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From the Publisher: January 2007 |
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Written by Sue Fredericks
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The Cost of Complacency
Every industry has its challenges and the Canadian
retail floral industry is no exception. Depending on who you talk to,
the issues are:
1. Lack of floral consumption
2. Declining market share and margins due to competition from order
gatherers, including internet sellers, 1-800 Flowers, box stores and
street vendors
3. An unfair tax burden
It should come as no surprise, but with the exception of our unique Canadian tax problem, these are the exact same issues that have been identified by American and U.K. florists. The question is who fights the good fight? Can individual florists make enough headway to guarantee there is an industry for the next generation or should florists band together and turn up the volume?
In the U.K. floral consumption has risen over the last 10 years, but unfortunately the retail florists are not getting their share of those purchases. A lone florist trying to change this probably won’t have a lot of impact. In the U.S. legislation has been enacted in Pennsylvania that requires order gatherers to publish their bricks and mortar (physical) location in their advertising. This kind of change is not the result of the lone voice of a single florist.
It could, however, be the effect of a single voice at a committee meeting of a strong association. It could be your voice coming up with a creative idea that sparks a few more creative ideas and then a groundswell. Who knows what could happen when a bunch of lone voices come together to address a challenge.
According to the board members of Flowers Canada Retail (FCR), it is time to pump up the volume. If Canadian florists don’t unite to lobby the government for change and/or assistance, the retail florist as we know it will disappear from the Canadian landscape. Membership is not a cost it’s an investment in your business.
The Canadian floral industry represents a $2 billion marketplace, yet has no profile except when it comes to buying flowers. Studies done in the U.S. show that Canadian floral consumption per capita is higher than that of the U.S., due to our European heritage. Yet we have to wait for the Americans to do a study before we can see those numbers. Why is this?
This is because while florists were busy taking care of business, companies like 1-800 Flowers and other order gatherers recognized that, apart from traditional wire services, there was no one branding the floral market. The consumer had no top of the mind awareness when it came to flowers. Their successful marketing campaigns have laid the groundwork on brand awareness.
Now it’s time for FCR to finish the job, says Susan Clarke, newly appointed president of the board. By focusing their energies on branding the association and raising its profile florists will be able to lobby governing bodies without first having to establish who they are. Only in Canada, eh?
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