Peak Season E-commerce Tips

Peak season can often be make or break for many companies. The busy shipping period falling between November and December’s festive season often amplifies areas for improvement that can give e-commerce businesses an edge, or weaknesses that could turn into costly problems.

The good news is that issues that pop up in the peak shipping season can be mitigated in most cases. The issues often stem from the same pressure points that appear every November and December. 

In this article, we’ll look at each of these in more detail and provide helpful tips on how you can manage risk around peak season shipping to ensure your e-commerce operations run smoothly, delivering a positive experience for your customers. 

These are often the primary problems faced by e-commerce business during peak:

• Problem 1: Miscalcuting Inventory Over the Festive Period

• Problem 2: Packing Errors

• Problem 3: Overwhelmed Returns Processing

• Problem 4: Poor Communication During Delays

• Problem 5: Managing Peak Season Surcharges

Problem 1: Miscalculating Inventory Over the Festive Period

During the peak season, e-commerce businesses can see a rise in the popularity of some goods, while other products that have sold consistently during the year may see a drop off. 

Why Does This Happen?

Consumer behaviour can change drastically during the final quarter of the year. Shopping for Christmas gifts becomes one of the main priorities for shoppers and seasonal trends can also impact things. Jewellery purchases, for example, may see an increase in sales in November, December, February and March. See our tips for shipping jewellery.

Negatives of Miscalculating Inventory

• Selling out on popular products: Running out of best-sellers during peak season can lead to missed revenue and lost opportunities.
• High storage costs for slow movers: Overstocking low-demand items ties up warehouse space and may force you to pay extra for additional storage.
• Premium shipping fees: Rushing replenishment from suppliers often means paying for expedited shipping, which could eat into profit margins.
• Lost customers to competitors: When items aren’t available, shoppers may turn to other retailers, reducing future loyalty and sales.

Tips to Avoid Miscalculating Inventory

Problem 2: Packing Errors

The surge in orders can strain your team and increase the likelihood of mistakes, especially if operations become overloaded. Errors such as shipping the wrong item, using inadequate packaging, or mislabelling parcels can lead to a poor customer experience.

Why Does This Happen?

On average, only about 90% of orders are fulfilled perfectly, meaning roughly 1 in 10 orders has some kind of error[1]. During busy shipping seasons, this number can slip even further as teams rush to get packages out of the door, sometimes at the expense of quality control.

Negatives of Packing Errors

• Damaged products: Refunds or replacements can quickly erode profit margins.
• Incorrect items shipped: Mistakes lead to frustration and weaken customer trust.
• Spike in returns: A surge in returns can overwhelm fulfilment teams, causing delays and inventory backlogs.

Tips to Avoid These Mistakes

Problem 3: Overwhelmed Returns Processing

For both brick-and-mortar and online retailers, major shopping events like Black Friday and Cyber Monday bring a surge in purchases and returns. This spike can strain even the most efficient fulfilment teams, slowing operations and increasing the likelihood of errors if not managed carefully.

As order volumes climb during the festive season, a wave of returns is inevitable—adding extra pressure to processing and inventory management.

Why Does This Happen?

The rate of returns in the UK increases year-on-year, with £1.51 billion worth of goods shipped back to retailers in early 2025². Early January is peak season for returns as many retailers extend their returns period to ease the pressure on their workforce.

Managing returned items remains a significant challenge for retailers. Products often arrive without order numbers, in incorrect or missing packaging, or in a condition unsuitable for resale. These issues add extra work for fulfilment teams and can drastically reduce the recoverable value of returned stock.

Challenges of Being Overwhelmed with Returns

• Inventory delays: Slow restocking of returned items limits availability.
• Customer service overload: Rising return-related queries strain support teams and delay responses.
• Cash flow pressure: Refund backlogs can create short-term financial stress.
• Higher fraud risk: When teams are stretched thin, thorough inspections may slip, increasing the chance of fraudulent claims or incorrect refund processing.

Tips to Minimise Excessive Returns

Problem 4: Poor Communication During Delays

Delays are inevitable during peak season, even for well-prepared businesses. When setbacks occur, proactive and transparent communication is your best defence against negative reviews and lost future sales.

Why Does This Happen?

Delays can stem from internal issues such as inaccurate inventory data or packing errors, as well as external factors like severe weather or courier backlogs. Regardless of the cause, keeping customers informed is essential to maintain trust. Avoid overpromising and set realistic expectations during busy periods.

Negatives of Poor Communication

• Customer anxiety: Lack of updates quickly turns into frustration.
• Social media backlash: Complaints escalate when customers feel ignored.
• Customer service overload: Support teams face surging queries from worried shoppers.
• Loss of future sales: Damaged trust makes customers hesitant to return.

Tips to Avoid Poor Communications

Problem 5: Managing Peak Season Surcharges

During the busiest times of the year, such as the run-up to Christmas, shipping carriers often introduce temporary surcharges to manage demand. These extra fees can catch businesses off guard, driving up shipping costs and cutting into margins. Without proper planning, surcharges can reduce profitability slightly.

Why are surcharges added?

Carriers face higher operating costs during peak season, including hiring extra staff, adding vehicles, and paying overtime. Oversized or heavy parcels may incur additional fees because they take up more space in crowded delivery networks. Other factors include fluctuating fuel prices, and increased handling requirements.

Negatives of Peak Season Charges

• Higher shipping costs: Extra fees eat into profit margins.
• Unexpected charges: Surprise surcharges can disrupt budgets and strain cash flow.
• Price increases for customers: Passing costs on can hurt competitiveness and lead to lost sales.
• Delivery delays: Congested carrier networks slow down shipments.
• Customer dissatisfaction: Longer waits and higher costs damage trust and brand reputation.

Tips to Avoid Peak Season Surcharges

¹ Opensend. Perfect Order Rate Statistics in E-commerce: What You Need to Know: https://www.opensend.com/post/perfect-order-rate-statistics-ecommerce

² FashionUnited. “UK post-Christmas returns higher this year.” https://fashionunited.uk/news/retail/uk-post-christmas-returns-higher-this-year/2025010679422