Wilting: Fluctuating consumer sentiment has limited industry revenue

The Flower Retailing industry has faced challenging trading conditions over the past five years. Mounting competition from competitors outside the industry has limited industry revenue. Retailers such as supermarkets, grocery stores and convenience stores have expanded their range of cut flowers and floral arrangements over the period. The increase in shopping options has given value-conscious consumers an alternative to florists and effectively eroded revenue away from the industry. Intensifying competition from online-only flower retailers has placed further pressure on the industry. Overall, industry revenue is expected to decline at an annualised 0.3% over the five years through 2018-19, to $755.3 million. This includes an expected drop of 0.5%...read more.

Industry Statistics & Market Size
Revenue
$755m
Annual Growth 14-19
-0.3%
Forecast Growth 19-24
Profit
Employment
5,544
Businesses
2,210
Market Share of Companies
There are no companies with a dominant market share in this industry

Industry Threats & Opportunities

  • Growing competition from supermarkets and online-only flower shops has limited industry revenue
  • Increasing external competition has placed downward pressure on profitability
  • Operators are forecast to exit the industry due to rising internal and external competition
  • Industry Report - Industry Analysis Chapter

    The Flower Retailing industry has faced tough operating conditions over the past five years. Rising competition from external players, such as supermarkets, grocery stores and online retailers, has negatively affected industry demand. Fluctuating consumer sentiment has also limited demand in some years over the past five-year period. These trends have combined to place increasing pressure on industry pricing, negatively affecting margins. Overall, industry revenue is expected to decline at an annualised 0.3% over the five years through 2018-19, to $755.3 million. This includes a projected 0.5% fall in the current year due to continued competition from online-only flower retailers and supermarkets...purchase to read more.

    Additional Insights for the Flower Retailing Industry

    IBISWorld has determined the most important Key Success Factors for the Flower Retailing are:

  • Proximity to key markets
  • Ability to provide goods/services in diverse locations
  • Membership of joint marketing/distribution operations
  • IBISWorld analysts also discuss how external factors such as Consumer sentiment index and Real household discretionary income in the Flower Retailing industry impact industry performance..

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    What's in this report

    What is the Flower Retailing Industry?

    The industry includes stores that retail cut flowers or display foliage. Industry operators purchase flowers from growers to sell directly to consumers as is or as arrangements. The industry excludes online-only flower retailers.

    Industry Products
  • Floral arrangements
  • Cut flowers
  • Plants
  • Delivery and on-site installation
  • Other merchandise and giftware
  • Industry Activities
  • Cut flower retailing
  • Display foliage retailing
  • Dried flower retailing
  • Florist shop operation
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Consumer sentiment index
  • Real household discretionary income
  • Demand from online shopping
  • Demand from supermarkets and grocery stores
  • Business confidence index

  • Current Performance
  • Trading conditions
  • Profitability
  • Competition
  • Industry structure
  • Chart: Revenue Growth

  • Industry Outlook
  • Operating landscape
  • Growth avenues
  • Profit and competition
  • Industry structure
  • Table: Flower Retailing Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Flower Retailing Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Hotels and Resorts
  • Consumers

  • Key Selling Industries
  • Floriculture Production
  • Livestock and Other Agricultural Supplies Wholesaling
  • Nursery Production

  • Products & Services
  • Floral arrangements
  • Cut flowers
  • Plants
  • Other merchandise and giftware
  • Delivery and on-site installation
  • Chart: Flower Retailing Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Households
  • Wedding venues and funeral homes
  • Corporate clients
  • Chart: Major Market Segmentation for the Flower Retailing Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
  • Chart: Cost Structure Benchmarking – Sector vs Flower Retailing

  • Basis of Competition
    Barriers to Entry
  • Table: Barrier to Entry Checklist for the Flower Retailing Industry

  • Industry Globalization
    There are no major players in this industry. This report includes analysis of other companies.
    Capital Intensity
  • Chart: Level of Capital Intensity for the Flower Retailing Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Flower Retailing Industry
    Includes:
  • Industry Revenue (2010-2024)
  • Industry Gross Product (2010-2024)
  • Establishments (2010-2024)
  • Businesses (2010-2024)
  • Employment (2010-2024)
  • Wages (2010-2024)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Bricks-And-Mortar
  • A store that has a physical store location, as opposed to an online retailer that operates through a website.
  • Floriculture
  • The cultivation of flowers or flowering plants, usually on a commercial scale.
  • Pure Online Players
  • Businesses that operate solely via the internet
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Flower Retailing market research report offers insightful industry analysis and research into the market at the national level. IBISWorld’s in-depth industry market research is presented in a logical and consistent format. The industry report contains key industry statistics, market size, industry trends, and growth and profit forecasts for a 5-year outlook period.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Flower Retailing:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Flower Retailing market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Flower Retailing, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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