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How to Effectively Evaluate Peak Season Shipping Performance

In this article
The end of seller shipping
The Solution: Integrated TikTok Shop logistics
Critical action for Shopify users
Join us before the deadline and save

Peak season is the best time to build a stellar reputation. During high-demand periods like the holidays, customers don’t just expect fast shipping; they expect flawless execution. If a package arrives late or damaged, you could lose a customer forever. So, learning how to evaluate peak season shipping performance isn’t just a “nice to do,” but a competitive advantage. In this guide, you’ll learn exactly which metrics to track, how to interpret the data, and what steps to take next. Here’s how you can improve performance during high-volume seasons.

What Do Customers Expect in Peak Season?

Let’s be clear: expectations skyrocket during the peak shipping season. Customers want:

  • Fast deliveries
  • Clear communication and real-time tracking
  • Seamless returns
  • Reliable service, even when order volume explodes

If you're not meeting those expectations, they won’t wait around. And when something goes wrong, like a delay or a missed package, you won’t always get the chance to make it right.

Peak Season Dates

First things first, identify your peak season dates. The most intense fulfillment periods typically fall between Black Friday and Christmas, but there are other seasonal surges too: back-to-school, Valentine’s Day, and regional shopping holidays. You may also see spikes around product launches or influencer campaigns. Knowing your brand’s specific demand windows allows you to define time-bound benchmarks and monitor logistics performance accordingly.

Key Metrics You Need to Track During Peak Season

But here’s the thing. If you don’t track it, you can’t improve it. Here’s what you need to monitor to truly understand how to evaluate peak season shipping performance:

  • On-time delivery rate: Did packages arrive when promised?
  • Order fulfillment speed: How long did it take to pick, pack, and ship?
  • Shipping cost efficiency: Were your shipping costs in line with your budget?
  • Customer satisfaction metrics: What did reviews, NPS, and CSAT say?
  • Return rate: Were customers sending back more than usual?
  • Shipping delays analysis: Where and why did bottlenecks happen?

Use these metrics to quantify your success and identify opportunities for improvement. Dashboard tools or software integrations like ShipHero offer real-time shipment tracking and carrier performance evaluation, which can make this process easier and more actionable. But how?

How to Evaluate Your Peak Season Shipping Performance

Let’s break it down step-by-step. A thorough assessment of your peak season involves everything from internal operations to carrier reliability and customer feedback.

Set Clear Key Performance Indicators (KPIs)

Before you can improve, you need to know what success looks like. Setting meaningful KPIs helps you stay focused on outcomes that matter as they allow for comparative analysis. For example, you can track the following:KPITarget BenchmarkOn-time Delivery Rate98%+Packing Error Rate< 1%Fulfillment TimeUnder 24 hoursReturn Rate< 8%These peak season performance benchmarks are essential when your team assesses shipping performance during peak demand, reviews order fulfillment times, and audits shipping processes for accuracy and efficiency.

Analyze Historical Performance

Historical data gives you the context to spot trends and avoid repeat mistakes. You can:

  • Forecast shipping volumes based on historical data
  • Quantify the impact of shipping delays on customer experience
  • Investigate causes of shipping delays to eliminate repeat offenders

Ask yourself: Where did the bottlenecks occur last year? Which carriers underperformed? Did specific products or warehouses contribute to inventory stockouts? Segment your analysis to uncover actionable insights.

Customer Feedback and Satisfaction

What your customers say matters. And during the peak season, their feedback becomes even more telling. Use tools like Net Promoter Score (NPS), star ratings, and review analysis tools.This feedback helps you measure customer satisfaction with shipping speed and quantify the impact of late or damaged deliveries. Comments about “late packages” or “poor packaging” can reveal more than just frustration, as they can expose gaps you need to fix. It’s also a powerful way to enhance shipping performance with data-driven insights.

Evaluate Third-Party Carrier Performance

Your carrier is often the last touchpoint in the customer experience. To ensure they’re delivering on promises, monitor carrier performance during high-volume periods with:

  • SLA compliance reports
  • Carrier comparison reports
  • Damage and delay statistics

These insights help you compare carrier performance and on-time delivery rates, and can inform your carrier strategy moving forward. If a carrier repeatedly causes shipping delays, it may be time to renegotiate or move on to a different courier.

