Europe: Direct trade sales increased during holiday period

The period from 17 July through 11 August 2017 closed with a turnover of €247 million, Royal FloraHolland reports. This is the lowest turnover of this year. In this period many people in Europe are on holiday, and therefore they buy fewer flowers and plants.

In the summer period consumers buy fewer flowers. There are also fewer special occasions like weddings. The supply of flowers and plants was 1% higher in this period than it was last year. The average price was also a fraction higher than last year, leading to a 2% increase in turnover. In cumulative terms, the growth in turnover is 1%.



Direct trade
Despite the vacation period, the proportion of sales in the direct flows increased again. Among cut flowers, the share of the direct flows increased by 2.3%-point to 35.8%. Not much changed at the product level; the share of direct flows increased for all products. With products like gerbera and lily, the share clearly exceeds 50%, while for a product like Hortensia, it's around 15%. Among the houseplants, the share of direct flows remains at a high level. It rose by 1.3%-point to almost 80%.

There is no product among the houseplants that is now lagging behind. Among the outdoor plants as well, the share of direct flows continued to increase by 4%-point to 65.9%. It is striking that a product like Calluna is lagging considerably behind in the sales via direct flows.

Export value grew by 1.4%
The export figures from Floridata show a growth in export of 1.4% throughout July. In July 2017 Royal FloraHolland's growth in turnover was 1.3%. The export of cut flowers increased 5% more in July than the turnover value of cut flowers at Royal FloraHolland. For plants, the turnover at Royal FloraHolland increased more than the export value. The export to the countries in the east of Europe increased strongly. Russia, Poland and the Czech Republic are countries included in the Floridata overview, and the export to them rose by at least 35%. In contrast, the export to the UK dropped by 15%, and the export to Germany only increased slightly.


Source: Floridata and Royal FloraHolland

Turnover of cut flowers increased by 1.7%
The supply of products increased by 1.3%, and the average price crept up by 0.4%. The most striking development was the 25% drop in price for spray chrysanthemums and the 33% rise in price for Eustoma.

Houseplants turnover increases by 1.8%
While the supply remained about the same. The cause of the increased turnover was a higher average price. Zantedeschia dropped in price by 10%. Pot roses improved in price by 18%, which was directly attributable to 18% fewer items supplied.

Turnover of outdoor plants grew by 6%
The increased turnover was the result of 3% greater supply and 3% higher price level. Two products stand out. Hebe dropped 8% in price, and Platycodon shot up 12% in price.

Source: Royal FloraHolland

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