Auckland florists say flower market changes are crushing their trade. Photo / 123rf
By Evie Richardson of RNZ
With rising costs and decreased business, Auckland florists say their industry is in shambles, plagued with “resentment and a culture of fear”.
Checkpoint spoke to a number of florists who all said they were unhappy and struggling to keep their businesses blooming.
While the state of the economy was one factor, they said it was a raft of changes made by their key supplier that had become the real issue.
The florists had concerns about the way their key supplier, United Flower Growers, was now operating its market, first shifting the auction online before moving to a less accessible location.
But many of the florists spoken to by Checkpoint were too scared to raise their concerns with UFG, fearing if they spoke out against the company they would be blacklisted and their business put at risk.
For that reason, only a slim portion of the florists Checkpoint spoke to have chosen to go on the record, all five of those asking to remain anonymous.
Flower sellers said the first key issue arose when UFG announced it was moving its auction exclusively online from early 2025.
Before the change, buyers would gather at the market three mornings a week to bid on bunches of flowers.
They would be able to cast their eyes over the products, searching for what they needed, comparing wedding fabrics and checking quality.
But since the change, florists have had to make their purchases based on small photos, jumping between screens as two products are sold simultaneously through a Dutch auction system.
For many of the florists, the flowers that turn up aren’t necessarily the same ones pictured.
One pair of florists said they had quality issues with their purchases at nearly every auction.
“We have to return it to the auction because it will be damaged or bad quality, or shorter than advertised, then that leaves us in the lurch because we only have one chance to buy things sometimes for a specific job.”
The pair said they often try to give constructive feedback but recently they had been wary of speaking out, worried about the potential repercussions from management. They were even too afraid to speak out on a private floristry community Facebook page.
“There were some flowers from a Monday auction that I had returned on a Thursday, because they were very bad quality, and then we checked that afternoon and they were back on the auction, and I really wanted to write into the Facebook group and say, hey no one buy these flowers they’re really bad, but I felt like I would get in trouble if I did.”
Another florist had also experienced quality issues since the auction moved online.
“It’s not amazing quality, you’re buying as best as you can, but you can’t zoom in, you can’t really see what the quality is, and I guess the other thing is there’s always just a little bit of a tension when you want to return for quality issues.”
She said it was clear the company had created a culture of fear among the florists, many opting to keep quiet even when issues arose.
“There’s a fear culture that the leadership has driven because I guess everyone goes, if I don’t have that channel, I don’t have an alternative... so there’s very much I just need to get in line, I just need to put my head down and shut up.”
While UFG said it didn’t have a monopoly over the industry, all the florists Checkpoint spoke to said they felt like there was no other option.
In 2017 the company bought the only competing flower market, Flora Max, merging the two operations.
Soon after the Commerce Commission opened an investigation into the merger under section 47 of the Commerce Act 1986, which forbids a person from acquiring another business if it would substantially lessen competition in the market.
Despite finding the merger would likely substantially lessen competition, no further action was taken by the commission.
Now the only other option for florists is to buy from wholesalers or directly from growers, which comes at a higher price and often doesn’t provide flowers in the quantity needed.
Florists said this meant they had no other option but to continue buying from UFG to sustain their own businesses.
“It makes you feel like you don’t have options, which is a really bad place to be. I think many florists wish more than anything there would a competitor to UFG,” said one florist.
She said UFG held power over businesses’ ability to run and was the key reason florists were too scared to speak up.
“We’re a key customer, the growers aren’t going to be able to sell their product without us, we’re a key part of the equation. And for a key part of that equation to feel scared, and to feel intimidated and to feel there’s no choice is a pretty bad situation and a pretty fundamentally screwed model.”
Other florists have raised their issues with the company, but this flower seller said he doesn’t feel any of his concerns have been listened to.
“I’m trying, trying to speak out... it’s really hard when you’re in an industry that’s so suppressive and you can’t express your views openly.
“I don’t feel like we’ve been listened to, and that’s a real shame because we want to support the industry, we want to support our partners, the people we work with, but we can’t do that if our views are just pushed to one side and we’re expected to follow this is how it’s going to be and that’s it.”
The second key change came shortly after the auction became virtual, as UFG moved its operations from its Mt Wellington warehouse to a location in East Tāmaki, further from the city and suburbs where the majority of florists were located.
With further to go to collect their flowers and battling against morning traffic, florists said they found themselves struggling to get back to their shops in time to fulfil their first deliveries.
One florist said she thought the move was a bad decision, made with no consultation and little communication.
“Often you’re not able to pick up your flowers until at least 8.30, and if you think that most shops are opening at nine that doesn’t give you enough time to get back. Most couriers pick up first deliveries at 10, you won’t be able to make some of your deliveries.”
She said the shift had forced her to make changes to the way she runs her business.
“I’ve had to change the way we manage our Monday, Wednesday, Friday buys knowing that we might not get our flowers back until 10, 11 o’clock, that means I’ve had to purchase differently, it means I’ve had to spend more money.”
For this pair, the move has also driven their costs up, having to hire extra staff so they can open their shop in time.
“It’ll end up being a two-hour round trip, or two-and-a-half-hour round trip, which is way too long... and essentially we’ve had to hire someone else to help manage that whole process because we can’t.”
Another florist Checkpoint spoke to said the move negatively impacted many shops, some having to hire couriers with extra staff to manage the pick-ups.
“That fact we have people wanting flowers at 9am and we’re not back at our shops in time, it costs us business.”
She said the changes, with a lack of communication from UFG management, had shifted the entire attitude of the industry.
“The whole environment is not nice, we’re a miserable bunch of people, we’re all unhappy, you’d be hard pushed to find a happy florist.”
At one point she became so concerned by the dissatisfaction of her fellow florists that she went to see a lawyer.
“[I went] to see what we were able to do, what we could do to try to get [the CEO] to listen and were they legally able to do all of these changes?”
Another florist said he was saddened by the low morale that had hit the community.
“It was a joyful industry to be in and now it feels like that joy and that celebration has been taken away by people who have no idea what it takes to take our industry into the future.”
Often working seven days a week to make ends meet, he said it has often been difficult to continue.
“I’m exhausted, my whole whānau is exhausted from all the changes that have been made, but we’re determined to get through it through our mahi and through the gift of flowers and that’s really important for us moving forward, but it has been exhausting, both mentally and physically.”
UFG chief executive Pete Brown told Checkpoint there were good reasons for all the changes implemented.
“Every change that we’ve made is with the best intentions for the industry and the succession of this business, and we’ve communicated that and we’ve had those conversations.”
As for why the florists were scared, Brown said he was unsure and in fact it was UFG that had been targeted.
“They expect to be able to see the product, they expect to be able to do all these things but then they expect to be able to get the cheap price as well... and I think you’ve had a company that’s been bullied probably for a number of years by a select few people maybe, and as a result I think UFG offers a fairer deal to the marketplace now and a better service than it did a few years ago.”
In terms of the move to East Tāmaki, he said the lease on the Mt Wellington property had come to an end and finding a new location was difficult.
He said the current location was the best option it could find that was viable for its operations and provided enough room for buyers to park while picking up their products.
As for moving to an online auction system, Brown said he felt the move was inevitable and necessary for the business to carry on.
“We wanted the business to survive for the next generation. You can be a lot more efficient by selling on the internet and you can distribute a lot faster.”
One pair of florists Checkpoint spoke to said they felt that efficiency was one-sided.
“Effective for who is the question... it’s not made our lives easier in the slightest, it’s the opposite.”
With no idea of what changes may come next, florists fear that if their concerns are not listened to their businesses may not bloom for much longer.
– RNZ