Budding potential: Niche markets have supported growth despite wholesale bypass

Over the five years through 2017-18, industry revenue is anticipated to increase at a compound annual rate of 1.3%. The Flower and Plant Wholesaling industry endured a difficult start to the period. Since many consumers view flowers and plants as non-essential items, the industry was hit hard by weak growth in real household disposable income and consumer confidence at the start of the period. Household budgets were cut and consumers became more cautious about their spending on discretionary products, swapping purchases of premium plants and flowers, particularly from florists, for budget options, hampering growth...read more.

Industry Statistics & Market Size
Annual Growth 13-18
Forecast Growth 18-23
Market Share of Companies
There are no companies with a dominant market share in this industry

Industry Threats & Opportunities

  • Price competition and wholesale bypass have negatively affected the industry in recent years
  • Operators have expanded their markets to include smaller, independent florists and garden centres
  • Wholesalers that source organic, fair trade and locally grown plants and flowers should perform well
  • Industry Report - Industry SWOT Analysis Chapter

    Flower and plant wholesaling is considered to be a mature industry as a result of increasing wholesale bypass, falling profit margins and consolidation trend. Over the 10 years through 2022-23, industry value added, which measures an industry's contribution to the overall economy, is forecast to grow at a compound annual rate of 0%, while the economy is forecast to grow at 2% over the same period. This suggests the industry is contributing significantly less to the overall economy, indicative of an industry in the mature stage of its lifecycle.Industry consolidation is another indication of maturity. Over the five years through 2017-18, both industry enterprises and establishments are expected to decline, at compound annual rates of 5.7% and 4.5% respectively. Loo...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..

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    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
  • Competitive landscape
  • Wholesale bypass and pricing pressures
  • Growth strategies
  • Expanding markets
  • Current concerns
  • Profit and market structure
  • Chart: Revenue Growth

  • Industry Outlook
  • Opportunities for growth
  • New markets
  • Industry challenges
  • Imported goods for resale
  • 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: bedding plants
  • Protected crops: bulbs, cut flowers and pot 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
  • Florists
  • Nurseries and garden centres
  • Landscapers
  • Supermarkets and grocery stores
  • 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
  • Industry Revenue (2009-2023)
  • Industry Gross Product (2009-2023)
  • Establishments (2009-2023)
  • Businesses (2009-2023)
  • Employment (2009-2023)
  • Wages (2009-2023)

  • 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 can be used to help you: understand market size and growth potential; major companies; draft business plans and pitch books; and conduct benchmarking and SWOT analysis. Our industry analysis highlights macro industry trends in the overall sector and micro trends faced by companies that do business in the industry. The industry report also provides key industry statistics and 5-year forecasts to anticipate future industry prospects so you can decide with confidence.

    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.

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