January 2007

Improving Relationships Between Retailers & Wholesalers
by Terry Johnson

There may not be any issue that has greater importance to the future of the floral industry than the strengthening of relationships between retail and wholesale florists. Done correctly, a bond can be developed between the two that should prove once again that the whole is greater than the sum of the parts.


Examine flower fundamentals together as partners in profits.
By flower fundamentals I mean that the basic product retail and wholesale florists sell is flowers. As the Wholesale Florist & Florist Supplier Association (WF&FSA) points out “Wholesalers: Because it takes more than flowers to grow your business.” What the “more” in their slogan should include is the realization that it is in the interest of both the wholesalers’ and retailers’ bottom lines that flowers be properly handled from country or state of origin to the arrival in the consumer’s hands. Dr. Terril Nell of the University of Florida put it this way in an article entitled:
Lucrative Longevity - How will quality define the winners from the losers.“Flower longevity is critical to a business’ survival. But flowers shipped today are older and more stressed than they’ve ever been. We’re shipping flowers longer distances, and, because so many are shipped on planes, there’s more product entering the market that has not been held at proper temperatures. Yet, the market wants flowers that last. Quality and longevity help define a business’ competitive positioning at all levels of the chain. Growers, wholesalers and retailers need to solidly embrace temperature management.” As Dr. Nell suggests, wholesalers and retailers need each other to combine forces and insure that proper handling of “their” flowers consistently takes place.

Develop joint strategies that will benefit all concerned.
There are many areas of business that wholesalers and retailers have in common. The most important area is their mutual proximity to local communities and potential flower consumers. It would be very difficult for a flower supplier across the country to be able to have knowledge of local markets, yet it is precisely this knowledge that is vital to the future of the floral industry! How consumers and communities perceive flowers (whether positive or negative) has an incredible effect on flower sales. We have to begin developing “community-centric” or “consumer-centric” strategies that focus on how valuable flowers are to those communities and consumers. Have you noticed how many businesses today are talking about their involvement with various charities and other community programs? Increasingly, businesses have to develop more emphasis on being better members of their community and a “good neighbor.” Two floral industry programs can help wholesalers and retailers improve those connections to their markets. First is Flowers for Kids, which is the brainchild of Ramiro Penaherrera who realized that one reason flower sales weren’t strong enough was that children were not being taught about flowers as they are in other countries. Flowers for Kids is changing that. Here’s how the program works: wholesale florists sign up for the program. Then, they invite their retail florist customers to a training class taught by Flowers for Kids. Florists are then given the materials necessary to go out into their communities and conduct Flowers for Kids classes at elementary schools. Flowers for Kids has trained hundreds of florists around the country and everyone who has participated thinks that this program is absolutely marvelous! Contact your wholesaler about Flowers for Kids and visit their website at: www.flowersforkids.org.

Another exciting development in the floral industry involves certified flowers. Fresh cut flowers that have been independently certified as sustainably grown under the Scientific Certification Systems (SCS) VeriFlora certification programwill be finding their way onto store shelves and into consumers’ hands this year. SCS not only certifies growers as to issues related to sustainability, social responsibility, and environmentally sound flower production, but it has also developed certified flower handling standards for the distribution chain as well. These standards include completion of the cool chain, a major problem that has inhibited consumer demand for flowers. VeriFlora has huge bottom line potential for floriculture’s future. Consider the following results from a recent study (Cone Millennial Cause Study 2006) of consumers ages 13-25: 83 percent responded that they would trust a company more if it is socially conscious/environmentally responsible; 74 percent are more likely to pay attention to a company’s message when they see that the company has a deep commitment to a cause; 69 percent consider a company’s social/environmental commitment when deciding where to shop; 89 percent are likely or very likely toswitch from one brand to another (price and quality being equal) if the second brand is associated with a good cause; and 66 percent will consider a company’s social/environmental commitment when deciding whether to recommend it’s products and service. Certified growers include: Ascus Nursery, Denmar, Ecoroses S.A., Esmeralda, LatinFlor, Kendall Farms, Nevado Ecuador, Resendiz Bros., Rosa Prima, The Sun Valley Group, and The Elite Flower, Ltda. Flower handlers include: Fresh Blooms (of Delaware Valley Floral Group), Organic Bouquet, and Sierra Flower Trading, Ltd. Visit www.veriflora.com. Contact your wholesalers about carrying VeriFlora certified flowers.

Currently, the floral industry tends to buy and sell flowers as though they werea commodity (like so many cans of beans) with price being the single most important factor in purchasing decisions. As long as price dominates our industry, consumers and communities will continue focusing on price as well, rather than viewing flowers as a precious gift of nature that they can enjoy and benefit from. And since we know that flowers can have a positive and profound effect on the consumers’ heath and happiness, it is the best interests of retailers and wholesalers to do together whatever is necessary to improve the positive perceptions of flowers and their bottom lines as well.

Terry Johnson, Horticultural Marketing Resources, is a featured speaker, writer, and consultant to the floral industry, focusing on helping build consumer demand for fresh flowers. He can be reached at hortmarketing@aol.com