Calyx and Corolla Essay Example

would send the order to their flower growers who would then ship the product directly to the customer via Federal Express (Salmon & Wylie, 1995, p. 2). The quality and longevity of Calyx and Corolla's flowers were highly valued.

The Fresh Flower Industry had several segments including Retail, Supermarkets, nurseries, and mail order companies. According to Salmon ; Wylie (1995, p. 3), the retail flower and plant sales in the United States amounted to almost $9 billion in 1990, with a growth rate of 7.7% since 1985.

The floral industry experienced widespread success across all sectors, from family-run businesses to distributors, wholesale suppliers, and retail florists. Among the retailers, which constituted a significant part of the industry, the largest market share of 59% was held by the roughly 25,000 florists. Supermarkets followed closely behind with almost 18% of sales. The remaining 23% of the market was spread among nurseries, mail order companies, and other assorted retailers.

(Salmon ; Wylie, 1995, p. 3) reported that retail florists had profit margins ranging from 150% to 200% of the cost. Therefore, a flower sold by a grower for around $5 would cost the end consumer around $40.

Flowers served as a significant symbol for various occasions like weddings, birthdays, Mother's Day, Valentine's Day, and others. Among the many players in the market, retail florists were known for their services in creating bouquets and event decorations. The supply chain involved a long process wherein distributors sell flowers to wholesalers who in turn sell them to retailers that then sell to customers. Florists mostly sold flowers that were approximately a week old, which affected their value and lifespan. While consumers mostly picked

up their purchases from stores, some required delivery.

Florists typically turned to FTD for deliveries outside their specified radius. FTD boasted a vast network of 25,000 florists, who would facilitate the delivery to a location further away by passing it along to a nearby florist within the FTD community. Additionally, FTD provided members with promotional and advertising support across a spectrum of mediums like TV, newspapers, radio, magazines, and outdoor advertising.