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Retailers including Next and Amazon warn of Q4 supply chain challenges


Next has warned that its growth in the fourth quarter is likely to be down as a result of a number of challenges, including supply chain and transport problems.
“We do not expect sales to continue at the level seen in Q3 and are maintaining our guidance for full price sales to be up +10% in the fourth quarter,” the company said in its third quarter trading statement this week.

Next said that while stock availability has improved it remains challenging. Delays in its international supply chain are being further compounded by labour shortages in the UK transport and warehousing networks, the company said.

The warning from Next follow’s Amazon’s warning last week that it is expecting additional costs to hit its business in the fourth quarter. “In the fourth quarter, we expect to incur several billion dollars of additional costs in our Consumer business as we manage through labour supply shortages, increased wage costs, global supply chain issues, and increased freight and shipping costs,” the company said in its third quarter results.

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