Earlier this year I suggested the creation of a document called the Standards of The Industry. You can read more about that here. The purpose of this document is to shed a little light on the business practices of event floral designers.
My hope in creating this document is that we will unite as business owners. Essentially there are no published standard business practices for event designers. I’m hoping this document can start a wave of unity. I believe by adopting solid business practices or guidelines, we as professionals will organically grow stronger, better businesses. Our businesses must be able to sustain themselves and our families. In addition our business practices will not only affect the viability of our businesses, but our practices will also send a clear and understandable message to the consumer and benefit the planners, venues, industry professionals and the growers that support our businesses. The health and strength of our companies is in our hands. We need to protect our creative process. If we all set prices within reasonable boundaries we will have viable profitable businesses and an enjoyable life. I have witnessed over and over again that most florists who serve the wedding industry do not have a work life balance. We work endless hours to make ourselves and our customers happy. We are so busy chasing the pretty or our flower buzz, that we forget just how much time and effort is going into the production of an event. When this happens we end up working for a low wage. I have learned this the hard way. I am not sure why so many creatives have trouble charging accordingly for their time, but it’s something that needs to stop. This document will hopefully be an open discussion that can be changed via your comments here on this blog. I by no means believe I have all the answers, but I would love to see us come together in our individual communities and set standards.
Design Pricing
Proper floral design studios/shops mark up the wholesale cost of the flowers 3.5 to 4 times per design and add an additional 30 percent for the labor to create the design. This is per design or line item. Labor and delivery associated with installations or deliveries is another line item (which we will address in our next post). This 30 percent markup is the labor to physically make the design. An easier equation is four or five times mark up total (four would actually be slightly lower than the suggested mark up) on each piece created. This is the known standard in the industry. Please know that this is the proven markup that is necessary to support your business. Pricing under this margin only confuses the market and devalues each stem and the work and creative process required for quality floral design. Pricing below this is bad for the farmers/growers and the industry at large. This is not a get rich equation by any means; it is truly the required amount needed to grow and sustain a floral design business. No matter how big or how small your business is, this is the margin we all should be aiming for. Building a business by selling for less, not only diminishes you as a designer, but it jeopardizes your chance for future success and is detrimental to the market. Designers that sell below industry standards will soon find themselves in a state of turmoil and they will not gain respect from their clients or their industry peers. The value of flowers and the art to create them is real and undeniable. Artistically created designs which are properly constructed with quality blooms are a precious commodity and the pricing should reflect the value. We realize that some designers do not create quotes in a line item fashion but prefer to quote the event as a packaged price. No matter what pricing format a designer chooses to use, the standard markup should be the same. If these practices are not followed it will severely reduce your chances for success, will confuse the market, and diminish the work of the growers and other designers. We need to stand together on the value of a stem and the art it takes to create a design. This pricing structure is not being suggested to protect the older more established companies, it is being offered to help those newer designers or business who will eventually lose their joy for a job if they are not paid properly. Deciding you will work for less or below industry standards means you could ultimately burn out, make mistakes, and possibly lose your business. In addition, it’s really important that we are all good stewards of this industry. So many people are counting on us. I do realize there are always exceptions to this rule, like weddings for family or friends or even some unique portfolio opportunities, but the day in and out running of our shops should be tight. If we all charge accordingly and stand united on pricing, together we will create companies that bring us joy as well as help to feed the family.
Any comments regarding pricing and markups will be greatly appreciated. If all goes well, when we get through this series we will see the light. Things look so much more inviting and way less frightening when there is light.
Photographs by Carlene and Chris Thomas of Healthfully Ever After.