Floral Industry Background

1 / 65
About This Presentation
Title:

Floral Industry Background

Description:

The retail florist frequently will grow his/her own flowers in greenhouses and ... The smaller shop will need to use both the grower and the wholesaler because he ... – PowerPoint PPT presentation

Number of Views:357
Avg rating:3.0/5.0

less

Transcript and Presenter's Notes

Title: Floral Industry Background


1
Floral Industry Background
  • Topic 2091
  • By Katie Wagar

2
  • There are three branches which make up the
    background of the floral industry
  • The Grower--where the flowers are grown.
  • The Wholesaler--the middle person who goes
    between the grower and the retailer.
  • The Retailer--the local flower shop.
  • .

3
  • Quite often these three businesses are
    intermingled
  • The retail florist frequently will grow his/her
    own flowers in greenhouses and thereby omit using
    both the grower and the wholesaler.
  • Some larger flower shops use flowers in such
    quantities that they will order directly from the
    grower, omitting the wholesaler.

4
  • The smaller shop will need to use both the grower
    and the wholesaler because he/she neither has the
    facilities for growing his/her own, nor could
    he/she possibly use enough flowers to fulfill the
    minimum order that is required by the wholesaler.

5
The Grower
  • Commercial growers operate their plants
    scientifically.
  • They have, in most instances, studied
    floriculture, where they acquired a knowledge of
    entomology, plant pathology, soil chemistry and
    greenhouse management.
  • If their own background does not include this
    training, then they may learn from others who
    have been trained in these things.

6
The Grower
  • The grower not only has a great investment in
    education and training, but also in the physical
    equipment required for growing.
  • Even the smallest grower, who operates without a
    greenhouse, has an investment in land, tools and
    equipment that amounts to thousands of dollars.
  • The cost of growing flowers under glass takes
    thousands of dollars more capital for
    greenhouses, heating installation, various
    equipment and planting stock.

7
The Grower
  • To take some of the gamble out of their business,
    growers insure themselves against fire, theft,
    wind and hail damage to their greenhouse and
    equipment. They cannot insure against crop and
    market failures.
  • Even under glass they are at the mercy of the
    weather to a large extent and yet must do
    everything possible to time their crops to meet
    the demand.

8
  • This is particularly important on flower-buying
    holidays, when the market prices are high because
    of the heavy demand.
  • Some growers specialize in certain crops, such as
    orchids, carnations, roses, chrysanthemums and
    potted plants while others grow diversified
    crops.

9
The Grower
  • The business of growing flowers commercially is
    not vested in the hands of a few companies, but
    is controlled by thousands of independent growers
    located in many communities.
  • Their problems and methods of operation vary
    according to the climate, size of the community
    and type of growing.

10
The Wholesaler
  • Wholesale florists operate as distributors of all
    cut flower stock consigned or sold to them by
    growers.
  • Retail florists rely on the wholesaler to fill
    their requirements for flowers of all kinds.
  • Many wholesale florists also carry floral
    supplies, such as ribbon, baskets, moss, frames,
    etc.

11
  • Some wholesalers handle a general line of cut
    flowers and supplies, whereas others handle only
    flowers of certain varieties or specialize in
    supplies
  • Supplies generally are purchased by wholesalers
    and rarely consigned to them.

12
  • It has been estimated that about two-thirds of
    the flowers on the market are consigned to
    wholesalers and the remainder are purchased
    outright.
  • Most wholesale houses obtain flowers from a
    number of growers, some of whom may be located in
    other parts of the country.

13
  • The reason for this is obvious.
  • It enables the wholesaler to have a steady supply
    at all times.
  • When some varieties are not available locally,
    flowers are shipped in from distant growers.

14
  • Growers might indicate to the wholesaler the
    price they would desire, but most often the price
    is left to the discretion of the wholesaler.
  • They are expected to obtain as much as possible
    for the stock consigned to them.
  • The wholesaler usually receives a fifteen percent
    commission for handling greenhouse flowers and
    collecting the accounts from retail florists.

15
  • It is customary for them to receive a larger
    commission on consignments from growers of
    outdoor stock, particularly when shipped from
    distant points.
  • This difference is offset by shipping costs and
    gives some protection to their regular growers.
  • Everything else being equal, the stock grown
    locally will sell first.