Assess Shipping Costs

Shipping cost efficiency often erodes during busy seasons. To monitor this, we suggest that you stay on top of all the variables:Cost FactorWhat to MonitorBase Rates & SurchargesCheck for seasonal rate hikes and hidden carrier feesExpedited Shipping UsageTrack the percentage of orders requiring rush deliveryCost per ReturnMeasure reverse logistics costs, including handling and restockingCost-to-Serve AnalysisCalculate shipping cost efficiency during peak season to identify margin lossUsing a cost-to-serve analysis, you can calculate shipping cost efficiency during peak season and see where margin loss occurs.

Measure Fulfillment Efficiency

Your warehouse operations are the engine behind every successful delivery. To evaluate the efficiency of warehouse operations and improve order processing time for faster shipping, identify bottlenecks in the shipping process. Consider metrics like:

  • Picking and packing speed
  • Error rates
  • Whether temp labor received sufficient training

These insights will help you optimize internal workflows ahead of your next peak season.

Monitor Return Handling

Returns don’t have to be a profit killer if you manage them right. You’ll want to track the return volume, processing time, and restocking accuracy. Also, identify the most common reasons for returns. Are items coming back due to damage, incorrect fulfillment, or vague product descriptions? Understanding the "why" behind returns is just as important as handling the "how." Use these insights to improve your customer experience strategy.

Capacity Management

Scalability matters. If your operation buckles under pressure, especially in inventory management, it’s time to reassess:

  • Staffing sufficiency during peak hours
  • Warehouse space vs. shipment volume
  • Whether your carrier network was prepared

This warehouse performance review allows you to document peak season shipping performance for future planning, improve training schedules, and ensure you're ready to flex as demand grows.But evaluating your peak season performance doesn’t end there. It continues right after the peak season.

How to Conduct a Post-Season Review to Evaluate Shipping Efficiency

A structured post-peak assessment turns data into progress. To do this, assemble a cross-functional team. Then, break down your peak season shipping performance by:

  • Internal fulfillment and warehouse processes
  • Customer satisfaction metrics
  • Carrier and partner reliability
  • Budget adherence and cost control

Document lessons learned and prioritize the biggest opportunities for improvement. Shipping management software like ShipHero can help centralize your shipping data and generate actionable insights for smoother future peak seasons. To learn how ShipHero can help streamline your peak season logistics, request a free quote today. This way, you can build a better plan for the next peak season.

Tips to Improve Shipping Performance During Peak Season

Once you’ve evaluated your performance, use those insights to level up. Here’s how:

  • Adopt automation tools for packing, labeling, and order routing
  • Use predictive analytics to forecast demand and prep inventory
  • Cross-train your team to flex staff where needed
  • Diversify your carrier relationships for better rate shopping and reliability
  • Send proactive tracking alerts to improve customer communication

Every small improvement compounds during high-volume weeks. So, start refining your strategy today, because the best time to prepare for peak season is before it begins.

Key Takeaways

  • Track and analyze the right metrics to assess peak performance.
  • Evaluate every aspect from carriers and shipping costs to returns and customer feedback.
  • Use structured reviews and data-driven strategies to optimize future results.

Frequently Asked Questions

Can Predictive Analytics Improve Holiday Shipping Performance?

Yes. Predictive analytics helps you forecast volume, streamline routes, and allocate labor efficiently to prevent holiday shipping delays before they happen.

Is Post-Peak Season Evaluation Necessary for Future Optimization?

Yes. A proper review highlights both strengths and weaknesses so you can prepare scalable solutions for next year.

Can Data Analytics Tools Help Assess Peak Season Shipping Effectively?

Yes. Real-time data tools let you track, quantify, and report on critical metrics, giving you faster insight into your shipping performance.

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January 22, 2026

Is Your 3PL Prepared For Tiktok’s New Shipping Requirements?

Executive Summary: Secure your revenue and protect your clients

TikTok Shop is discontinuing "seller shipping" on February 25, 2026, a move that will halt fulfillment for any 3PL using non-integrated legacy technology. ShipHero's WMS is fully integrated and approved to support TikTok Shop’s new logistics requirements, allowing you to generate compliant labels and avoid a total operational lockout. By migrating to ShipHero before the deadline, 3PLs can eliminate onboarding fees and ensure their clients’ businesses remain active and profitable.

What changed for your clients?

