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July 7, 2008 |
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GROWING YOUR BUSINESS TOGETHER |
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contents
CBCNews.ca - How has the price of fuel affected your business? CBCNews.ca talks to Flowers Canada Retail member, Neville Mackay about increasing fuel prices and the floral industry
Member Update: TD Canada Trust Economic Report Canadian consumers gear down their spending
Florist Irked by Online Ad Claims Who are you paying for your advertising?
Cut Flower Market Success Suri, is one of the few mini gerberas with a clear, uniform colour.
National Magazine Promotes Flowers Women's World promotes flowers not once, but twice
Hampton Court Palace Flower Show Showcasing the latest trends and very best new arrivals
New Deal Allows More Flowers from Kenya to U.S. Although not necessarily an immediate effect, more African flowers are coming into the U.S.
Number of Retail Florists Continues to Decline in the U.S. U.S. Census Bureau indicates decline of 24.3% in past ten years
Survey Says: Limited Exemptions from Delivery Fees Funeral homes, weddings, and hospitals saving on delivery fees
Upcoming Events August 8-9 Floral Paradise |



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Neville mackay, cbcnews.ca - how has the price of fuel affected your business?
In recent years, areas such as Florida and Ecuador have become top suppliers to North America's flower industry, relying on affordable air freight to ship blooms quickly to florists across Canada and the U.S. But Halifax flower shop owner Neville MacKay says he's thinking twice these days about which blooms he chooses to fill his bouquets, as the rising price of oil drives up shipping costs considerably. MacKay also says many consumers are going green, opting for locally grown but equally lovely flowers.
Neville MacKay: People are saying, geez, the price of gas has gone up, the price of oil has gone up, I just got my tank filled and they're all nervous about that. Whenever you start to see that sort of storm brewing, you know that the worst is yet to come. I'm afraid once it hits the fall, we're going to see some serious repercussions from it when it starts to get a bit cooler. People may start to say, "Hold on a minute, I have to pay a lot more for heating oil or electricity or everything else, including gas to get back and forth to work."
I certainly think twice about when I have flowers shipped. I'm not as willy-nilly, because I get a lot of my shipments from Toronto. [I don't think] "ah, send them down by plane," because the freight charge has gone so dramatically up with fuel charges. When I'm in California and I see the price of a flower, I say, "well that's not so bad." But then I think, oh geez, I have to tack on something like 30 and 40 and 50 per cent to have that shipped.
Some of the suppliers have said it doesn't cost as much to ship north and south, but with west and east it costs more — that makes it very hard. Especially when people call from Toronto and Vancouver and they want to place an order for flowers and they say, "Oh gosh, your flowers are a lot more expensive." Well, we have to ship them sometimes a lot farther distances. There's not as many local growers here or accessibility to ground shipments that can come overnight from California or wherever.
What kinds of flowers have you had to scale back on?
I don't really scale back. I just make different choices and sometimes that's not such a bad thing.
With flowers a lot of us are making smarter choices in buying flowers that are either locally grown, more accessible, seasonal; we're staying away from flowers that aren't necessarily in season or grown to the point that they are easily attainable.
The flowers that you do you have shipped to the shop come from where?
We have flowers that are shipped from around the world, but I do have a supplier that I use locally in Nova Scotia as well as in Toronto, and some other little places as well.
'With flowers a lot of us are making smarter choices in buying flowers that are either locally grown, more accessible, seasonal; we're staying away from flowers that aren't necessarily in season or grown to the point that they are easily attainable.' —Neville MacKay
But I'm giving weddings now with flowers that have never been on an airplane. [The flowers] are locally grown within 100 miles. That can be challenging, and I embrace that completely. Bring it on, I'd love to do that — however, don't be looking for Cypripedium orchids, because you ain't gonna get them. I may have to do some ditch diving, but you'll get something lovely.
Have consumers adjusted their expectations of what should be available?
