To achieve exponential growth in the next 10 years, the floral industry must better understand consumers and the right channels to reach them. We also need to create efficiencies in the supply chain and ultimately do things differently.
Shopping Reinvented: This mega trend is no surprise. We all are experiencing the change in how we purchase goods and services. Our shifting values and access to the internet allows us to make purchases from many different platforms and merchants. We will continue to see more selling via social media and social messaging, internet-enabled subscriptions, and other innovative methods. Consumers know that big data has changed the shopping experience to allow for personalization.
Artificial intelligence is allowing us to create a customized consumer experience, which means millennials will likely be the last generation to be marketed to as a generation. Behavior-based analysis will lead to greater personalization, signaling the end of demographic-based marketing tactics, according to 10ecommercetrends.com.
Consumers expect you to save them time by knowing shopping patterns and suggesting the right product, at the right time, at the right price. If your floral selection or marketing is the same for most of the year, you are missing opportunities.
Connected Consumer: Consumers are using computers, smartphones and tablets to experience and interact with your company. And, they expect retailers to engage with them in ways that suit their interest and lifestyle. The connected consumer performs more research-oriented shopping than ever before. A consumer can quickly conduct a good deal of research on product details and pricing across different websites and platforms all while in a store.
Digital connections are the foundation to how consumers live, work and shop. It is the central nervous system supplying convenience, simplicity and knowledge, according to Euromonitor. It is also allowing technological advances such as augmented reality to be a part of everyday life. Augmented reality allows consumers to visualize what floral purchases would look like in their homes by using their mobile devices.
Experience More: This trend, as explained by Euromonitor, works well for the highly perishable floral market where the consumers really experience flowers rather than possess them. The need for experience over possession begins with the decision to purchase an item.
Consumers are demanding an experience in the path to purchase, which means having an intimate knowledge of consumer behaviors and desires to provide a seamless shopping environment whether it’s online or in-store. Sales relationships are being replaced by a digital-first discovery process and a buyer-centric, simplified ordering process. Optimizing the purchase experience also means creating an experience for when purchasers receive your floral product.
E-commerce companies are optimizing their last-mile deliveries with drones. How this is executed will influence the customer as to whether they will use your service again.
The market share of e-commerce purchases in Europe’s spending on flowers and plants currently ranges from 3 percent in Germany to 14 percent in the UK, but Rabobank expects this share will grow to 30 percent by 2027. More and more younger consumers now want to buy flowers. In the Netherlands in 2010, 32 percent of all purchases in this sector was done by someone aged 39 years or younger. By 2016, this share had increased to 60 percent.
Brick and mortar retail is not dying, but a transformation has begun. About 50 percent of millennials still prefer to shop in-store, according to 10ecommercetrends.com. Therefore, merchants must master the combination of merchandising online and in-store so consumers have a positive and consistent experience with your brand.