China: "E-commerce that produces standardized bouquets will become a new trend"

What changes have taken place in China's flower retail industry? Especially in the post-pandemic era, let's take a look.

E-commerce platform drives flower consumption to high-frequency consumption

Live streaming in China has developed very rapidly and has penetrated into all walks of life. From clothing, food to fresh cut flowers, all items can be ordered online. At present, domestic live broadcast platforms, community group purchases, and flower e-commerce participation (Tiktok China, Kuaishou, Taobao live broadcast; Dingdong shopping, Meituan Select, Fresh Hema, Tmall, JD.com and other platforms have all participated in the flower e-commerce. The commercial industry has brought high-traffic consumer groups. At the same time, the price gap between A, B-grade products and C, D, and E-grade products has widened, which means the better the quality, the higher the price. At the same time, thanks to the opening of live broadcast e-commerce channels, the demand for flower purchases in second- and third-tier cities has increased, and the demand for small items (one-piece shipping) has grown rapidly, driving the transaction rate and sales rate of D and E-grade products.

Offline flower stores are challenged, personalized bouquets are popular

The efficiency and speed of online flower shops are unmatched by offline flower shops. The penetration of the Internet industry has affected many offline flower shops. The traditional habits of consumers buying flowers in flower shops are being changed. Online consumption has become the mainstream channel. It is reported that orders for Mother's Day and Valentine's Day in 2021 are three times that of the same period in previous years, and the takeaway platform has played a huge role in this sense. In addition, due to the reduction of epidemic activities, the number of large-scale wedding banquets and festive events has been reduced, resulting in a reduction in the number of flowers and a lower unit price. At the same time, the number of people visiting the store has dropped significantly. If the offline flower shop does not participate in the takeaway platform, the operating pressure will be great. For this reason, florists are also actively carrying out self-help, striving to innovate, and personalized bouquets are becoming more and more popular.

But joining an online platform also has challenges for florists. These platforms have their own game and service rules; for example, festival promotions pose great challenges to flower shops’ service capabilities and emergency response capabilities. At the same time, the delivery platform hopes that the flower shops will maintain the same price for the same product throughout the year and provide stable supply, which is also a big challenge. 2C e-commerce that produces standardized bouquets and provides standard flower materials will become a new trend.

The online retail logistics system is more perfect

With the support of capital, 2B and 2C e-commerce companies have entered the flower industry in an all-round way, and professional logistics companies such as SF Express, JD.com, and Zhongtong have entered the flower logistics supply and established a comprehensive logistics website to solving the last mile distribution problem. How to reduce costs and improve efficiency becomes the core. Ele.me, a food delivery platform, also proposed to focus on building the digital infrastructure of the industry, so as to match people and goods, and jointly build a new digital cockpit with industry partners.

The wholesale function of the traditional flower wholesale market is weakened

The wholesale function of the traditional flower wholesale market will be weakened, and a complex integrating shopping, entertainment, eating and drinking, such as flowers, birds, fish, insects, and pets, will gradually form, such as Chengdu Spring Flower Paradise. The supermarket will become an important entrance for the daily consumption of flowers.


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