Where have all the florists gone?

Where have all the florists gone?

For most local flower shops, walk-in traffic is no longer a major part of their profit.

In fact, there are nearly 25 percent fewer florists than just a dozen years ago, with more than 20,000 Web sites and supermarket floral shops taking business from the remaining stalwarts.

In short, it’s a tough business to be in, and one that will likely become more difficult as old ways of doing business change.

However, a deeper look at the industry itself paints a picture of stamina, responsibility, dedication and belief in the human touch that still resides with the florists who survive.

Phillips Flowers, a three-generation, 85-year-old family-run flower powerhouse headquartered in Westmont, has made it its business to study and then use more productive management techniques, more efficient staffing and attention to store ten store locations.

These are just a few of the business principles Phillips employs to be ranked in the top 1 percent of florists in the nation.

“There has been a very gradual softening in our industry for a number of years,” said Baxter Phillip, executive vice president and a third generation Phillip. “It has become more acute since about mid 2007. We notice a softening in our own business, but we are also getting more and more calls from florists trying to sell us their businesses.”

Phillip said another trend is “tuck-ins,” whereby a flower shop that does a decent business but is facing rising expenses and retirements will “tuck in” with a larger firm and work separately on the bigger company’s premises while maintaining its own identity.

“Thirty years ago, if you were to see a flower vase on someone’s desk at the office, you’d know that it came from a local florist,” he said. “Now, you ask if it came from a florist, garden center, online retailer, fed ex shipper, supermarket, or mass merchandiser.”

The channels of distribution have rapidly expanded, Phillip noted, putting pressure on profit margins, state of the economy, value of the dollar, amount of personal debt, lack of savings. He said that Census Bureau figures show that the number of florists decreased by 24 percent from 1996-2006.

“The good news is that the product is a wonderful comfort to people at the happiest times of life and at the saddest times,” he said. “It’s non-alcoholic, non-fattening, doesn’t leave a carbon footprint, it’s beautiful, and it is good for the environment.

“The bad news of course is that, with a positive worldwide ample supply of flowers from the biggest producers—South and Central America, and also Holland, the Orient, Africa, and Mexico—comes a proliferation of flower outlets and increasing channels of distribution.”

Other florists agree, stressing the same points.

“You must concentrate on your intrinsic strengths,” said Christopher Augle of Christopher John Floral Designs in the south suburbs, which has been in the business for 25 years.

He said that “sideline florists” such as grocery stores are preventing simple retail shops from opening and surviving now.

“We find that “weddings, parties, and corporate accounts are some of our strongest areas so we concentrate on making them grow and continue strong.”

“Service, service, service,” said John Looby, owner of Lake Forest Flowers and former president of the FTD Association. Looby has been in the flower business for 35 years and now runs his floral shop with his daughter who has been educated in business management and horticulture as well.

“I don’t want my customers to be satisfied. Almost any outlet can give them that,” Looby said. “I want them to be wowed with the presentation and service.”

The retail floral shops that are doing well follow a basic pattern of quality and service. They have a love for their industry and a personal desire to present their customers with something beautiful and satisfying for all the different occasions in life.

“To me selling flowers—no matter who is putting the flowers in the home—is the most important thing,” said George Mitchell, owner of Mitchell’s Flowers in Orland Park.

“Our clients might use the Internet like a Sears catalogue. Then they call us up and tell us what they saw,” he said. “We can then give them that ‘look.’ For instance, flowers in glass containers are very big so we are working on two weddings right now to make that the entire theme.”

James Van Ewyk cited a number of reasons for small shops’ inability to compete.

“All the reasons cited are contributing factors—the Internet, grocery stores, other outlets from which to buy, the economy and rising costs, but the flower business is still good, and there is a market,” he said. “The wedding and funeral areas are still strong. I think that floral retail stores need to know their strengths and if change is needed, do your research and go with it.”

A look at a franchise shop reveals the same problems and solutions. Kabloom is a franchise which is owned to market for a particular area, as in St. Charles, where Linda Weis owns a shop.

Manager and Head Designer Babette Dougard said the changes in the floral industry started in the 1980s and by the mid 1990s grocery stores were gaining a lot of floral business.

“Floral shops had to refocus,” she said. “Working within a customer’s budget with the best possible quality and service in your strong areas is the best approach to keep pace in the industry.”

Phillip summarized the change in the industry.

“Fifty years ago a small floral shop would be all things to all people,” he said. “Now, there are a lot of different niches.”

Linda Reynertson, Contributing Writer

Posted on Friday, August 08, 2008 (Archive on Friday, August 15, 2008)
Posted by jstoltz Contributed by jstoltz

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