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China’s e-commerce floral market in 2017: an analysis
With the basis of business data released by China’s largest e-commerce pioneer Alibaba Group, it is presented that floral e-commerce shops are showing a trend of brand building. For consumers, the quality and delivery speed comes the first when purchasing online. Instead, for merchandiser, they bear a heavier cost on store marketing and operation.
Market expansion & brand effect
Statistically, the user session for floral industry in 2016 was up by 39.07% compared to last year, among which categories of vase/flower pot/stand seen the growth rate of 59.35%, garden appliances of 53.47% and flower/greening pot plants of 49.66%.
The growing figure is greatly attributed to the popularity and promotion by Wechat Official account, online celebrity and the garden experts. Additionally, activities like 618, double eleven (November 11st), poly cost (juhuasuan.com) and other promotion days draw a lot of new clients.
Consumption upgrading & low price competition
Consumption upgrading has been frequently underscored and consumers are making higher claim of the brand, quality, experience, design, and other quality-oriented service. Driven by this new consumption idea, floral industry described as an beauty industry perfectly satisfies the people’s culture and mental demand for beauty. And flower culture, or tourism, parent-kids activities, other processing products are the new favors of customers.
Analyzed on the floral e-commerce sale, low price competition would be the most common marketing. For consumers, they are much more likely to buy a product of low price but with good quality. In view of people’s consumption psychology, 99-yuan monthly floral order has been in vogue in recent years.
Hot items & seasonal fluctuation
For plant products, garden plants such as European Rose, clematis are top trending, as well as the exquisite potted plants like succulents, bellflower, geranium, etc. Statistically, the web visitor of succulents in Taobao grew by 59.11% in 2016 while floral items rose by 50.15%.
Nonetheless, since most flowers are purchased in countries located in the northern hemisphere, prices are at their lowest during the summer when production in those countries is at its peak. Prices are the highest in during the winter months, when production is low.
In accordance with the fundamental data analysis on China’s e-commerce floral market, it is advised to stimulate the customers’ consumption desires from the product quality and species, creativeness.
When people are calling for a higher quality of flowers, the premium flowers are short of demand. Namely, it is high time for the manufacturers to strengthen their technology and achieve large-scale, standardized production. From the perspective of marketing, the operation team are urgently required the better professionalism, standardization throughout the keen competition.
Source: China Flower & Gardening News http://www.china-flower.com/hhb/
Translated and Published by: Flower Expo China organizing committee
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