Starting February 25, 2026, TikTok Shop is officially discontinuing "seller shipping" (also known as "bring your own label") for all U.S. local sellers.

This means your clients can no longer use their own carrier accounts for TikTok orders. 

As their 3PL, you will be unable to generate labels unless your WMS is directly integrated with TikTok’s new ecosystem. To keep your clients' businesses running, you must transition them to TikTok Shop Logistics Services through a verified partner.

Your current WMS is a bottleneck

ShipHero can keep your 3PL orders flowing from February 25 onwards. 

If you are running your warehouse on legacy systems, you are at risk of a complete TikTok Shop lockout. Your fulfillment—and your revenue—will simply stop that day.

Don’t leave your operations at risk

TikTok's latest policy creates a massive bottleneck for 3PLs using legacy technology.

  • Client Churn: If your WMS is not integrated, your clients will be forced to move to a 3PL that can support their growth.

  • Account Health Stakes: Failure to adapt risks shipping delays that kill customer loyalty and lead to client account suspensions.

  • Critical Action: If you currently funnel your clients' TikTok orders into Shopify and then to your WMS, that workflow will break.

Join us before the deadline and save

To help 3PLs transition quickly and stay compliant, we are waiving all onboarding fees for new customers who join ShipHero before February 25.

Frequently Asked Questions

I am a 3PL owner. How do I know if my WMS is compliant?

There are only 6 approved ERP/WMS providers globally that meet TikTok’s new integration standards. ShipHero WMS is on that list. Most legacy WMS providers are not currently approved. To avoid a total operational blackout for your clients, you must move to a verified partner like ShipHero.

Can my clients still use their own carrier accounts?

No. Starting February 25, TikTok will discontinue seller shipping. All shipping must go through TikTok Shop Logistics Services.

Do I have to send my clients' inventory to TikTok warehouses?

No. You can still manage fulfillment from your own 3PL warehouse using ShipHero’s direct integration, which pulls the required TikTok labels and logic directly into your existing workflow.

What happens if we don't switch by February 25?

You will lose the ability to generate shipping labels for any TikTok Shop order. This will result in immediate fulfillment backlogs, client dissatisfaction, and potential loss of contracts.

Is ShipHero ready for this change right now?

Yes. ShipHero is the only U.S. based WMS currently supporting these requirements, allowing 3PLs to continue shipping without interruption.

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January 22, 2026

How Brands Can Avoid a TikTok Shop Blackout: Stay Shipping After February 25

Executive Summary

TikTok Shop is introducing mandatory logistics changes that will stop fulfillment for unprepared sellers on February 25, 2026.

ShipHero's WMS is fully integrated and approved to support TikTok Shop’s new logistics requirements, ensuring your orders keep moving without interruption. By switching to ShipHero before the deadline, brands can maintain compliance and eliminate onboarding fees during this transition. Here’s everything brands need to know to continue fulfilling orders.

The end of seller shipping

Starting February 25, 2026, TikTok Shop will discontinue "seller shipping" for all U.S. local sellers. This means you can no longer use your own carrier accounts to generate labels for TikTok orders. To stay compliant and keep selling, brands must transition to TikTok Shop Logistics Services. 

Relying on legacy systems like Extensiv, Deposco, or Logiwa puts your business at risk of account suspension and shipping delays that kill customer loyalty.

If your current WMS or 3PL is not integrated with TikTok Shop Logistics Services, you will face a total fulfillment blackout on that date. Failure to adapt to these changes risks shipping delays that kill customer loyalty and can lead to account suspension on the platform.

For brands onboarding on or after February 9, 2026, these restrictions are already in effect. 

The Solution: Integrated TikTok Shop logistics

ShipHero has done the due diligence and has built a direct integration to ensure that merchants can fulfill TikTok Shop orders themselves while remaining fully compliant with TikTok’s new label requirements.

  • Integrated label generation: ShipHero is one of only two WMS platforms globally and the only one in the U.S. integrated to handle the new TikTok logistics flow.
  • Direct store connections: Our software provides a direct TikTok Shop connection to automate the transition and remove manual workarounds.
  • Automated Rate Shopping: We compare carrier rates for every package to find the optimal route, protecting your profit margins even under the new policy.

Join us before the deadline and save

To help brands and 3PLs transition quickly and stay compliant, we are waiving all onboarding fees for new customers who join ShipHero before February 25.

