You’ve probably heard this depressing statistic: In 2000, there were about 24,000 retail florists in the United States. By 2020, that number could drop to 12,000. In other words, 50 percent of florists will have gone the way of the dinosaurs in a 20-year period. Fortune and the Atlantic magazines even called us a “dying” industry.
Dying? Don’t you dare believe it. Yes, our industry is changing. But it’s not dead or dying. In fact, as I talk to other florists, I’m fascinated to hear the many different ways people have built teams, satisfied customers, and made a buck — often, lots of bucks.
That’s not to say the path is easy. After all, there’s a difference between a hike and a journey. A hike puts you on a path traveled by many others. You’ll have good experiences, meet good people and … ultimately end up in the same place you started. A journey, on the other hand, is a path with a purpose. At the end of a journey, you’re in a different, better place. Owning a business is a journey.
In our industry, that journey can take different forms. I’ve met successful florists who won’t do a wire order, and others that specialize in wire business; florists who require a $100-minimum order and those without minimums; exclusive wedding florists and florists who refuse all weddings. These florists are succeeding because they reflected on themselves, their businesses, and their market — and then created their own unique path. It’s a dynamic found in every successful florist.
How do you find your path? Here are some questions that have helped me.
What’s my market? Read your local paper, watch the news, know your competition. Keep your antennae up, all the time. You must know what’s going on around you, to know where you fit in. Is a business opening or closing? New housing development starting? Employment up or down? Know this type of information, leverage it and get ahead of it. Several times I’ve called a major new hotel or event venue to get their flower business and later learned I was the only florist to call. That’s crazy!
How are my margins? More sales won’t solve cash flow problems. If your margins aren’t under control, more sales will actually hurt business, because additional sales create additional costs. (Don’t just take it from me — that’s advice from Floral Management contributing accountants Paul Goodman, MBA, CPA, PFCI, and Derick Meyers, CPA.) If you struggle with hitting your margins, prioritize fixing that problem.
Does this path make profit? Sales and profit are not the same thing. We stay away from flowers in restaurants because, in that industry, margins are tight and failure rates are high. (I’ve learned this lesson the hard way: A restaurant on its way to closure stops paying its bills. Ouch.) Hotel flowers, however, are a profitable market for us. You have similar client choices to make. Choose wisely.
Does it fit my brand? Truth time: A high-end florist should think twice about providing $5 carnation bud vases to hospital gift shops. A florist with a robust wire business may have trouble going after luxe weddings. Before you start any new endeavor, assess your brand, honestly and critically. You don’t want to confuse people or muddy your brand. And if you still want to branch out, consider starting a separate brand for aspirational or value costumers.
Can someone else do it? As the owner, you’re a special breed. You have vision, ambition, toughness and wisdom. But you can’t do everything yourself. You have to learn to delegate and be willing to train good, capable team players to help you on your journey. (I’m using the words “good” and “capable” not “great” or “genius” on purpose; don’t wait for an All Star manager/designer/salesperson. All Stars are overrated. All Stars have egos. All Stars move on.) — Manny Gonzales
Manny Gonzales owns Tiger Lily Florist in Charleston, S.C.
