In-depth Analysis and Data-driven Insights on the Impact of COVID-19 Included in this Floral Gifting Market Report in US
The floral gifting market in US is expected to grow at a CAGR of over 5% during the period 2020–2025.
The floral gifting market in US is witness to a range of innovations. One of the most prominent being delivery. Retail is being eliminated to appeal to the new generations that look to digital platforms for most of their purchase decisions. The supply chain is witnessing massive consolidation within the US floral gifting market. Major producers of flowers are acquiring small farms. The same is being witnessed in the retail and wholesale scene. The competition has thus intensified, and a lot of these players are looking to increase profitability via vertical integration. Intermediaries are losing their space in the market as network services bypass florists, and florists bypass wholesalers to meet orders straight from farms. Farms are going one step further and marketing straight to consumers. The on-demand floral production is one of the key differentiators prominent among the current wave of floral gifting vendors. The concept of farm-to-table is gaining traction. Strategic supervision and a stronghold on trends and quality have led to an optimized production system that loses the ludicrous amount of waste and results in an almost nil flower stock. In terms of designs, the market has witnessed a decline in the demand for extravagant and complex bouquet flowers, with a movement toward cut flowers. There is a possibility that new floral sources such as Nepal and Japan will tend to enter the US landscape.
The following factors are likely to contribute to the growth of the floral gifting market in US during the forecast period:
- Flat Packed Bouquets
- Intensifying Movement Toward Local Flowers
- Rise of Sustainability practice
- Floral Design Gains Renaissance
FLORAL GIFTING MARKET IN US SEGMENTATION
This research report includes a detailed segmentation by occasion, platform, product, and purchasing options. Changes in lifestyle, variations in cultures, and evolving households are leading to new opportunities for personal floral gifting. The major revenue generator for the floral gifting industry is Mother’s Day. Customers usually purchase Mother’s Day flowers via the internet as they tend to see the arrangements in large before buying. However, the mobile segment is also witnessing a decent growth YOY courtesy the younger generation. While we witness the accessibility as a major factor contributing to the growth of the floral industry, it also imposes a threat as there are numerous competitors, encouraging the shift to other gifting segments.
Traditional in-store florists in the US are witnessing a strong decline primarily due to the competition from less expensive mass-market retailers and online orders. While some of them are shutting shops, others are turning into studio florists. A large number of them, however, are event florists, catering to weddings and corporate events. Supplying to events is becoming more prominent, proving a threat to the market. Opportunities for florists in the US are ripe with consumers willing to spend more on products that are prepped and delivered by florists as they are equated to quality.
Mass-market retailers and supermarkets are finding their way into the floral market and are progressing slowly. There is a trend toward full-service operations being observed among chain and independent supermarkets and grocery/service wholesalers. The online marketplace has evolved rapidly in the last couple of years, setting in motion a refined, less hassled flower gifting delivery system. The internet has shortened the supply chain, putting all the players in touch with each other. The rise of the internet has ushered in an era of comparative shopping, educated decisions, innovative business models, and widening creativity. While websites by network services have largely been used in the US floral gifting market, new ones that focus on distinctive models of working are gathering momentum. The online space has been ripe with innovation. The on-demand model is becoming a new norm among tech-driven start-ups that are developing their proprietary supply chain. E-tailers in the US are experiencing more consistent sales; however, they tend to be more clustered around occasions such as Mother’s Day and Valentine’s Day than region such as Europe which is marked by less cyclical sales.
Millennials are likely to buy flowers to make a good impression on guests and as a result, bouquets and arrangements have found popularity among this segment of the population. Florists are experimenting with floral arrangements more than ever. From taking inspiration from other countries to basing designs on new elements, the industry has expanded its Ikebana, the ancient Japanese art of flower arranging is the newest craze that is taking over the US floral gifting market and is slowly becoming mainstream. This trend is specifically becoming popular in California and is moving East. However, the segment is increasingly under threat from declining revenues as floral foams forming the base of these arrangements are not environmentally sustainable. Several studies highlight the microplastic pollution, thereby driving leading florists to revert to old-fashioned, sustainable methods of floral design.
Generic gifting is the primary stimulant for one-time purchases. The mobile platform is particularly growing as the go-to-medium when it comes to single purchases. However, genetic modifications and advancements in growing techniques have made larger and more resilient stocks available at lower prices. A personalized retail experience is becoming more crucial to build loyalty in the market. Incorporating textures and floral scents within the retail space, getting consumers to witness the process, and personalizing basis gender are likely to drive high revenues in the US floral gifting market. Technological changes in retail, aggressive brand-building strategies, and the surprise element that is attached to subscriptions have made them the ideal instrument for gifting. Subscription services are unfailingly practical with consumers simply needing to key in their preferences of flower favorites and the frequency of delivery and then open their door to them on the respective days, they are gaining traction. The market has evolved to satisfy a wide range of needs. Companies are evolving into service providers and iterating their offerings. Subscription players are among the more evolved players in the market, following trends and changing demands closely, and this is among the main reasons they are getting funding. Most of them follow sustainable practices and source flowers locally, and the elements in the bouquet are guided by what is in the season along with the taste of the customer. Players are also ensuring packaging is compostable or biodegradable.
- Personal Gifting
- Self gifting
- Bouquets & Arrangements
By Purchase Option
INSIGHTS BY VENDORS
The US floral gifting market share is fragmented. The leading three players account for a chunk of the business. There are more than 15,000 retail florists in the US. The players in the floral gifting market operate in a host of ways utilizing catalog, online, mass-market retail, wholesale, floral, and gift retail channels to serve the market. Floral mass marketers that cater to consumers take orders via websites, smartphones, and phones, and these players are only expected to grow with the digital wave sweeping across the retail industry. Supermarkets, on the other hand, have also entered the market by providing floral gifting products, driving up competition, thereby influencing the growth of the breadth of related products offered. The market also witnesses the operation of floral wire services that use a proprietary network communication system through which orders are taken and passed through to the members of the floral network.
The study considers the present scenario of the US floral gifting market and its market dynamics for the period 2019?2025. It covers a detailed overview of several market growth enablers, restraints, and trends. The study offers both the demand and supply aspect of the market. It profiles and examines leading companies and other prominent ones operating in the market.
- FTD Companies
- From You Flowers
Other Prominent Vendors
- 5th Floral Co
- Seiko Epson
- Avas Flowers
- Benchmark Bouquets
- Blooms Today
- Farmgirl Flowers
- Just Flowers.com
- The Flower Shop
- The Bouqs
- Gotham Florist
- Venus Et Fleur
Key Questions Answered
1. What is the U.S. Floral Gifting market size and growth forecast?
2. What are the demand forecast of the floral gift during 2020-2025?
3. Which are the different segments of the market and the growth prospects?
4. Who are the leading vendors in the U.S. Floral Gifting market and their market share?