Florists
Industry Profile Report
Dive Deep into the industry with a 25+ page industry report (pdf format) including the following chapters
Industry Overview Current Conditions, Industry Structure, How Firms Operate, Industry Trends, Credit Underwriting & Risks, and Industry Forecast.
Call Preparation Call Prep Questions, Industry Terms, and Weblinks.
Financial Insights Working Capital, Capital Financing, Business Valuation, and Financial Benchmarks.
Industry Profile Excerpts
Industry Overview
The 11,200 florists in the US specialize in selling cut flowers, flower arrangements, and potted plants. Major product categories include cut flowers (arranged and unarranged), indoor potted plants (blooming and non-blooming), and artificial/silk flowers, plants, and trees. Companies may also sell gifts, glassware (vases), souvenirs and novelty items, outdoor nursery stock, and seasonal decorations.
Variable Supply Affects Margins
The supply of fresh flowers can vary, and affect margins and a company’s ability to fulfill orders.
Seasonality Requires Working Capital
Demand for florists’ products is highly seasonal, and peaks during certain holidays.
Industry size & Structure
The average florist operates out of a single location, employs fewer than 10 workers, and generates about $428,000 annually.
- The florist industry consists of about 11,200 companies that employ about 63,600 workers and generate $4.8 billion annually.
- The industry is highly fragmented; the top 50 firms account for less than 10% of industry sales.
- Most companies are small, independent operators. Some companies own multiple stores, but generally operate within a limited geographical market.
- Large floral networks, such as FTD, have national and international operations.
Industry Forecast
Florists Industry Growth
Recent Developments
Mar 1, 2024 - Upward Trend in Wedding Costs
- The average cost of a wedding in the US increased by 3% to $30,119 in 2023 over 2022, with the flowers and decorations category showing growth, according to The Wedding Report. It is the third consecutive year of growth following a pandemic dip in 2020, when the average cost was $20,290. Most of 2023’s growth comes from higher costs in the wedding venue, beauty services, attire, and entertainment categories. The flowers and decorations category also grew, with average expenses higher in nearly all categories from 2022. Specifically, the costs rose for boutonnieres and corsages to $202 (5.4%), bouquets to $448 (4.7%), wedding venue table centerpieces to $409 (4.4%), and wedding venue flowers and arrangements to $649 (1.7%). The number of wedding guests also increased in 2023, with the average list reaching 134 in 2023 from 127 in 2022. The report was based on more than 30,000 data samples from people getting married.
- More than 50% of florists reported that red roses were the top-selling flower on the Valentine’s Day holiday, followed by mixed flowers at 43.3%, according to a survey by US floral software company Floranext. Florists charged an average of $106 for a dozen long-stem red roses on Valentine’s Day. The survey also found that 50% of floral orders for florists were received through phone calls, while website orders accounted for 32% of orders. About 28% of Valentine’s Day orders came in January and 26% in early February. Florists used Facebook (59%), email marketing (50%), and Instagram (32). The survey included respondents from the US (79%), Canada (14%), and international (5%).
- Consumer confidence levels rose in January 2024 for the third month in a row, following three consecutive months of declines, according to data from The Conference Board. The Conference Board’s consumer confidence index increased to 114.8 in January 2024 from 108 in December 2023. According to Dana Peterson, Chief Economist at The Conference Board, “January’s increase in consumer confidence likely reflected slower inflation, anticipation of lower interest rates ahead, and generally favorable employment conditions as companies continue to hoard labor.” Peterson added that the gains in consumer confidence were largest in householders aged over 55. Plans to purchase homes, autos, and large appliances declined slightly on a monthly and six-month basis.
- Florists will have to monitor minimum wage changes, as 22 states increased their minimum wages in January 2024, according to Chain Store Age. About half of the increases are automatic adjustments linked to inflation. States that raised their minimum wages in January 2024 include Hawaii ($14), Maryland ($15), Nebraska ($12), and Washington ($16.28). Several states are set to boost their minimum wage levels later this year, including Florida (up to $13 in September) and Nevada (up to $12 in July). According to the Economic Policy Institute, nearly 40 US cities and counties will increase their minimum wage rates above state levels at the start of the new year. The federal minimum wage is $7.25 an hour, and more than 20 states, primarily located in the South and the Midwest, use the federal minimum as their wage floor.
Get A Demo
Vertical IQ’s Industry Intelligence Platform
See for yourself why over 60,000 users trust Vertical IQ for their industry research and call preparation needs. Our easy-to-digest industry insights save call preparation time and help differentiate you from the competition.
Build valuable, lasting relationships by having smarter conversations -
check out Vertical IQ today.