People have a misconception when they see a flower online and it says available year-round — they think they can get it now.
I mean, I can get lily of the valley any time of the year. However, if I was to get that for you next week from Holland, it's going to cost me to have that shipped about $5 a stem. Lily of the valley has teeny, teeny little flowers … and one stem doesn't go that far.
How would your business be affected if the price of fuel doubled from what it is now?
This is just a what-if question, right? You're not telling me something I should know? Because I just took a petit mal seizure there.
Flowers are a luxury item, but flowers are also food for the soul, so sometimes when people need a real good treat they can say, "You know what? I can't afford to buy that TV or I can't afford to buy that DVD, but nothing makes you feel better than a little bouquet of flowers and a candle on the table."
People will probably be buying less. They'll be more choosy about what they're buying, more particular about the quality, which suits me just fine because people want the best for their dollar. It might weed out some of the floral shops that are selling flowers indiscriminately, flowers that are not the best quality in the world.
But if fuel prices double, I'm also afraid it's going to separate the classes a little bit. Those who have very little money to start with will buy themselves a treat now and then, and I'm afraid that that market might be lost altogether, which is a shame because everyone deserves a little treat now and then.
By Tara Kimura CBC News
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member update: td canada trust economic report
Canadian consumers to gear down their spending.
Highlights of the reports indicate:
- Consumer spending has been booming in recent years, but it is poised to slow in the coming quarters.
- After rising 4.5% in 2007, real personal expenditure is forecast to advance 4.0% in 2008 and 2.6% in 2009.
- The cooling in personal outlays will reflect softer job creation, a modest increase in unemployment rates, a slower rate of personal income growth, weaker wealth gains, slightly higher interest rates and a cooling in real estate markets.
- While the trend will be towards weaker consumer expenditure growth, the level of spending should remain solid. Consumption will remain supportive to the economy, but it will not be the engine of growth experienced in the past
To report is available at this link, www.td.com/econmonics
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florist irked by online ad claims
It was last October when the first call came telling Edgely Flowers & Gift Baskets president Elizabeth Deabler that she owed a company $500 for advertising in an online business directory.
Deabler said she'd never heard of the company, Nationwide Marketing Bureau of Plattsburgh, N.Y., or its online business directory.
“And there's no way I would have spent $500 over the last few years in advertising,” said Deabler, who has owned the Bristol Township flower shop for eight years.
That call turned out to be just the beginning. Since October, Deabler said her business has taken similar calls from almost a dozen companies — each looking for payments of about $500 for online advertising services she said she never purchased.
She said she has no idea how any of them got her name and phone number or why they've been calling her business.
“There's no way I signed up with 11 companies at $500 each,” Deabler said.
She filed complaints with the Pennsylvania Office of the Attorney General and the Federal Trade Commission after a representative with the first company — Nationwide Marketing Bureau — aroused her suspicion by offering to reduce the $500 balance to $250 if she would be willing to pay over the phone with her credit card.
Nationwide Marketing Bureau site supervisor Jon Samson responded to the allegation in the complaint, saying it's true that the flower shop never authorized the listing. He blamed an employee for misrepresenting the company in her conversation with Deabler.
“We have since terminated the employment of the employee,” Samson said in a letter to the Pennsylvania Attorney General's Office. “We sincerely apologize for the incident as we do not wish to be associated in any way with fraudulent directory companies.”
Reached Wednesday, Samson declined to talk about Deabler's case. He said the Nationwide Marketing Bureau uses sales representatives to sign up business clients for its listing service and the company's Web site also generates customers. He didn't say how the company obtained Deabler's information.
“We deal with the clients, and if a company has an issue, they should contact us and get it resolved,” Samson said.
He said he knew nothing about any of the other companies that contacted the flower shop. “We have one company. This is it,” Samson said.
