Flowers have been a massive part of any event over the years. From happy and sad moments like birthdays and weddings to funerals. Social events like Mothers day and Christmas all involve the use of flowers. With the current COVID pandemic, there is a feeling that this industry has started wilting. From this we have seen the springing of a new bud which is Direct-To-Consumer (D2C) flower delivery.
Let’s take a look at how Direct-To-Consumer might be the ray of sunshine needed to take this industry to the next level.
The scale of the Floral industry has been massive. We have seen some big numbers in this industry in the past few years.
Flower Industry Facts
- The US flower industry is estimated to be worth USD $5 billion.
- The global ornamental plants and flower market is projected to grow at a CAGR of around 6.3% in the 2021-2025 period.
- Based on the floral industry statistics from 2020, there are 31,663 floral businesses in the US, with an estimated 65,339 workers.
Since the pandemic, there is a shifted focus of consumers to want their products delivered to them at home rather than go out and purchase them. This can truly be a boon for D2C flower delivery services.
To Start a Direct-To-Consumer Flower Delivery Business, keep the following points in mind:-
1. Understand your competition
A crucial aspect of any business is to understand who your true competitors are.
Try to analyse what they are doing and how you can use that to help you find success. Strategies of your competitors can act like case studies for you and show what are the pros and cons of doing things a certain way.
Nothing works better than having a look at tried and tested strategies, so keep an eye out for that!
2. Try to create a lucrative brand name
Brand names go a long way helping you get that brand image you want. Try to keep your brand name short and fun. Something that’s catchy will subconsciously boost your brand recall and help you go the extra mile in the long run.
3. Make your platform user friendly
This is perhaps the most important thing when it comes to creating your own business.
The question is how easy is it for my customer to place an order?
At the end of the day what matters is how many customers are going ahead with their orders. As a business it is crucial to make sure the ordering process is user friendly. The easier it is to order, the more people will go ahead and complete their orders.
4. Take constant feedback from your customers
The responsibility of a business is to keep working towards improvement. Without improvement your likelihood to succeed goes down. An extremely efficient way to constantly improve is to listen to the customer. After all they are the ones that you are serving. Listen to their advice. Take their feedback, be it positive or negative. Each customer’s feedback is a stepping stone to improve and as a business a step towards success.
5. Be flexible to changing consumer demands
The human mind is intriguing. There will always be a conflict of choice with so many options to go for in the current ecosystem. As a result, all industries keep on changing.
As an entrepreneur it is a prerequisite to keep an open mind and be open to exploring new horizons. For that is the true way to create the most business opportunities. Be on the lookout for emerging trends, and don’t be afraid to take a step out of your comfort zone and try meeting the changing demands of the customers.
Selling Direct-To-Consumer: Need of the hour?
With the floral industry expected to grow 6.3% to 57.4 Billion USD by 2024, it is essential to study these statistics and adapt to these changes.
The pandemic has led to a major shift in industry trends which earlier relied on purchase from physical stores to purchasing online and getting flowers home delivered. This shift has paved the way to a segment that was previously underestimated, which is Direct-To-Consumer flower delivery. Flowers are a commodity that are relevant for any event that takes place and are still widely purchased products. Simple the channel has shifted from offline stores to an online medium.
The real question is why should I take my business online? And How will it benefit me?
Advantages for delivering Direct-To-Consumer
1. Greater profit margin
Selling direct to your customers rather than using an aggregator reduces your cost, by saving you commission charges and as a result boosts your profit margin.
Cost minimization is a top priority for every business and when you are selling direct to your customers you can easily enjoy this benefit.
2. Strong brand loyalty
When selling direct to customers (D2C), you know one thing for sure. The customers are here to purchase from your brand, rather than any third party platform on which you might have been selling. This ensures that you have a direct opportunity to form long lasting relationships with your customers which ultimately may generate repeat business.
3. Lower customer acquisition cost
A key advantage of selling direct to customers is that the cost of acquiring a new customer is considerably lower as compared to traditional retail channels. By eliminating the middleman, brands are able to offer lower retail prices which as a result make the product more lucrative to the customer.
Coming to the main question
How do I start a Direct-To-Consumer flower delivery service?
To your surprise, setting up your own Direct-To-Consumer flower delivery service is easier than you think.
The team working on Yelo, has already curated a Marketplace building platform which allows you to build your own Flower delivery business. The focus has been on empowering young entrepreneurs and small businesses with the right set of tools to compete in this digital era.
Yelo provides a highly customizable platform, making it the ideal solution for your requirement of building your own D2C flower delivery service.
Yelo’s easy to use tools help you run your business on the go. With an efficient dashboard users can manage orders and bookings with ease while also showcasing some of your best offerings to the customers.
There are a bunch of features that yelo offers :
- Customsable interface
- Chat with customers
- Payment gateway integration
- Reporting & Analytics
- Ratings & Reviews
All in all, the shift in the consumer preferences has made it clear that D2C services are the next big thing in the Floral industry. Businesses must understand the importance of bui;ding their own platform for selling.
The great part is you can go ahead and take a Demo as well as a 14 day free trial of the Yelo platform. So don’t wait! Go ahead and make your own platform now!
Subscribe to our newsletter
'Jungleworks Entrepreneur's Den' to get access to the latest industry & product insights.