” threshold and providing fuel for the continued growth of its robotic on-demand fulfillment technology stack. Fabric runs micro-fulfillment operations for grocery and general merchandise retailers in New York City, Washington, DC, and Tel Aviv, Israel. The firm also announced new projects in January with Walmart and in July with Instacart and also with FreshDirect. [DC Velocity]