Climate Change Action Could Put an End Next-Day-Delivery Demands

Have you gotten used to ordering stuff online and it coming the next day? Well, as Bob Dylan once put it, the times, they are a changin’.

Is Fast Shipping on Its Last Legs?

We’ve all grown to love the convenience of ordering online. Order something from anywhere in the nation, and you’re more than likely to be offered next-day shipping or at least two days. But curiously, climate change might just be the death knell for this quick luxury.

When Mother Nature Throws a Wrench in the Works

With extreme weather becoming more common – think Florida’s recent flooding, blistering heat waves, and wild hurricanes – getting your package on time is quickly becoming trickier.

The Rising Cost of Extreme Weather

But why’s this happening? Well, extreme weather isn’t just an inconvenience anymore – it’s turning into an expensive problem. The shipping industry is already feeling the pain, and it’s only going to get worse.

A $100 Billion Problem

Experts predict that weather-related disruptions could cost the shipping industry a massive $100 billion in 2024. Freight Waves, a supply chain analysis group, points to the rising number of extreme weather events as the biggest threat facing shippers and carriers today. 

How Retail Giants Are Facing the Storm

The climate-change-induced challenges are mounting, and companies are racing to adapt. Take Walmart. Back in March, a snowstorm hit Sparks, Nevada, and shut down Donner Pass – a key shipping route for drivers. 

Beating the Weather at Its Own Game

Walmart couldn’t send out grocery deliveries from its center there, but instead of panicking, the retail giant decided to lean on the help of AI. Instead of waiting for the storm to cause chaos, Walmart essentially created a virtual version of their entire shipping network. 

How Walmart Outsmarted a Snowstorm

Now they could see where the storm would hit hardest and which of their stores and warehouses might be affected, and they quickly rerouted deliveries from 85 stores across Nevada, California, and Oregon. Their tech helped them beat the weather and find alternatives to keep things moving along – forward thinking in action.

The Power of Preparedness

“We have now this technology at our hand, which allows us to make sure that we continue to serve those customers in the best possible way, run those scenarios, and have those recommendations ready so that we can start taking actions in a much quicker way, rather than waiting for the event to happen and then reacting,” said Parvez Musani, senior VP at Walmart.

Target’s Strategy

Target is also trying to keep on top of things. Rather than relying on massive warehouses that could be miles away, Target turned its stores into mini-distribution hubs. This lets them quickly adapt and keep shelves stocked – even if a storm is on the horizon.

Disaster-Ready Retail

If there’s a hurricane warning, Target now strategically sends essentials like food, water, and batteries to areas expected to be hit, ready to serve the community when disaster strikes.

The Delivery Worker’s Dilemma

But it’s not just storms that are causing trouble. Rising temperatures are causing major headaches for delivery workers – literally in some cases. 

When Heat Waves Hit

Last year alone, Amazon had to adjust delivery routes by over 96.9 million minutes (just over 67,000 days) due to extreme heat, giving drivers extra breaks to stay cool and hydrated.

Amazon’s $59 Million Solution

Amazon also spent a hefty $59 million on insulating their vans and adding rapid cooling systems. Despite all this hubbub, the company still managed to set new records – delivering over two billion items within two days globally in the first three months of 2024. Talk about efficiency.

The Heat Is On

While these improvements seem very worker-orientated, Amazon’s warehouses and delivery conditions are currently under intense scrutiny. 

Amazon’s Warehouse Controversy

A union organizer in New Jersey reported temperatures hitting 92 degrees in July at some Amazon sites, although Amazon insists its warehouses are climate-controlled and never exceed 83 degrees.

Why Companies Can’t Slow Down

The thing that has workers and industry experts frustrated is that although there are all these weather disruptions and new costs, big companies are doubling down on their shipping promises.

Customer Loyalty in the Balance

They know that if they start missing delivery windows, customers will jump ship faster than you can say “free shipping” – which is everything these companies don’t want to happen.

The Future of Fast Shipping

So what does this all mean for us? The promise of two-day shipping is still hanging on by a thread, but it’s getting harder and harder to achieve. 

A Race Against Climate Change

With climate change throwing more curveballs, the delivery game is changing, and companies are pivoting like crazy to new tech in the hope of making sure we still get our stuff when we want it.

Adapting to a New Normal

Mother Nature might be trying to slow things down, but the retail giants are racing against the clock – and the weather – to keep us happy. Fast shipping is the goal, but how long they can keep up with the changing climate is anyone’s guess.

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Featured Image Credit: Shutterstock / Gorloff-KV.

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