Frequently Asked Questions

I use a WMS, how do I know if I can continue to fulfill TikTok orders? 

Currently, there are only 6 approved ERP/WMS providers globally that meet TikTok’s new integration standards. ShipHero WMS is on that list. If you are using legacy providers like Extensiv, Deposco, or Logiwa, they are not currently approved to support these specific TikTok Shop requirements. To avoid a total operational blackout, you must move to a verified partner like ShipHero before the deadline.

Can I still use my own carrier accounts for TikTok Shop?

No. Starting February 25, TikTok will discontinue seller shipping. You must use TikTok Shop Logistics Services.

What are my main options for TikTok Shop fulfillment? 

You can use Fulfilled by TikTok (FBT) to store and ship items through their network, switch to one of the six approved ERP/WMS systems, or use ShipHero's direct integration.

Do I have to use Fulfilled by TikTok (FBT)?

You must use TikTok Shop Logistics Services, but with ShipHero, you can still manage the fulfillment from your own warehouse using TikTok’s required labels and logic.

What happens if I keep using my Shopify-to-TikTok connection?

This connection type will not support the new label requirements. You must switch to a direct TikTok Shop connection within ShipHero to avoid fulfillment interruptions.

Is ShipHero ready for this change right now?

Yes. ShipHero is currently the only U.S. based WMS that supports these requirements, allowing our customers to continue shipping without interruption.

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September 9, 2025

How AI is Transforming Warehouse Management: Impact, Benefits, and Use Cases

Imagine running a warehouse where orders are picked quickly, inventory is accurate, and all operations run smoothly without any errors or delays. Thanks to Artificial Intelligence, this can now become a reality with ease.

AI is transforming warehouse management by enhancing efficiency, intelligence, and the ability to meet the rapid demands of today’s eCommerce-driven market.

ShipHero is pioneering this revolution with its AI-powered warehouse solutions, setting new industry benchmarks. This article explores ShipHero’s AI Picking feature, highlighting how it’s transforming warehouse management and enhancing operational efficiency.

Benefits of AI in Warehouse Management

The integration of AI technologies, including machine learning, robotics, and predictive analytics, is revolutionizing warehouse operations, driving significant improvements in efficiency, accuracy, and overall performance. These innovations are optimizing processes across various areas, from inventory management to order fulfillment. Below are the key benefits of AI in warehouse management.

  • Improves efficiency: By automating routine tasks, AI speeds up warehouse operations and streamlines workflows.
  • Reduces operational costs: With AI automating repetitive tasks, businesses can save on labor costs and minimize errors.
  • Enhances inventory management: AI ensures that inventory is always accurate, with real-time updates and better control over stock levels.
  • Predicts demand: AI accurately predicts demand, enabling businesses to manage inventory effectively and avoid stockouts or excess stock.

Key Components of AI-Driven Warehouse Systems

A combination of AI technologies is shaping smarter warehouse systems to help revolutionize warehouse management.

  • Inventory Management Systems – AI-powered inventory management systems ensure that stock levels are continuously updated and accurately tracked to improve operational efficiency and minimize errors in inventory counts.
  • Automated Guided Vehicles (AGVs) – Automated vehicles (AGVs) optimize routing by quickly transporting goods, speeding up processing times, and improving throughput.
  • Robotic Process Automation (RPA) – RPA automates repetitive tasks like picking, sorting, and shipping to allow 24/7 warehouse operations with minimal human intervention.
  • Predictive Analytics and Demand Forecasting – AI tools predict demand accurately, ensuring optimal inventory levels and reducing stockouts or overstocking.

ShipHero’s AI Picking: A Game Changer in Warehouse Efficiency

ShipHero has taken AI integration to the next level with its AI Picking feature, designed to significantly improve warehouse efficiency. This feature automates the picking process, reducing the reliance on manual labor and enhancing productivity in ways that were once thought impossible.

Let’s dive deeper into how ShipHero’s AI Picking works and the advantages it offers.

How AI Picking Works

AI Picking optimizes warehouse operations in two key ways:

  • AI Path Optimization: By calculating the most efficient routes, walking time is reduced by up to 30%, allowing pickers to spend more time fulfilling orders.
  • Smart Batching: Orders are intelligently grouped to maximize pick density, minimizing trips while speeding up processing times.

