An on-trend floral department helps grocers connect with customers and drive profitability
It’s no wonder grocery shoppers want to stop and smell the roses: Flowers can brighten up living spaces, enhance people’s moods and make great gifts. They also offer grocers a unique opportunity to improve the in-store experience and connect with customers more deeply.
“The floral department has a real opportunity to be the emotional centrepiece of the store, being able to engage all of the senses and offer an experience to in-store shoppers that they can’t get online,” says Penn Whaling, director, futures and innovation at Kantar. And since flowers are also connected to key milestones in people’s lives, from graduation to Mother’s Day, Whaling says it gives grocers an opportunity to show up for those important events.
Another key incentive to keep the floral department blooming is profit. “Stores should be selling fresh plants and flowers as it is the highest net profitability in the store when done correctly,” notes Deborah Zoellick, director of floral programs at the U.S.-based International Fresh Produce Association (IFPA).
Urban Market 1919 in St. John’s, N.L. is one grocer that’s tapping into flower power. When the supermarket opened in 2020, it started selling local stems and then did pop-up events for Valentine’s Day and Mother’s Day where customers could make their own bouquets, says co-owner Ivy Hanley. Sales kept growing, so Hanley decided to open a standalone flower shop next door, called Teresa James. The flower shop focuses on bridal, funeral and corporate work, while Urban Market sells grab-and-go bouquets.
When it comes to design trends, Hanley says she and the team love learning from YouTube and TikTok. “We’re so open to designs and different styles that we find a lot of our customers are coming to us because of our flexibility.”
Toronto’s Summerhill Market is also going beyond the traditional. “We are seeing a lot more demand for brighter florals and even clashing palettes,” says Kamea Baker, the independent grocer’s category manager, floral. “This opens up a world of possibilities where almost anything goes; it’s wonderful for our creativity and play.”
READ: Why Summerhill Market is still thriving after 70 years in the grocery business
Health and wellness is another trend grocers can try and leverage. “People are starting to see things that can boost your mood and make you feel good not just as guilty pleasures, but as a valuable part of self-care,” says Kantar’s Whaling. “So, there is an opportunity to position flowers as an important part of making yourself feel good.”
While flowers are an important aspect of the in-store experience, they can also be part of the online experience—if done well. “People need a better way to browse and shop for floral products online. Right now, it’s a bit of a guessing game to see what you’ll get,” says Whaling. “There is a key role for digital tools to help bring flowers to life online and give people more confidence in buying via online channels.”
One solution is using augmented reality tools, which Whaling says allows shoppers to visualize how a flower arrangement might look in their space. In addition, generative AI can help people design their own bouquets using natural language inputs. “[Generative AI] can lower some of the barriers to helping them create something that feels really personalized and special,” says Whaling.
On the merchandising front, IFPA’s Zoellick advises retailers to change their in-store displays often. “Some people shop once a week and some every day … You want to move things around in your department so [customers] don’t think you aren’t selling that item. You may be selling out every day, but it is the perception.”
Also, floral departments can shape customers’ views of the entire store. “A display of fresh flowers and plants, especially when you can see it as you enter the store, gives a great fresh impression for the rest of the store,” says Zoellick. “Customers think, ‘wow this is so fresh, everything they sell must be super fresh.’”
This article was first published in Canadian Grocer’s September/October 2024 issue.