Officials at United Business Solutions, another New York-based company that contacted the flower shop, said Deabler accepted a free six-month introductory listing. When the six-month period ended and the company began charging Deabler, she said she didn't want the listing, according to customer service manager Andy Reilly.
“We cancelled it,” said Reilly, who added the company took no money from Deabler. “This has already been resolved. We want to make sure the customer is satisfied.”
Deabler claims she had no idea she was a United Business Solutions customer in the first place. “I've never heard of them. I've never spoken to these people,” she said.
Deabler said the calls from all the companies stopped suddenly last month. She said she never sent money to any of the companies, but she'd still like to know how they all got her information.
“It's scary,” she said.
A Federal Trade Commission spokeswoman said she couldn't comment on any ongoing investigations and information requested from the Pennsylvania Office of the Attorney General wasn't available at press time.
Source: Courier Times
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cut flower market success: gerbera mini suri
Suri is one of the few double flowered mini Gerberas with a clear, uniform red colour. ‘Guaranteed success’, is what the breeder must have thought when it was discovered.
And it was a success! The trade was delighted with this blood red Germini, the name often given to mini Gerberas. Its relatively large diameter of 7 to 8 cm, its good stem length of at least 50 cm and its excellent vase life of 10 to 14 days have all contributed to its success. Suri will always stand out. It has the advantage that its sizzling red colour is popular whatever the season, while Gerberas with a warmer red colour tend to be more popular in autumn.
The auction statistics say it all, whereas just 41,000 stems of Gerbera Suri were sold in July 2007, in March 2008 this number had risen to more than 1 million stems. Now, a year after its launch, the price of this mini Gerbera at auction is still higher than the average price for the colour group. This is a good indication of the level of buyer interest. An expansion of the cultivation area is planned this year in response to the continuing strong demand.
Gerbera mini Suri (VBN product code 100618) is available from three export branches of the FloraHolland auction, i.e. Naaldwijk, Rijnsburg and Aalsmeer. The flower is supplied in boxes, in water and in flower rackets.
Family Gerbera is a member of the Asteraceae family. In 1887 the first Gerberas came from South Africa to the United Kingdom, where they were then cultivated. Later, breeding was moved to the French Riviera and after 1950 the Netherlands set the tone. The parent plants are natives of South Africa, e.g. the Transvaal and Cape Province. After 1975 the production of Gerberas virtually exploded. This is down to tissue culture propagation, good crossbreeding and efficient pest and disease control. Gerbera is available all year round with a peak in spring. In recent years a great deal of effort has gone into improving the quality of Gerberas, among other things by using assimilation lighting. Benefits include a longer vase life, longer stem lengths, larger diameters and more intense colours. The trade is most impressed by the longer supply period.
Varieties The Gerbera assortment is very extensive, both in depth and in breadth. The development of varieties with a good vase life has resulted in a strong leap in consumer popularity. Previously the assortment was subdivided by flower type: single flowered, double flowered and black-centred types. Currently the assortment is divided into large flowered and small flowered varieties (mini Gerberas or Germinis). If the diameter at the narrowest point is less than 9.5 cm, the flower will be assigned to the Mini Gerbera category.
Tips for care During transport and storage: Ideal storage temperature: 5 to 8° C
In the shop: Ideal storage temperature: 5 to 8° C. On receipt the boxes should be stored upside down to stop the stems from continuing to grow. If the boxes are left upright the flowers will continue to grow and push up against the end of the box. Curved stems will result. Hang the flowers, in the box interiors, in a pail of water and leave them to absorb water for at least four hours. Make sure that the stems are not too far into the water and also remember to add a few drops of bleach to the water to prevent any bacterial attack. If the flowers are longer than the pails, use an auction container with an extension unit if necessary. This combination is both taller and wider than the pail and provides adequate support for the Gerbera box interior. Remove any overlooked heels as these absorb virtually no water. The flowers can be processed once the stems are firm. If the stems have failed to absorb enough water, we recommend processing the flowers with the aid of wire. Always use fresh water and clean vases as well as adding cut flower food to the water. Another alternative is to add a few drops of bleach to the water. Using your thumb and index finger take hold of the flower at its base and carefully remove it from the box. Never take hold of the flower head to remove Gerbera from the box as this could pull the ray florets out of the flower base (receptacle). Damage will become visible by the following day. The ray florets are also quite easily damaged when the Gerberas are processed. Gerbera has a fairly soft stem. The walls of the vascular bundles are also quite soft and are easily damaged if the stem is cut with secateurs. Research has shown that the vase life of Gerbera can be increased by two days by slant cutting the stems with a sharp knife. Therefore, use a knife and make sure it is very sharp. This is a handy tip to pass on to your customers.