Benefits of AI Picking

The AI Picking feature delivers a wide range of benefits:

    Increased Productivity: With optimized paths and smart batching, pickers can fulfill more orders in less time, dramatically increasing throughput.Lower Labor Costs: AI Picking reduces the need for human labor, cutting operational costs.Improved Warehouse Efficiency: Path optimization and smart batching maximize space and resources, streamlining operations.

Broader Impacts of AI in Warehouse Management

The transformative power of AI extends far beyond just picking. AI is also revolutionizing other aspects of warehouse management, driving improvements in operational efficiency, inventory management, and safety.

Operational Efficiency

AI automates tasks, reducing errors and increasing speed. Automated sorting and real-time inventory tracking ensure accuracy, while real-time monitoring helps managers adapt and ensure timely deliveries.

Inventory Management

AI plays a vital role in maintaining accurate inventory levels. By leveraging predictive analytics, AI can forecast demand and optimize stock levels, helping warehouses avoid both stockouts and overstock situations. This leads to better inventory management and fewer disruptions in supply chains.

Safety and Compliance

AI-driven systems can monitor warehouse conditions to ensure safety and compliance with industry regulations. These systems can analyze warehouse data and predict potential hazards before they occur, proactively reducing risks and ensuring a safer working environment.

Applications of AI in Supply Chain and Logistics

AI technologies are playing a transformative role in the supply chain and logistics sectors by improving efficiency, reducing costs, and enhancing decision-making.

These intelligent systems effortlessly manage supply chain processes by using data to optimize operations, predict trends, and automate routine tasks. This ultimately reshapes everything, from how goods are moved to stored and delivered.

  • Inventory Optimization: AI analyzes sales data, trends, and external factors to optimize stock levels. This reduces stockouts, overstocking, and excess inventory, ensuring more accurate and cost-effective inventory management.
  • Demand Forecasting: AI helps predict future demand by analyzing historical data and market conditions. This allows businesses to plan inventory, production, and procurement more efficiently, reducing waste and ensuring product availability.
  • Route Planning and Optimization: AI also optimizes delivery routes by considering real-time factors, including traffic and weather conditions. This helps businesses reduce fuel costs, improve delivery times, and enhance overall logistics efficiency.
  • Warehouse Automation: AI-powered robots can automate picking, sorting, and packing in warehouses. This increases accuracy, reduces labor costs, and enhances order fulfillment speed, eventually improving overall warehouse efficiency.

The Future of AI in Warehouse Management

The future of warehouse management looks promising with greater automation and efficiency, but future warehouse digitization brings challenges, such as high upfront costs and the need for skilled personnel.

Emerging Trends and Innovations

AI-powered drones, autonomous robots, and IoT integration are smart warehouse technologies that are revolutionizing warehouse operations. Drones will deliver goods quickly, while robots automate sorting and transportation, thereby reducing the need for manual labor.

IoT and AI integration will enable real-time monitoring and optimization of operations. Smart technology in warehouses is leading to fully automated systems that are faster, scalable, and need minimal human input.

Challenges and Considerations

While AI offers immense benefits, businesses must also consider certain challenges. High initial investments in AI technology, data security concerns, and the need for skilled personnel are just a few of the hurdles that must be addressed.

However, with a strategic approach, companies can eliminate the challenges and embrace AI’s full potential to boost accuracy in picking and improve overall warehouse operations.

Key Takeaways

  • AI is transforming warehouse management by making operations faster, more accurate, and cost-effective.
  • ShipHero’s AI Picking system demonstrates how AI can help warehouses handle more orders, cut down on labor costs, and streamline their processes.
  • AI improves routing, aids decision-making, and ensures timely stock replenishment, helping businesses stay competitive in eCommerce.

Frequently Asked Questions

How can AI help in reducing warehouse errors?

AI minimizes error by automating tasks like inventory tracking, order picking, and sorting, ensuring greater accuracy and efficiency.

Can AI be used for predictive analytics in warehouse management?

Yes, AI-driven predictive analytics can predict demand, track inventory levels, and improve supply chain efficiency by forecasting needs with greater accuracy to help businesses stay ahead of trends and market fluctuations.

Is AI in warehouse management affordable for small businesses?

AI solutions are becoming more cost-effective thanks to cloud-based services and subscription pricing models. These options make AI technology more accessible to small businesses, allowing them to take advantage of its benefits without large upfront costs.

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