Wednesday, June 10, 2020

Huge Boost for Alcohol Sales Lifts Bonded Warehousing and Wines and Spirits Logistics Specialists

When the Going Gets Tough - Apparently the Tough Get Drinking
Shipping News Feature

UK – Lockdown has led to a wide ranging change for many, kids at home for weeks but still needing education, staff furloughed and not allowed to work, so it is probably unsurprising that, with a trip to the pub or restaurant off limits, more alcohol would be consumed at home. However the figures from one specialist drinks logistics company still make, one might even say, shocking reading.

Bonded warehousing and logistic experts Johnston Logistics UK have reported an eight-fold increase in their average throughput of wine and other alcohol during the UK’s coronavirus lockdown. The Norfolk-based operation, which handles logistics for wine merchants, drinks companies and retailers including Halfwine, Vine & Cork, The Wine Society and Buoyant, has seen 810% growth since the pandemic began.

The statistics don’t end there, the company has seen average daily orders for some clients rise by over 7000% and demand shows signs of remaining high. Johnston handles food, drink, household products and other fast-moving consumer goods for a wide range of manufacturers, suppliers and retailers and, in partnership with Asda, their site also processes around 50% of all wine sold in their UK supermarkets.

This turnover typically equates to over 20,000 pallets of alcoholic drinks from the 650,000 square feet distribution depot on the A11 but the company foresees this may almost double this year as a whole due to the surge in demand, whilst warehousing services also get back to par according to Iain Hill, Head of Commercial and Customer Services for Johnston Logistics UK, who says:

“We helped many clients and other businesses to quickly store their excess goods as retail and factories closed. However, since early May we’ve seen demand begin to rise again and many are returning to more normal levels of throughput as retail looks set to reopen. Alcohol has definitely led the surge in demand for food and drink. Whilst demand rocketed overnight for almost all the food and drink we handle, it’s wine, beer, cocktails and spirits which have seen the biggest and most sustained rise.

”The explosion in demand has been comparable to the Christmas period, but happened almost instantaneously. Fortunately, we were able to use our years of seasonal experience to help our clients and their suppliers to meet the challenges and take advantage of the peak.