In the home: Always use fresh water and clean vases. If the vase only contains Gerberas, you can add a little bleach (3 drops per litre of water). In the case of a mixed bouquet, use cut flower food. Gerberas always grow upwards, remember this when arranging the flowers in a vase or using them in an arrangement. Gerberas only need a shallow layer of water. If the water level is too high the water will creep up the stems, which will then die off at the rim of the vase. Add three drops of bleach to the water when you replace it, every two day If Gerberas start to droop, remove them from the vase, cut a piece off the base of the stems (this should show white on the inside, not brown) and replace the flowers in the vase. They can then absorb water again and right themselves. Use a sharp knife to cut Gerbera rather than secateurs. Gerbera has a fairly soft stem. The walls of the vascular bundles are also quite soft and are easily damaged if the stem is cut with secateurs. Research has shown that the vase life of Gerbera can be increased by two days by slant cutting the stems with a sharp knife. Therefore, use a knife and make sure it is very sharp. Never stand Gerberas above a radiator or in bright sunlight. Avoid draughts. Gerbera is sensitive to ethylene. This is released by ripening fruit and is found in exhaust fumes.
Top 10 mini gerbera 'Kimsey' - 'Harley' - Husky - 'Timo' - 'Davidson' - 'Bison' - Whisper - Bandola - 'Cafe' - 'Okidoki'
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national magazine promotes flowers not once, but twice
Sleep-deprived readers of Women's World magazine recently got some flower-friendly advice when the national consumer magazine featured the positive, emotional impact of flowers in two separate issues.
In the June 30th issue Woman's World ran a piece called "Sidestep a surprising sleep stealer" citing the results of the Emotional Impact of Flowers Study, which was conducted at Rutgers University.. The article divulges that the hidden culprit behind readers' sleep-deprived nights could be hassles at work. To ease work-related stress, the article recommends a fix sure to please any florist: "Treat Yourself to Flowers! Not only do they perk up your workspace, they banish anxiety, a Rutgers University study of 147 women found."
Woman's World also reported on the Emotional Impact of Flowers Study in its July 7 issue. The article, "Simple ways to a gorgeous bouquet!" states: "A recent study at Rutgers University showed that flowers have an immediate, universal positive impact on happiness!"
The articles generated more than 4.5 million consumer impressions each.
SAF launched the Emotional Impact of Flowers public relations program in 2000, and editors continue to report the good news.
"Hometown newspaper and magazine editors and local TV and radio news producers thrive on turning national news items into community stories," says Jenny Stromann, SAF's director of marketing. Make headlines in your town by generating local news coverage for your shop with customizable press releases from the SAF Web site.
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hampton court palace flower show
The mood is light and summery at this year's show and the plants are equally frothy and airy. Hardy's Cottage Garden Plants (FM22) can't grow enough dainty London pride (Saxifraga x urbium) to satisfy customer demand at the moment. This old favourite produces a crimped green rosette and branches of tiny white flowers, each lightly spotted and centred in red-ink pink.
