Quad City retailers said purchasing early was the key to helping consumers get the most bang for their buck this year.
“Last year gave us a warning to plan ahead,” said Kyle Norris, co-owner of Uncle Norm’s Fireworks in Milan.
Problems were recognized early on, but by ordering earlier than ever before, they were able to purchase from a wide variety of vendors and expand their stock.
“We were actually able to get our biggest selection ever,” he said.
Learning from last year was the crucial element to this, he said. Last year, a fireworks shortage prompted vendors to pay exorbitant prices for their materials. Norris said his crew decided this year they would begin the purchasing process much earlier than normal. Typically, purchasing is done in the spring in order for the store to be “ready to roll for June and July.” Last year, Norris’ team began purchasing in the fall.
The reason for the lack of product is not a lack of supply. It’s a lack of available shipping.
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“Our cost went up significantly. Not only from the wholesaler, but to get the product from their place to our place … it was easily double for just the shipping alone,” said Norris.
With ocean freight quadrupling during the last two years, it’s no wonder why the prices have gone up.
“The fireworks I can get are expensive, but I can get them,” said Justin Bartlett with Crossroads Fireworks.
Norris agreed, saying “there’s no sugar coating it” that consumers will have to hand over a little more cash than normal this year. However, by buying ahead, he was able to keep the prices down and tried to absorb as much of the inflated cost as he could.
“We’re kind of in a recovery phase where things are starting to get better,” Bartlett added.
But, that’s not to say it’s all smooth sailing. Retailers stopped purchasing in mass quantities due to consumers purchasing less during the pandemic. This lead to shipping companies laying off workers to save some extra cash.
Once a vaccine was released, extensive protocols were put in place at the ports, in order to keep them as safe as possible. But, these protocols had an adverse affect in that they limited the amount of workers who could be there at once. Less workers to remove the freight means longer wait times.
“The speed of turnaround on those ships slowed down,” Bartlett said.
In order to get around it, companies began using cargo ships and taking their freight into the southern part of the United States. Typically, fireworks come from China and are imported in California. However, southern states had fewer COVID-19 restrictions which made it easier for freight to be brought in.
Fireworks as freight created it’s own set of problems Bartlett said. New licenses, rules and regulations applied which extended how long it took to get the cargo from the ship to the store. Not only was this a logistical issue, it was an economical one.
Bartlett said two years ago, a container of fireworks would cost him $10,500. That price has now jumped to $40,000.
“And that’s just for shipping,” he said.
Because of issues at the ports, prices fore the fireworks up as well. Compared to a typical year, Norris said they have increased anywhere from 30-40%.
“It’s a sticker shock not only for the customer, but for us too,” he said.
