More than ever, it is important for retail florists to pay
attention to the delivered cost of flowers. Cut flowers normally have
to be transported great distances from production to market, so the
cost of cut flowers is very sensitive to the cost of fuel.
Delivery Expenses of Shipping Flowers Continues to Rise
More than ever, it is important for retail florists to pay attention to the delivered cost of flowers. Cut flowers normally have to be transported great distances from production to market, so the cost of cut flowers is very sensitive to the cost of fuel.
Freight alone accounts for 20 to 40 per cent of the cost of the flowers from South America. Freight costs on flowers flown from the Netherlands represent close to 50 per cent of Dutch prices. The percentage attributed to fuel and freight costs jumps to nearly 75 per cent on exotics, such as dendrobium (orchids), from the Far East. Shipping flowers by express overnight service can increase these percentages.
Airline fuel surcharges have increased the costs of importing flowers by air by 30 per cent during the past 12 months. Long-haul trucking companies also continue to increase their fuel surcharges because the prices they pay for diesel fuel are now 75 per cent higher than they were a year ago.
No one can control the cost of fuel, but florists can control where they buy flowers. The key is to buy in a way that minimizes transportation costs. There are two basic truths related to the cost of shipping flowers:
Carriers give discounts to larger customers who ship week in and week out.
Refrigerated truck transportation is more economical than air or express services for shipping cut flowers.
Wholesalers are best positioned to take costs out of the transportation system and add value. They either have enough volume on their own, buy from importers who have the volume or are part of freight consolidations to ensure the lowest possible rates.
For domestic and imported flowers, wholesalers have contracts with long-haul refrigerated trucking companies that deliver the product to their doors. Most agreements are long-term and high volume, which assures aggressive pricing. The most expensive way to ship flowers is small orders by air, especially overnight express.
The good news is that refrigerated trucks are not only the most economical way to ship flowers, but they are also the best way to ship flowers for longer vase life (provided that the flowers have been held at proper temperatures since being harvested). That’s because research has shown that temperature is more important than time when it comes to flower longevity.
Wholesalers are the keepers of that critical cold chain. They require their suppliers to pre-cool the product before it goes in refrigerated trucks for delivery to a wholesaler’s cooler. Flowers delivered by refrigerated truck receive the least exposure to heat and have the greatest shelf life when they arrive in the local market. Flower boxes delivered by air have temperatures equal to those outside the box in two hours, according to George Staby, Ph.D., president of Perishables Research Organization.
What will you get when you buy from a wholesaler? Longer lasting flowers for your customers. The same trusted delivery times you expect from your wholesalers. And, best of all, easy-to-understand delivery prices for the products and services you need to grown your business.
Reprinted with permission from Floral Management. The Wholesale Florist & Florist Supplier Association (WF&FSA) is a dynamic organization of floral wholesale distributors and suppliers committed to providing unparalleled service to their retail customers.
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