Dainty thalictrums (or meadow rues) are proving just as alluring and nursery owners report a huge surge in popularity. T. rochebrunianum, a pristine single lilac, and the fluffy lilac classic T. delavayi var. decorum 'Hewitt's Double' both have ramrodstraight stems, lovely maidenhair foliage and ethereal flowers capable of floating above other plants like a gossamer veil. Look out for a new variety, 'Black Stockings', with mattblack stems and ragged purple flowers.
Primrose Bank (FM410) and Solva Plants (FM317) specialise in heucheras that combine delicately airy flowers with ruched foliage in unusual colours. They include 'Georgia Peach', the chocolate-blotched 'Tiramasu' and 'Pistache'. But there are also softer, frosted greens and silvers that are easier to place in the garden — such as 'Helen Dillon'. All like border edges in well-drained semi-shade.
Shade-loving asarums, epimediums and lacy ferns are three of this year's most desirables. Fibrex Nurseries (FM111), which has the largest collection of hardy ferns in the country, say handsome ferns with finely cut fronds for dry shade are the most sought-after. Dryopteris affinis 'Cristata' (often called 'The King') is very upright with symmetrical foliage tipped in divided, leafy crests. The popular forms of the mossy soft shield fern (Polystichum setiferum) are also lacy, airy and light. Lineare Group and 'Herrenhausen' are two of the best.
Cool white is the new colour this year. It lights up semi-shade and makes green foliage look extra special. Everyone wants to grow the graceful Astrantia major subsp. involucrata 'Shaggy' for its pincushions of tiny flowers held in jagged, cool green ruffs. The widest selection of astrantias, including clear wine reds and sultry maroons, can be found at Warren Hills Nursery on stand 14 in the NCCPG Plant Heritage marquee.
Gardeners are also going for height. Hopleys Plants (FM121) will be showing a relative of the aster, Vernonia arkansana 'Mammuth'. Commonly called New York ironweed, this strong-stemmed purple plant can top 6ft in height. Fluffy thistledown seed heads follow; it's a Piet Oudolf favourite used behind tall varieties of Miscanthus sinensis. Tall sanguisorbas with bobbly red flowers are also in vogue and there are plenty about.
Grasses continue to fascinate, especially those with fluffy heads. Knoll Gardens (C2) launch a new pennisetum from California, 'Fairy Tails'. This upright grass flowers for so much longer than most and has slender wine-pink heads that fade to silver-beige. Grasses add all-important movement and persist until late in the year, acting as a foil for late-season asters. Pennisetum 'Fairy Tails' will need a well-drained garden hot spot.
British gardeners are now becoming braver and leave dahlia tubers underground over winter. Winchester Growers (FM21) holds the NCCPG National Collection, which contains more than 2,000 varieties. Darkleaved, single-flowered forms in strong colours are wowing the public, and the bright pink 'Magenta Star' will probably steal the show. There's also a new brake-light red decorative with dark chocolate foliage called 'Twyning's Revel'. It's similar in form to the warm orange 'David Howard'. A new white collarette, 'Trelyn Daisy', will also be there. But old classics are still popular, including the dark red decorative 'Arabian Night' and the spiky purple cactus 'Orfeo'.
Similarly, many gardeners now grow agapanthus in well-drained soil, rather than in containers. Evergreens are less hardy (and therefore best in pots) while deciduous varieties (which die down in winter) can be grown outside if given good drainage. Hardy Devonbred varieties from Pine Cottage Plants (FM221) include the new, deep blue deciduous 'Taw Valley' and an enormous hardy dark blue called 'Northern Star'. Shimmering paler blues look tremendous in the gloaming; look out for the award winning misty 'African Moon' and a white and blue bicolour, 'Enigma'.
Branching blue eryngiums and billowing nepetas are also in vogue for sunny positions and the older varieties seem to be coming to the fore. Nepeta 'Six Hills Giant' produces waves of pale blue catmint flowers and, if cut down, it will do it all again, providing flowers from May until October. The vivid blue, neatly thimbled Eryngium x oliverianum is another great performer if you want to create a blue haze on a stiff frame of stems.