16
  • The major wholesale flower markets, composed of
    several wholesale florists, are found in such
    cities as Chicago, New York, Boston, San
    Francisco, etc.
  • Weekly reports of current flower prices and
    general conditions on these markets are published
    in the trade papers for the information of the
    industry.
  • These flower market quotations give the low and
    high price quoted on each flower variety for that
    week.

17
  • Buying practices. The retail florist receives
    great benefits from the facilities of wholesale
    florists.
  • Stock from many growers is assembled for the
    retailer's selection, saving them innumerable
    trips to greenhouses and fields to secure the
    same flowers.
  • In addition to that, in larger cities, the
    wholesale houses usually are concentrated in one
    section of the city, in many cases within the
    radius of a few blocks or even in one large
    building-- a definite convenience for all
    concerned.

18
  • Many of the flowers are purchased by retail
    florists via the telephone, some shops send their
    buyers to market daily.
  • Other florists visit the market in person once or
    twice a week and order by telephone on other
    days.
  • Some shops make it a practice to stock up heavily
    one day a week.

19
  • Most wholesale florists also run a delivery
    service for more rural areas.
  • Certainly it is not practical for a town with
    only one or two florists to have a wholesale
    florist.
  • It also is not practical for the florist to go to
    town every day to get flowers for daily orders.

20
  • Therefore, many wholesalers own refrigerated
    trucks that are sent out on a daily route with a
    general selection of flowers for the florists to
    choose from.
  • Most florists in rural areas have two or three
    wholesale trucks stopping at their shops to
    supply them with flowers.

21
  • A large number of standing orders are placed by
    retail shops to cover their minimum requirements.
    These orders receive preferred attention and are
    augmented by other purchases as needed.

22
Grower-Wholesalers
  • Many growers are in reality also wholesalers, in
    that they sell flowers direct to retail florists,
    without the facilities of an established
    wholesale house.
  • Most pot plant growers deal directly with the
    retail florist.

23
  • Their supply of blooming plants, such as
    chrysanthemums, poinsettias, Easter lilies,
    azaleas, tulips, etc., account for a substantial
    volume of florists' business, particularly at
    holiday times.
  • One obvious reason for sale of pot plants direct
    to the retailer from the grower is convenience.
  • The bulk of potted plants and the extra handling
    and care required in storage, without greenhouse
    facilities, make any other method impractical.

24
  • However, some are sold in wholesale houses from
    samples, with delivery direct from greenhouses.
  • Potted blooming plants are sold in competition
    with cut flowers and often are preferred because
    of more reasonable prices.

25
  • Commercial growers of foliage plants also sell
    directly to retail florists, although some
    distribution of their stock is made through
    wholesale houses.

26
  • Taking into consideration the quantity of stock
    sold by growers to retailers, in addition to the
    quantity sold by retail growers direct to
    consumers, it is apparent that a substantial
    portion of all flowers sold move through regular
    wholesale channels.

27
(No Transcript)
28
(No Transcript)
29
Job Hierarchy
30
(No Transcript)
31
(No Transcript)
32
(No Transcript)
33
ENTRY-LEVEL OCCUPATIONS
  • Floral Shop Helper
  • Delivery Person
  • Floral Designer
  • Sales person
  • Office Person

34
Floral Shop Helper
  • Employees who assist other workers in a floral
    shop, by performing a variety of duties, are
    considered helpers and may be classified
    according to the worker assisted (designer
    helper, office helper).

35
  • Employees who assist in more than just one area
    of the store are often called by a more general
    title floral shop helper, utility helper,
    general services helper.
  • . A helper may learn the job tasks of a designer
    or salesperson, but is usually doing so without
    agreement that such is the purpose of the
    employment.

36
  • A variety of duties may be performed by a helper,
    such as (preparing vases and containers stocking
    merchandise and supplies preparing accessories
    for corsages cleaning storage containers,
    trimming, splitting, cutting, or searing fresh
    flowers care for display plants wrap
    arrangements and plants cleaning work area, and
    equipment and furnishing a designer with
    materials, supplies, and equipment/tools).
  • A helper also may be requested to make bows, bud
    vases, and dish gardens prepare potted plants
    assist with routing deliveries, make deliveries
    check in merchandise and run errands.

