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Buy now, get next year: Why are shipments to Israel delayed?

You ordered a winter fashion item, but you are afraid that you will only receive it in the spring?

The global transportation crisis is the opportunity for Israeli trade sites, which must seize the opportunity to fight for the hearts of the local consumer during the shopping holidays in November

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• Black Friday

• Black Friday

• Chinese Singles Day

• Shopping online

• Online shopping

Nir Bengal, owner and CEO of GetPackage

Sunday, 07 November 2021, 12:05 Updated: 12:39

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The Corona epidemic has dramatically changed the Israeli eCommerce market, which has received a significant boost since March 2020. Until the outbreak of the epidemic, many businesses contented themselves with inventions in physical spaces (malls, shopping centers) and refused to adapt to Generation Y and especially Generation Z. Today everything is online, using intermediary devices.

But the corona has forced the Israeli trading world to make many changes and make the necessary adjustments, in order to remain relevant even in the reality of the plague.

Many stores that operated only physically began to set up an online ordering system and moved to a new model of commerce.

Businesses that failed to make the transition to the virtual medium were left behind and most did not survive the crisis.

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Order for the winter, get in the spring.

The global transportation problem is the opportunity for commerce sites in Israel (Photo: Courtesy of GetPackage)

Along with the boom in the number of Israeli businesses entering online commerce, the global commerce industry has faced new chaos in recent months. Power outages in China, containers stuck in ports, shipping costs estimated at hundreds and even thousands of percent, have caused a crisis in goods and supplies.

How severe is the crisis? Even the most powerful man in the world, US President Joe Biden, is considering enlisting the U.S. military to help. Only on Passover and will not really be relevant already for us.

Until the onset of the current crisis, shipping times from Western and US countries ranged from 3-5 business days, while Israel lagged far behind. In the experience of buying online, so many simply preferred the international sites that in addition to the low prices, their products also reach the customer much faster.

With more accurate inventory management, a significant reduction in delivery time can be achieved (Photo: Courtesy of GetPackage)

Why is this happening and what can be done?

Why is this happening?

The large networks were perceived as unprepared for the rapid growth in online activity, which led to inefficient solutions and the construction of incorrect ecommerce arrays, which are built without the logistical infrastructure required to meet expectations and demand.

When deliveries are received in the systems of the retail chains, they tend to automatically set delivery too long, and in fact accustomed the consumer that 14 business days is ostensibly a reasonable delivery time. On the technical side, an order is received at the logistics warehouse which is usually located at the other end of the country; The warehouse workers collect all the selected items, pack them and transfer them to the shipping company; And now the whole process of collecting the packages, arriving at the distribution warehouse, sorting packages by regions and distributing through couriers begins again.

This whole cumbersome process takes between 5-10 business days, in November - the e-commerce month - the number of days can increase by hundreds of percent. This is how it is when the entire supply chain is long and cumbersome.

What we did not understand here in Israel when it comes to the logistics infrastructure, has been understood around the world for a long time. In the US, for example, large chains operate branches in all countries as frontal logistics warehouses.

Thus, an order placed by the customer arrives according to the availability of inventory - which can also be checked in the apps or websites of the chains - from the branch near his home. This way you can speed up the delivery time, which can reach even the same day, despite the large area of each state in the US.

Israel can easily territorial little progress toward a new concept of distribution to the customer directly to the nearest branch to his house, which on the one hand will require more accurate inventory management However, it is expected to increase sales by about 20-30 percent, and of course significantly improve the customer experience.What

The international commodity and supply crisis is already causing many delays for the consumer who chooses to order packages on international websites.

Every crisis is also an opportunity.

Now is the opportunity for Israeli businesses to shine and offer an improved service and shopping experience that will correct the unpleasant events of the past.

The big test is of course the shopping holidays of November and the battle for the heart of the Israeli customer will not be simple at all, but with many insights learned during the Corona period, there is a good chance that this year the November celebrations will be a turning point in Israeli-consumer business.

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