Port Problems Forcing Local Shop To Have Supplies Shipping By Truck, Adding Costs
SACRAMENTO (CBS13) - Shipping cross-country to meet customer deadlines. That's what's happening with some small businesses trying to keep up with customer demand.
"It's affected my business severely," said Dee Neath.
For Archival Gallery and frame shop owner Dee Neath, it's hurry up and wait.
"All of a sudden I can't get anything," she said.
So she is ordering supplies out of her wholesaler's Houston and Chicago warehouses and having them shipped by truck.
"I'll buy things 500 feet at a time, whereas other frame shops are just buying a single frame. We manufacture here," she said.
That's what Neath is doing due to shipping delays in Southern California ports.
"Whether it be UPS or California overnight, we're shipping big long sticks of 12-foot molding. It takes longer and it's way more expensive," she said.
She bid this big job 1,400 pieces for a hotel eight months ago at those prices.
"All prices -- shipping and all that -- is adding 20 percent. So, now I'm making a real minimal profit on it and struggling to get the job done on time," she said.
Delays are pushing all her projects back.
"I used to have maybe one backorder and now I have all of these from last week. I have to have a whole backorder board," she said.
Doug Elmets hoped to have a mirror in place by Thanksgiving.
"We ordered it a couple weeks ago," he said
He's been a client for years and would pay extra to cover extra costs.
"Small retailers like Dee and her frame shop, they really survive on their loyal customers and I think those loyal customers want to be able to help her during a tough time," he said,
So far, Neath hasn't passed the cost along but she's starting to wonder at what cost to her company, given her biggest order this year.
"This was a prime job that was going to make our year and now it's turned into a lot of work and it's we will be lucky if we break even on it," she said.
Neath says she is having to stay open longer because customers are now picking several choices when it comes to frames, given the shortage.