Hardy variety: Operators have responded to competitive threats, supporting revenue growth

Over the five years through 2018-19, industry revenue is anticipated to increase at a compound annual rate of 3.8%. Volatile market conditions, rising incidence of wholesale bypass and tough price competition stemming from the growing influence and buying power of leading supermarkets have all negatively affected the industry. Operators have also struggled somewhat following the outcome of the EU referendum, with demand hit by constrained household disposable income and supply affected by inflated purchase costs. Despite this negative outlook however, as traditional distribution channels faced increasing pressure and difficulties, wholesalers responded by looking elsewhere to protect profit margins...read more.

Industry Statistics & Market Size
Revenue
£1.4bn
Annual Growth 14-19
3.8%
Forecast Growth 19-24
Profit
Employment
8,533
Businesses
730
Market Share of Companies
There are no companies with a dominant market share in this industry

Industry Threats & Opportunities

  • Traditional distribution channels have faced pressure, encouraging vertical integration
  • Many large supermarket retailers are buying direct from growers, increasing pricing pressures on the industry
  • Projects such as the Greener City Fund are expected to provide opportunities for operators
  • Industry Report - Industry Investment Chapter

    Flower and plant wholesaling requires a low level of capital investment, as measured by the capital-to-labour ratio. In 2018-19, IBISWorld estimates that the capital-to-labour ratio in the industry is 1:8:42. This suggests for every £1.00 they invest in capital, £8.42 is spent on labour. This reflects how labour-intensive this industry is compared to other industries in the wholesaling sector since stock people, sales staff, drivers and marketing professionals are all needed to carry out daily functions. It also illustrates the industry’s need for warehousing and cool storage facilities, modern packing facilities and an extensive fleet of trucks for distribution. The...purchase to read more.

    Additional Insights for the Flower & Plant Wholesaling Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Flower & Plant Wholesaling Industry are

  • Proximity to key suppliers
  • Proximity to key markets
  • Ability to avoid wholesale bypass
  • IBISWorld analysts also discuss how external factors such as Consumer confidence index and Demand from florists in the Flower & Plant Wholesaling industry impact industry performance..

    shopping_cartPURCHASE OPTIONS

    What's in this report

    What is the Flower & Plant Wholesaling Industry?

    Businesses in this industry purchase flowers, plants and bulbs from growers and sell them to retail outlets such as supermarkets, garden centres and home improvement stores.

    Industry Products
  • Flowers and bulbs grown outside
  • Other hardy ornamental nursery stock
  • HONS: shrubs
  • HONS: container-grown plants and flowers
  • Protected crops: bulbs, cut flowers and pot plants
  • Protected crops: bedding plants
  • Industry Activities
  • Supplying flowers to outlets
  • Supplying plants and other nursery stock to outlets
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Consumer confidence index
  • Demand from florists
  • Demand from garden centres and pet shops
  • Real household disposable income
  • Demand from supermarkets
  • Public concern over environmental issues

  • Current Performance
  • External competition
  • Wholesale bypass and pricing pressures
  • Current concerns
  • Supply chains and markets
  • Other growth strategies
  • Current year
  • Chart: Revenue Growth

  • Industry Outlook
  • Revenue growth
  • New markets
  • Industry challenges
  • Future concerns
  • Profit and market structure
  • Table: Flower & Plant Wholesaling Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Flower & Plant Wholesaling Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Supermarkets
  • Garden Centres & Pet Shops
  • Specialised Design Activities
  • Funeral Activities

  • Key Selling Industries
  • Chain, Spring & Wire Product Manufacturing
  • Flower & Plant Growing
  • Manufacture of Other Articles of Concrete, Plaster and Cement
  • Manufacture of Other Products of Wood; Manufacture of Articles of Cork, Straw and Plaiting Materials

  • Products & Services
  • HONS: container-grown plants and flowers
  • Protected crops: bulbs, cut flowers and pot plants
  • Protected crops: bedding plants
  • HONS: shrubs
  • Other hardy ornamental nursery stock
  • Flowers and bulbs grown outside
  • Chart: Flower & Plant Wholesaling Industry Products and Services Segmentation

  • Demand Determinants
  • Disposable income
  • Residential trends
  • Substitute products and seasonality

  • Major Markets
  • Nurseries and garden centres
  • Landscapers
  • Supermarkets and grocery stores
  • Florists
  • Home improvement stores
  • Other
  • Chart: Major Market Segmentation for the Flower & Plant Wholesaling Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitPurchasesWagesWarehouse, utilities and distribution costsDeprecation and other costs
  • Chart: Cost Structure Benchmarking – Sector vs Flower & Plant Wholesaling

  • Basis of Competition
    Internal competitionExternal competition
    Barriers to Entry
  • Table: Barrier to Entry Checklist for the Flower & Plant Wholesaling 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 & Plant Wholesaling 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 & Plant Wholesaling Industry
    Includes:
  • Industry Revenue (2010-2024)
  • Industry Gross Product (2010-2024)
  • Establishments (2010-2024)
  • Businesses (2010-2024)
  • Employment (2010-2024)
  • Wages (2010-2024)
  • Wages (2010-2024)
  • Purchases (2010-2024)
  • Profit (2010-2024)
  • Depreciation (2010-2024)
  • Marketing (2010-2024)
  • Rent (2010-2024)
  • Utilities (2010-2024)
  • Other (2010-2024)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Fair Trade
  • A movement towards eliminating worker exploitation in developing countries by achieving better economic conditions and compensation for them.
  • Urban Greening
  • Urban greening solutions include installing ivy screens, green facades and living hoardings in urbanised areas such as cities.
  • Wholesale Bypass
  • A common trend in retail and manufacturing industries where producers supply goods directly to retailers, eliminating the middleman.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Flower & Plant Wholesaling market research report provides the latest industry statistics and industry trends, allowing you to identify the products and customers driving revenue growth and profitability. The industry report identifies the leading companies and offers strategic industry analysis of the key factors influencing the market.

    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 & Plant Wholesaling:
    • 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 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 & Plant Wholesaling 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 & Plant Wholesaling, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

    Contact Us

    Would you like to speak to an IBISWorld representative?

    clear