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Status of the Market

Welcome to holiday season 2020!

It is that time of the year again when we run just about 24/7 to meet the needs of our ever-demanding amazing Clients. This year there is no exception to the level of business volume we are expertly crafting and moving on out the door. However, things are completely different with this pesky virus.

The orchestration of manufacturing and packout is at a heightened level of security. The extreme standards of protocols to ensure the health and safety of our employees are at new highs. We have staggered shifts and separated the break rooms. We are using mass quantities of disinfectant to clean just about everything and we are using our UV lights to kill the virus. To get into any of our facilities everyone will have to pass through our thermal camera system to make sure they are not heated up with a temperature. Lots of entirely new, effective ways to keep everyone healthy are being employed every day at the Bay.

We have seen a change in our business mix this holiday season. Usually, we are helping brands launch licensed products tied to the release of blockbuster motion pictures. This time around there is nothing in the can to release from the studios. We were fortunate to help launch Trolls World Tour, which was the first theatrical release of a major motion picture digitally. We set pallet trains in Wal Mart right at the height of the pandemic and the sell through was off the charts. Yet, this season we are helping brands win at retail without the lift from Hollywood. We are extremely blessed to have this level of business right now.

What is really crimping our speed to market is the extreme pressure on the supply chains from an amazing number of staple items that are not normally affected this badly during this time. The trucking industry is caught off guard and slowed up to no end; let alone the costs have flown out the window. Pallets are almost nowhere to be found and their costs are sky rocketing. Even simple plastic bags are hard to come by. Sheet suppliers are out of paper to make corrugated sheets. People are hard to find. We are paying top dollar for our regular and temporary employees. One would never know that there is tremendous unemployment in the country.

Retail was caught off guard with the strength of the pent-up desire for Americans to shop. When we sprinkle in the explosion of ecommerce, it is no wonder the supply chains are fractured. These oddities are very trying right now and will continue to be factors in many businesses to function during this time. Bay Cities saw a bunch of these anomalies coming into play earlier in the year, and we have taken steps to execute well in a very challenging environment.

You think that this election is going to be called in late? Just wait till you find out how late Christmas gifts are going to be this year. If you are buying something online for your loved ones: start now. If you are mailing something to your loved ones: mail those packages now. Remember to recycle that box. This is setting up to be the latest holiday season ever. Santa Claus it not going to get all those gifts out in time this year. Get a jump on your holiday buying so you will not disappoint your family and friends!

We are here for you. Wash your hands, wear your mask, and keep it separated.

Greg Tucker