Floral Update: How can the floral industry ride the wave of rising consumer sentiment to boost sales?

November 19, 2024

According to World Data Lab, global consumer spending is set rise by nearly 6% in 2025, adding approximately $3.2 trillion in new spending. The average U.S. consumer is projected to increase their spending by nearly $2,000 in 2025, creating more opportunities for discretionary spending on delightful items like flowers.

In 2025, consumers will continue to face external stresses such as health concerns, environmental issues, global political changes, and personal financial constraints; but they will also experience more socio-economic stability compared to 2024. This means they will be more open to spending their gains on flowers rather than just necessary expenses.

The International Fresh Produce Association (IFPA) is here to help you elevate consumer demand for your floral products. Whether you want to highlight the healing powers of flowers, reach non-traditional audiences, or appeal to eco-conscious consumers, IFPA has the consumer data you need to succeed.

Despite financial struggles, flowers remain an important part of life. Annually, according to Circana floral sales in supermarkets generated more than $9 billion as of August 11, 2024, up 5.0% in dollars with continued year-over-year gains for units as well. The 1.5% unit growth signals that flowers are cherished by consumers.

Consumers will continue to be price-sensitive in 2025, with McKinsey reporting 76% of consumers reporting trading down in the third quarter of 2024. According to NIQ, Americans are rethinking their shopping habits, with 87% changing how they shop to manage expenses. This includes seeking lower prices, reducing overall spending, switching products or brands, changing stores, and adjusting product sizes.

In 2025, supermarkets will have to avoid over discounting and eroding growth potential. Promotions should support, not drive, the floral category. According to NIQ, with consumers being more discerning with their dollars, retailers will have to have a new view of discounts. Combining what consumers value with affordability is a winning strategy. For example, consumers are willing to pay for “Affordable and Healthy” and “Affordable and Sustainable.” Consumers will continue to expect different tiers of regularly priced floral products as another dimension of discount options. Low priced bunches will still be a stable even as we see continued growth in higher priced items such as bouquets and roses.

Turn to IFPA to help you increase your floral sales – from leveraging micro holidays to better understanding the customer journey and guidance in purchasing blooming plants – IFPA is your floral partner

Floral Update: How can the floral industry ride the wave of rising consumer sentiment to boost sales?

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