In its September QuickPulse Report, DSA presented updated data on how supply chain issues are impacting direct selling companies. The survey was fielded between September 8–10.
Of those participating in the survey, 92% of respondents indicated global supply chain issues impacting business. This is 1 percentage point less than last month’s all-time high for this research. The top two most-cited supply chain issues continue to be “production delays outside the US” (74%) and “transportation delays outside the US” (69%).
Other issues companies are experiencing include:
- Product/component/raw material production delays in the US, 69%
- Higher production or shipping costs, 63%
- Supply chain staffing challenges in the US, 49%
- Transportation delays in the US to company warehouses, 49%
- Transportation delays in the US to distributors or customers, 46%
- Out-of-stocks due to high demand caused by coronavirus pandemic, 34%
- Needing to spend time finding new vendors/diversifying vendors, 29%
- Delays in product development/launch, 23%
- Challenges in managing quality control, 11%
Companies experiencing higher production or shipping costs were asked to select all responses that applied as to how they were dealing with the issue: 27% said they were raising their prices, 86% said they were absorbing the impact, and 14% said they were changing their product offerings.
All direct selling companies are encouraged to participate in DSA’s QuickPulse research, which is fielded at the beginning of each month. As a benefit of your company’s participation, you’ll receive the comprehensive results report. For questions or to be added to the distribution list, contact DSA’s Director of Industry Insights, Ben Gamse.
SEPT. 22 WEBINAR - Register Now!
In response to growing supply chain issues cited by DSA members, DSA is hosting a new webinar on strategies to overcome supply chain challenges:
Managing Supply Challenges: Strategies from Top Retailers
Wednesday, September 22, at 1 P.M. (ET)
The webinar will feature Walter Noot, Chief Operating Officer at USANA Health Sciences, and Jess Dankert, Vice President of Supply Chain at Retail Industry Leaders Association. For more information on the event, click here.