Jan 22, 2008
SAF Report Tracks Wholesalers’ TrendsSource: SAF

In the fast-changing and fast-paced U.S. floral industry, wholesalers play a vital role and face unique challenges, according to a “Floral Trend Tracker” report by the Society of American Florists (SAF). The association sent out a series of informal questions last fall probing wholesalers about specific aspects of their businesses. The result was an intimate glimpse into the challenges and opportunities that face wholesalers as the industry continues to evolve and grow.

According to the report, wholesalers are feeling the pain of higher costs, like most members of the floral industry. These higher costs directly impact their bottom line, with many wholesalers becoming smaller, more focused and more select. By prioritizing customer service and satisfaction, wholesalers are trying to hold onto their current customers – and gain some new ones – in an increasingly tight market.

Another trend that the SAF report highlights is the diversification of customer bases beyond the traditional retail florist niche. While retail florists remain “the most important customer to wholesalers,” changes in the marketplace and financial concerns are forcing wholesalers to expand their customer bases into supermarkets, event planners, garden centers and more.

In spite of the choppy waters wholesalers must navigate to stay afloat, their innovation appears to be giving them a competitive edge over the competition. According to the report, wholesalers are recognizing that the online world is crucial to their present and future business strategies, and are demonstrating a willingness to try out new technology and fine-tune existing systems to improve their business.