37
  • On occasion, by request, a helper may assist
    customers, write orders, and handle telephone
    orders.

38
Delivery person
  • The exact duties of a Delivery person will vary,
    depending on the size of the store.
  • The primary duty involves the delivery of floral
    products to the home of customers and places of
    business.
  • Because of these contacts with the public the
    Delivery person must be informative, courteous,
    and a knowledgeable and safe driver.

39
  • The Delivery person must appear neat and clean at
    all times properly greet customers, and handle
    customers, and handle customer questions about
    the care of flowers and plants load and unload
    products carefully, secure flowers and plants
    during transportation and repair, return, or
    replace any transit-damaged products.
  • The Delivery person must have knowledge of the
    store's delivery area the ability to read maps
    deliveries must be timely-right day and time-and
    trips organized as not to waste time and energy.

40
  • The Delivery person may be responsible for the
    upkeep and maintenance of the delivery vehicle
    daily checks for gas, oil, and water levels
    keeping vehicle's interior and exterior clean and
    neat and reporting need for vehicle maintenance
    work.
  • The Delivery person is usually expected to
    check-in merchandise, stock and mark merchandise,
    sweep floors, run errands, and other assigned
    duties when not on deliveries.

41
  • The Delivery person is also responsible for
    completing delivery forms, handling C.O.D. and
    cash transactions, and following the policies and
    procedures of the store.
  • The Delivery person may on occasion be requested
    to handle walk-in and telephone customers.

42
Floral Designer
  • Floral designers create arrangements using
    flowers, floral products, and/or plants for
    events, such as weddings, holidays, funerals,
    birthdays, and others.
  • Designers may confer directly with the customer
    regarding price and type of arrangement, or the
    designer follows information from an order form.

43
  • Designers must also give estimates on design work
    by utilizing knowledge of design, product
    availability and cost, and container/material
    costs. Designers are required to use time
    efficiently to complete work orders promptly and
    profitably.
  • Designers also make dish gardens, terrariums,
    sprays, wreaths, bouquets, corsages, and
    boutonnieres. Designers may also decorate
    building, halls, churches, or other facilities
    wrap and prepare arrangements and plants for
    delivery duplicate arrangement designs if
    customers order interior, window, and counter
    display planning and construction.

44
  • Designers must have knowledge of flower/plant
    care, handling, availability, and store ordering
    procedure.
  • Housekeeping duties include keeping the design
    area clean/cooler clean and attractive for
    display, and flower stock properly rotated.
  • Designers often are expected to assist walk-in
    and telephone customers, operate the cash
    register, place orders for out-of-town delivery,
    and handle customer concerns and complaints.
  • Designers utilize knowledge of social and
    religious customs when assisting customers and
    making arrangements.

45
Salesperson
  • Salespersons in floral stores sell fresh and
    permanent flowers, potted plants, floral pieces
    and arrangements, and giftware. Salesperson may
    specialize in certain product lines (gifts,
    plants, flowers) or provide special consultant
    services (wedding, interior design, funeral).
  • Salespersons greet customers determine needs
    advises/assists regarding type of flower,
    arrangement, decorations, gift, and services for
    specific occasions uses suggestive selling and
    handles objectives and complaints.

46
  • The salesperson must appear neat and clean at all
    times utilize knowledge of social and religious
    customs, be informative, courteous, and
    knowledgeable of flowers and plants, their care,
    product availability, pricing and the assortment
    of arrangements/products available.
  • Salespersons are responsible for completing order
    forms from walk-in customers and telephone
    customers handling credit sales, accepting
    checks and credit cards and handling a cash
    sale.

47
  • Planning and constructing counter, window and
    interior displays using store merchandise and
    props may be a responsibility of salespersons.
  • Salespersons may contact florist in other
    communities to place orders for out-of-town
    delivery assist in designing prepare vases and
    containers make corsages make bud vases and
    other floral decorations.

48
  • Salespersons are expected to handle customers'
    payment of bills. Salespersons may also be
    responsible for sending out billing for charge
    customers.
  • Housekeeping duties include maintaining the
    store's floors.

