Today I bought a bouquet for one very pleasant occasion, and I caught myself thinking that the trade in flowers brings people not only aesthetic pleasure but also material. And not a little. The familiar owner of a small flower shop once boasted that on average he barges up to 10 thousand dollars a day.
If you take into account the fact that people celebrate important dates every day, go on a visit and on dates, arrange birthdays and weddings, then flowers are very popular goods. Therefore, anyone who sees himself as an entrepreneur, but does not know which niche to choose, it is worth considering how to open a flower shop from scratch.
What start-up capital is needed for this, what nuances should be taken into account, what advantages and disadvantages this kind of trade as – I will tell in detail.
1. Advantages of the flower business
Flowers – it’s always beautiful, even in the store, at least at the exhibition, even though in the greenhouse, though in the wild. But if the natural beauty of a plant is skillfully emphasized in a bouquet, then the demand for such a flower will increase. Therefore, do not be afraid of the opinion of businessmen who did not dare to trade flowers in their time, if you approach the matter competently, in a few months you can create a profitable and profitable business.
And if the question: “How to open a flower shop from scratch?”, Constantly pushes you into doubts and makes you rush between “yes” and “no”, do simply: analyze the advantages and disadvantages of this type of activity. And if the shortcomings do not scare you, start acting.
Among the main advantages of trade in flowers:
- Easy and relatively inexpensive business start-up;
- The opportunity to open a store in a small room with a low rent;
- It is not necessary to be a florist or a specialist in growing flowers – it’s up to you to create a business and hire professionals;
- The margin for the goods, as a rule, is not less than 90%;
- A business that involves creative work – come up with new competitive advantages that will only be inherent in your store.
2. What competitive advantages can be used in the trade of flowers?
In the first weeks and months after the opening of the store for a large profit, it is unreasonable to count. In order for it to appear over time, it is necessary to attract the maximum number of customers. To attract customers, even before the opening, it is worth considering how your store can differ favorably from others. Suppliers of flowers are not so many, so count on some unusual plants that cannot offer a nearby store, it is not necessary. What then? Then to surprise the potential buyer?
Once again, I emphasize: the main thing is that you need to open a flower shop – a non-standard way of thinking. You can order the usual color varieties from the supplier, you can come up with original branded compositions, add bonus elements to the bouquets that the customers will like.
Usually, for advantage over competitors, floral businessmen use proven methods:
- Reasonable and moderate pricing policy – you can do a surcharge less than competitors, but at the same time, make sure that the selling price is not unprofitable for you;
- To offer a wide range of goods – it’s not just about the number of flower names, you should have bouquets for every taste and purse: modest (for students and state employees), smart (for rich clients), artsy (for originals), cute (for romantics), laconic business bouquets;
- Sell related products: soft toys, candles, ribbons, figurines, popular literature about the art of ikebana, vases;
- if the area permits, organize a department for the sale of pot plants, do not limit yourself only to fashionable orchids, offer bonsai buyers, a mini garden of succulents, curly-cut rosemary, as an accompanying product in this department will be soil, fertilizers, pots, and baskets;
- To increase sales, carry out actions during holidays (February 14, March 8, September 1, it is possible and on New Year), offer customers a card or a small toy as a gift to a bouquet, three bouquets for the price of two, organize discounts;
- Organize delivery service;
- Take care of the competence and courtesy of the staff.
Another important nuance in attracting customers – before you open a flower shop, take a closer look at how to sell this product on the street, in tents, and in solid stores. You will notice the difference. Therefore – the advice: in no case do not take in your new store saleswomen from tents – modern standards for the design of compositions differ from those for which they are accustomed to working.
3. The disadvantages of trade in flowers
The main disadvantage in the flower business is the perishable goods and the inability to realize wilted flowers even below the purchase price. Because of this, many entrepreneurs refuse to contact such goods and choose other niches, for example, the opening of a clothing store.
