The Impact of UEFA Euro 2024 on Logistics Planning & Resourcing

Jul 3, 2024

We are now entering the quarter finals of the UEFA Euro’s 2024, a time where the UK’s football-supporting population will enjoy the first unrestricted international football tournament since the pandemic. The UEFA Euro 2024 championship is anticipated to significantly boost the UK economy as fans seize the opportunity to absorb the summer weather and the thrills and spills of the tournament. A major portion of this anticipated boost will come from retail spending, with an estimated £2.1 billion coughed up throughout the month-long contest.

As welcome as this spike in demand may be, it will present a number of supply chain issues for retailers and logistics companies. Is your business ready to meet the demands of British football supporters?

We spoke to X2 (UK), one of the country’s leading suppliers of 4PL solutions, about how retailers and logistics companies can efficiently meet demand, get deliveries where they need to be on time and avoid crowds of disappointed football fans chanting, “You’re going home in an 18-wheeler!”

A welcome surge in retail activity and consumer spending

Much of the expected £2.1 billion rise in spending during the Euros will be directed towards food and drink, with many fans watching the games from the comfort of their own homes or those of friends and family. An estimated £1.4 billion will be spent in this category alone, before you even begin to count fan expenditure in pubs and restaurants. While this presents an unparalleled opportunity for retailers to capitalise on heightened demand, it will require meticulous planning to keep those shelves stocked and customer expectations consistently met.

Retailers can also expect a considerable spike in demand for summer-related BBQ foods, with over £58 million spent on burgers and £42 million on chicken wings. Additionally, the popularity of pizza as a convenient and crowd-pleasing option is expected to result in £102.8 million in sales.

The surge in home-viewing parties will also drive the purchase of garden cooking hardware, with £70.8 million likely to be spent in this category. Consumers will further invest in outdoor and indoor trimmings, spending £37.7 million on decorations and £34.3 million on garden furniture to enhance their match-watching experience. With £4.6 million pints estimated to be spilled during goal celebrations, it’s going to be a summer of high demand and messy celebration.

The impact on the hospitality sector

With many fans planning to watch matches at pubs, bars and restaurants, the hospitality sector is also poised for a substantial boost. Approximately 14.4 million Brits are likely to visit these venues, a significant increase from previous tournaments. This increase in foot traffic will lead to heightened demand for beverages, with an estimated 82 million pints of beer consumed, alongside a variety of other alcoholic and non-alcoholic drinks.

Needless to say, hospitality venues will need to be well-stocked to cater to the diverse preferences of their patrons. The UK government’s decision to extend pub opening hours to 1 a.m. for semi-final matches involving England or Scotland will only amplify this demand.

Challenges in logistics planning and resourcing

 

A terrace packed with soccer fans

 

With the anticipated spike in consumer demand, logistics planning and resourcing will face substantial pressure.

Anticipating increased order volumes

The surge in spending will require businesses to forecast demand accurately. Getting it wrong could result in stockouts or overstock, both of which will have financial repercussions. To steer clear of this, retailers will need to leverage data analytics and demand forecasting tools to accurately predict customer behaviour and prepare accordingly.

“One particularly effective addition to the demand management equation is the use of Just-in-time,” says Vic Faulkner, Operations Director at X2 (UK). “With 4PL solutions delivering the insight and efficiency needed to make JIT work reliably, they allow retailers to receive goods as and when they need them. This way, they’re never over or understocked and don’t need to waste money investing in storage. It’s a guaranteed win for them, it’s just a shame we can’t offer the same guarantee to the England squad.”

Arranging timely deliveries

Dependability is going to be the buzzword this summer. With timely deliveries key to meeting consumer expectations during the tournament, delays will lead to lost sales and dissatisfied customers.

To avoid this, retailers need a powerful logistics network capable of handling the increased demand. This includes securing reliable transportation, optimising delivery routes and ensuring clear communication across the entire supply chain. Additionally, the flexibility to adapt to last-minute changes is going to be vital to maintaining delivery schedules.

The role of a 4PL and how X2 (UK) can manage demand surges

As mentioned, Fourth-Party Logistics services (4PL) like those supplied by X2 (UK) can play a pivotal role in managing the logistical complexities that will arise as a result of the Euros. “4PLs offer comprehensive supply chain solutions,” says Faulkner, “overseeing everything from transportation management to warehousing and distribution. Making use of our expertise and resources, retailers can handle the increased demand without any headaches and keep their supply chains responsive, no matter how consumer demand may change.”

Asset-light operations

By making use of 4PL providers like X2 (UK), businesses can avoid having to expend substantial capital expenditures on infrastructure and equipment. This approach provides ultimate flexibility, allowing businesses to scale up or down at will, ensuring efficient supply chain management without any long-term commitments.

Strategic insights

4PLs provide the insight needed to streamline even the most complex supply chains, quickly identifying and implementing improvements that boost overall performance. This strategic approach keeps logistics operations not only efficient but compliant with regulations, even in the face of unprecedented spikes in demand.

Optimising transportation and warehousing

With a vast network of carriers and warehouses at their disposal, 4PL providers optimise transportation routes and reduce costs. By strategically selecting carriers and warehousing locations, X2 (UK) ensures that goods are transported and stored in the most efficient way possible. As well as reducing operational costs, this optimisation also improves the speed and reliability of deliveries – critical factors during periods of high demand such as the Euros.

Data-driven decision making

Providing consolidated management information and key performance indicators (KPIs), 4PLs allow businesses to make insightful, data-driven decisions. X2 (UK) uses advanced digital technologies to create a unified view of the entire supply chain, from the first mile to the last. This integration of disparate data sources allows for better decision-making and responsiveness to market changes. Providing accurate and rapid data, X2 (UK) helps retailers enhance their logistics operations and significantly improve overall supply chain performance – ushering in the option to effectively utilise JIT.

Meeting customer expectations

The flexibility to rapidly scale resources based on demand allows companies to effectively meet customer expectations during peak periods. X2 (UK)’s solutions allow retailers to remain competitive by providing the necessary support to handle increased order volumes, manage inventory effectively and ensure prompt deliveries. Maintaining continually high service levels, X2 (UK) helps retailers build customer loyalty and boost their reputation. As we said, 4PL is a win-win that businesses catering to the UK’s summer football party would be well advised to take advantage of.

X2 (UK) is the colour, 4PL is the game

 

HGVs travelling down a country road

 

This summer’s Euros should be a fun and exciting time for us all – even for retailers and logistics companies. However, preparing for the increased demand requires a strategic approach that avoids stock issues and heavy capital expenditure. 4PL providers like X2 (UK) deliver a holistic approach to logistics management, integrating the various elements of the supply chain into a unified entity that solves any number of retail supply issues.

From transportation management and warehousing to forecasting and distribution, X2 (UK) lets retailers focus on their core business activities. With X2 (UK)’s advanced technologies and extensive network optimising every step of the supply chain, we can all relax a little, throw another chicken wing on the BBQ and happily complain that there was “no way that was offside!”

Contact us for more information.