49
Office person
  • Keeps complete set of records of financial
    transactions of floral shop verifies and enters
    details of transactions as they occur or in
    chronological order in account and cash journals
    from sales orders, invoices, check stubs, and
    inventory records.
  • Summarizes details on separate ledger, using
    adding or calculating machine, and transfer data
    to general ledger. Balances books and complies
    reports to show cash receipts and expenditures,
    accounts payable and receivable, profit and loss,
    and other items pertinent to store.

50
  • Calculates employee wages from store records or
    time cards and prepares checks. May prepare
    withholding, Social Security, and other tax
    reports.
  • May enter charges and payments to customer
    accounts, and complete and prepare customer
    charge statements on a timely basis, accept
    payments from customers, and confer with
    customers having delinquent accounts.

51
  • May reconcile bank statements, handle charge
    account applications, and contact references and
    credit bureaus to check credit rating.
  • An office person may also prepare purchase
    orders, conduct physical or dollar inventory,
    maintain a filing system, and answers inquiries
    concerning customer accounts.

52
Questions?
53
MID-LEVEL OCCUPATIONS
  • Assistant Manager

54
Assistant Manager
  • A manager in a floral shop would be responsible
    for coordinating the activities in the following
    areas sales, design, delivery, and office.
    Depending on the size of the store, an assistant
    manager may be responsible for all or a
    combination of areas.
  • In all areas, a manager would supervise and
    coordinate the activities of the store employees
    assign duties schedule hours, breaks, and
    vacations train employees assist employees with
    difficult tasks evaluate employees and handle
    employee complaints.

55
  • Managers are usually in charge of ordering
    flowers, plants, and greens on a regular basis.
    Managers may also purchase supplies, equipment,
    vases/containers, and giftware.
  • Managers must price and sell merchandise and
    orders for profit spot check completed orders to
    assure quality products and profitable pricing
    and assist designers, delivery persons,
    salespersons, and office workers during busy
    times.

56
  • Managers must know the social and religious
    customs of various events, such as weddings,
    funerals, birthdays, etc. be thoroughly familiar
    with store policies, procedures, and rules with
    wire services orders and be able to explain
    these to employees and customers.
  • Managers check to assure that floor displays are
    correctly priced and arranged. Managers may be
    in charge of coordinating and planning the
    promotional plans of the store, including
    advertising and display.

57
  • Managers prepare sales, inventory, and may write
    or approve checks for payment for invoices.
  • Managers suggest new policies and procedures for
    the store as needs arise handle difficult
    customers and complaints check out the cash
    register handle checks and bank credit card
    sales slips and complete the deposit slip.

58
  • Managers may decide or recommend who to hire,
    dismiss or advance.
  • If a manager is assigned to a particular area,
    then job duties will focus on handling problems
    and the day-to-day operations of that area.

59
Questions?
60
UPPER-LEVEL OCCUPATIONS
  • Owner/Manager

61
Owner/Manager
  • The owner/manager of a floral shop performs
    duties primarily in the management,
    merchandising, and operations area. A manager
    may personally perform these duties, or supervise
    employees performing these duties.
  • The owner/manager manages the store's finances by
    keeping the records of sales, accounts
    receivable, expenses, and accounts payable and
    making payment for invoices

62
  • The manager establishes pricing policies for the
    store prepares financial statements prepares
    budgets, and writes store's policies and
    procedures.
  • Managers coordinate the sales promotion
    activities of the store, including advertising,
    publicity, and display.

63
  • Managers also hire and may train employees, plans
    work schedules, and maintains employee files.
    The owner/manager supervises employees to insure
    compliance with established policies and
    procedures in security, sales, record keeping,
    design, and cash register operations.
  • The owner/manager may order flowers, plants,
    containers, and/or supplies.
  • The owner/manager keeps up-to-date on trends
    through trade journals, vendors, sales
    representatives, buying trips, industry meetings,
    and educational programs.

64
  • During peak periods, the owner/manager assists
    other employees in the urgent day-to-day job
    duties.
  • The owner/manager is ultimately responsible to
    the employees for a pleasant working environment,
    to the customers for a nice place to shop, and to
    show a profitable sales picture.

65
Questions?
Write a Comment
User Comments (0)