- high competition, despite some mistrust of businessmen to flowers, many in their sales have succeeded, and “move” them to the market for beginners is very difficult;
- Seasonality of business – summer entrepreneurs call the dead season;
- The dishonesty of the supplier – when ordering large quantities of goods, there is a risk of obtaining a part of the marriage hidden among the quality flowers.
Is it advantageous to open a flower shop in the presence of such shortcomings?
Compensate for all these disadvantages is very real, if you properly develop a strategy for attracting customers, learn the style of work of competitors and organize a loyalty program. As for seasonality, you cannot get away from it, even with a low profit; you need to pay taxes, rent, and wages. But here one can also find a way out: to postpone a portion of the revenues received in a successful period for the financial needs of the non-season.
Nobody is insured by the scam supplier. Therefore, when choosing a partner, be guided by real feedback, carefully ask the same competitors, not very advertising their intention to open a store.
4. Formats of the flower business
Like any other kind of activity, the trade in flowers is different in scale and form of organization. You can be the owner of several small pavilions in different parts of the city, trade in simple compositions and earn an income no less than the owners of flower boutiques.
Whichever format you choose for your business, it is advisable to consider the idea of how to open an online flower shop. You will expand the customer base and geography of customers, you will not have casual customers since this kind of trade involves the production of bouquets to order.
Types of outlets that can be used for the flower business:
- Pavilion – the best option for people with a minimum starting capital, features – the sale of inexpensive bouquets, the location in the busiest places, you can near the markets and metro stations;
- Directly store – a more expensive option, especially – the need for renting a room and its original decoration;
- Boutique – pathos institution for sophisticated and prosperous customers, features – exquisite interior, high level of service, the presence of very expensive exotic plants on sale;
- Online store – distance trade in flowers, features – the ability to combine with any other type of store, great for owners of flower greenhouses.
5. Features of doing business on the sale of flowers
Next, I want to list some of the features of running a flower business.
- The similarity of the assortment of flower shops. To stand out, create unusual compositions from ordinary plants, offer customers a variety of types and colors.
- The sale of flowers provides waste, which will have to be thrown away. 15-20% of plants cannot be sold, take it for granted and do not get upset about it – all floral businessmen know this.
- The peak of sales for “florists” – romantic holidays, in the autumn, winter and early spring, trade are much better than in the summer months.
- For a long-term preservation of the presentation of flowers, it is necessary to purchase special refrigeration equipment.
6. Calculation table for the cost of opening a flower shop
There are other figures, for those who want to calculate how much it is to open a flower shop from scratch. And they are much more modest. If we talk about the pavilion or the Internet site, then when they open, there is no need to spend money on repairs and rent. But refrigeration equipment is needed in any case, and this is one of the most expensive expense items.
The ideal option is the combination of offline and online business formats.
7. Recoupment of costs
Under the most favorable conditions (a successful location of the store, daily sales, season), the funds invested in the business start paying off in 3-5 months after the opening.
In the winter-spring period, the profitability is up to 16%, in the summer the figure is significantly reduced.
The average daily amount received for the goods is up to $10 000, per month – 300 000. If you subtract the monthly expenses (salary, taxes, and purchase of material and goods), the net income per month will be 120-150 thousand dollars.
8. Flower shop in the village
Calling such figures, I’m talking about a store in a big city.
If the inhabitants of small towns have a ripe decision to open a flower shop, how much does this venture cost, I will not say for sure (I think it is cheaper at times than in a metropolis), but I can hardly call it successful.
In small settlements, there are not so many people and so many events that would require flowers every day.
What do experts advise in such cases?
- Organize business as a fickle and sell flowers on the eve of September 1, the holiday of the last bell, March 8, etc.
- Organize a greenhouse and sell their own products through the Internet.
Well, my friends, today I told the truth, only the truth and nothing but the truth, about business in the trade of flowers. Disadvantages of this business, I did not hide, and, I hope, this will help you more responsibly and cautiously approach the matter.
I have to wish you good luck and say goodbye to the next new article.Tags: Advantages, competitive advantages, disadvantages, flower business, How to Open a Flower Shop?