More frost-tender plants appear on Trevena Cross Nurseries (FM312), the Cornish nursery that specialises in the South African grass-like restios. The handsome Elegia capensis is the most impressive of these, with stems that resemble unravelled cigars; tidy plumes appear along the stems.
Bright red callistemons, or bottle brushes, from Australia are being grown more and more as our winters become milder. Plants from the Antipodes feature at The Old Walled Garden (FM310). This Kent nursery sells a huge range of interesting plants that appreciate the shelter of a wall.
Last, but not least, come the roses and there are seven new varieties being launched at the Festival of Roses. The emphasis is on health and vigour and 'Lucky', a lilac-pink floribunda from Fryers Nurseries (FR9), is being crowned the Rose of the Year 2009. The clusters of scented flowers appear in waves and the foliage is healthy and glossy. We are definitely in need of a good lilac-pink rose that performs well.
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new deal allows more flowers from kenya to u.s.
U.S. and Kenyan officials have come to an agreement that could bring more African flowers into the states, but some industry officials say they don't expect an immediate effect on the market.
Last month, transport ministers from both counties signed an "Open Skies" deal. The deal allows for direct flights between the two countries within a year and could facilitate an increase in Kenyan imports, according to Reuters.
Currently, Kenya is the biggest exporter of cut flowers to the European Union, with a market share of about 32 percent, according to the Fresh Produce Exporters Association of Kenya (FPEAK). The U.S. imports a much smaller amount from Kenya, bringing in about $1.1 million in flowers in 2006, a figure which only contributed 0.2 percent to the U.S.'s total market, according to the U.S. Department of Agriculture.
The trade balance, however, could change with the new Open Skies policy. FPEAK officials told Reuters they expect the U.S. market to account for 2 to 5 percent of Kenya's exports at the start of the direct flights. That number, they say, could rise gradually over time.
Red Kennicott, AAF, CEO at Kennicott Brothers Company in Chicago, says even though many wholesalers already purchase some African flowers through Dutch auctions, transitioning to more direct sourcing might take time.
"I don't anticipate any immediate dramatic impact with the Open Skies policy," Kennicott says. "It will take a little while for relationships to be established between customers and vendors. It does open opportunities in the long run."
The effect of the new agreement ultimately will depend on perceived value within the U.S. industry, says Kurt Schroeder, AAF, AIFD, PFCI, of Delaware Valley Floral Group.
"It's a borderless world, and everything can be traded, but it all comes down to value," he says. "If they are going to grow flowers that can be purchased in this country at or below the price range already available here it would be a viable option."
In the end, whether U.S. industry members begin to sell more Kenyan roses depends on other factors as well, Schroeder says, including exchange rates with South American growers and flower preferences — Kenya typically produces roses with smaller heads.
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number of retail florists continues to decline in u.s.
The number of retail florist establishments continued to contract in 2006 according to just-released data from the U.S. Census Bureau's County Business Patterns. The number of retail florist establishments declined 4.3 percent in 2006 to 20,227, down from 21,135 in 2005. As shown in the figure, the survey has documented a decline in the number of florists each year since 1996. From 2006 to 1996, the number of florists fell 24.3 percent.
County Business Patterns is an annual series that provides economic data in the years in-between the five-year national economic censuses. The series excludes data on self-employed individuals and thus may differ from other counts provided by the government.

Source: County Business Patterns, U.S. Census Bureau
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survey says: limited exemptions from delivery fees
Like most vendors offering delivery, florists charge delivery fees to most of their customers. However, there are some exceptions. Less than 20 percent (18 percent) of florists don't charge delivery fees to funeral homes; 12 percent spare wedding customers; nine percent omit hospitals and three percent don't charge nursing homes or assisted living facilities.

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Flowers Canada Retail represents all segments of the Canadian Retail Floral Industry. Our goal is helping you reach yours.
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