Lets Digest the Case for E-commerce as a cut flower market channels
The cut flower market has for a long time consisted of two market channels: one focusing on specialised florists (florists, markets stalls and kiosks, garden centres) and other outlets and the other on unspecialised retail (e.g. supermarkets, filling stations, and other retail outlets). But E-commerce is increasingly being accepted and online sales throughout the chain are important developments that are reshaping the market channels. The cut flower market channels is discussed in Detail in: Fresh Flower Wholesale Exporters and Distributors – Market channels and segments Cut Flowers and Foliage in Europe
Purchasing online is becoming ingrained.
Traditional florists still dominate the retail distribution of flowers. The classic consumer habit of just dropping by the florist to buy flowers before visiting someone is changing. Purchasing online has become ingrained. Its true that by investing in the necessary software and changes in business processes online trading can be a big part of a florist or flower wholesaler marketing strategy
Cut flower market channels of Distribution
Traditional–“bulk” product (35%)
Broker/ Importer – Wholesaler Florist chains – Retailers – Florist shops
Present–consumer ready products (65%)
Broker/ importer Direct sales to mass marketers –supermarkets, garden centers, home centers.Internet(on line sales)
Global Distribution logistics of Cut Flowers
Justification for the Case of Changing Terrain in Cut flower market channels of Distribution
- Purchases of flowers that are not in (florist) arrangements have increased significantly.
- Supermarket purchases have increased substantially in the last decade. Florist shops still denote reputation, reliability, product quality and convenience (possibility of sending flowers).
- Convenience and price influence internet and supermarket purchases
- E-commerce and branding are increasing
- Awareness about origin of products. Interest to learn about specific flowers
Strategies to increase flower sales for Florists
- Consumer studies: By age group, gender, occasion
- Purchasing patterns and preferences –supermarket, florist shops, internet
- Trade shows, business rounds, direct visits, web presence
- In the bouquet trade, taste, particular preferences and special occasions are extremely important. This has brought large changes to the flower business: Where in the traditional business, a flower exporter virtually finishes his job once the flowers are shipped out of the country, bouquets are all about occasion, colors, design, emotions. They cater to the mass market and particularly the end consumer. These issues directly impact production, logistics and the business overall.