The flower business in Kazakhstan is thriving , but behind the scenes , high competition , logistic risk , and increase costs make it a challenging industry . Adil Tasbolatov , founder of Royal Flowers , one of the country ’s enceinte blossom chains , shares insights into the realities of the line , from rising expense to expansion into global grocery store .

According to Tasbolatov , Kazakhstan ’s bloom mart is oversaturated , especially in cities like Almaty , which has around 1,100 peak shops . That means one efflorescence store for every 2,000 residents — an unsustainable proportion . Many pocket-size business organization are expected to close in the coming months due to fierce rivalry and get up operational costs .

The openhanded challenge is the skyrocketing cost of client learning . Just a few years ago , it be $ 1 to attract a new customer through advertizing . Today , that cost has get up to $ 8 , fix marketing a major disbursal .

Most import flowers in Kazakhstan come from Ecuador , Kenya , and the Netherlands . However , develop local prime , like tulip and peony , is becoming a trend . In 2023 , Royal Flowers launched its own tulip greenhouse , but price remain eminent .

For example , tulip light bulb are imported from the Netherlands at a cost of about $ 0.45 per bulb . After develop , they are betray to other blossom shops for $ 0.80 per flower . However , China , a major challenger , buys lightbulb in bulk , reducing their production price significantly .

front ahead , Royal Flowers is investing in peonies , a flower that occupy five years to arrive at full output capacity . The long wait meter makes it a in high spirits - peril , high - reward speculation .

The need for flowers remains strong , with substantial deviation across Kazakhstan . The high-pitched median spending per bouquet is in Atyrau and Aktau ( $ 55–$60 ) , while in Almaty and Astana , it ’s around $ 50 . In regional cities , the ordinary purchase is about $ 44 .

Holiday time of year bestow a sales boost but do n’t guarantee monumental win . For instance , in March 2024 , Royal Flowers commemorate 461 million KZT ( $ 1 million ) in revenue , up 1.5 times from unconstipated months , but not the " twelvemonth ’s profit in a few Day " that many don . price for sweeping bloom also spike out before major holidays — roses that unremarkably cost $ 0.60 can jump to $ 1.20 per stem .

Royal Flowers is flourish beyond Kazakhstan , with stores in Bishkek ( Kyrgyzstan ) and Chicago ( USA ) . The society sees potential in Boston , New York , Azerbaijan , and the UAE . Selling flowers in the U.S. is very dissimilar from Kazakhstan .

Tasbolatov mention that in the U.S. , most flowers are trade in supermarkets , and client reviews on Google playact a vital role in commercial enterprise achiever . In demarcation , Kazakh consumers expect exchange premium servicing and a personal pinch . Additionally , the cost of doing business in the U.S. is higher . Payroll is also more complex , as wages are paid hourly , not monthly , making 24/7 flower shops unprofitable .

While Kazakhstan ’s biggest sales go on around March 8 , in the U.S. , the most profitable daytime is Valentine ’s Day .

Despite these challenge , Kazakh blossom store are seem for innovational ways to compete . Tasbolatov consider that only commercial enterprise that prioritise customer experience and place in automation will pull through in an increasingly free-enterprise market .

reservoir : digitalbusiness.kz

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