Supply-chain disruptions are threatening to rob some companies of holiday sales, leaving them short on packaging and transportation at a critical time of year, the Wall Street Journal reported. Some makers of toys, games and other consumer goods are racing to figure out how to get products to market, and having to decide which customers will receive orders as stocks run low. In some cases, companies are figuring out how to remake products to have something to sell during a season that can generate a big portion of annual sales. The holiday period is a key season for the U.S. economy, as consumers buy gifts, spend holiday bonuses and stock larders for holiday meals. For some companies, sales across the Thanksgiving-to-New Year’s Day period can make up a large portion of revenue for the year. In 2020, nearly 30% of sales at hobby, toy and game stores occurred in November and December, according to the U.S. Census Bureau, and December was the highest sales month for appliance stores. Companies dealing with wide-ranging supply-chain disruptions –– including backlogged ports, scarce materials and components, and too few workers to staff production lines and drive trucks –– said that some of their 2021 holiday sales are likely lost for good. The problems could also weigh on future sales: Some executives said their companies risk reputational harm if they aren’t able to deliver products on time, or at all. In response, businesses are adding shifts, finding new suppliers and taking other steps to ensure their products get to customers and under Christmas trees in the final days of the 2021 season.
