Pricing & Mark-up in Floral
Design
Principles & Elements of
Floral Design
Objective of a Floral Business
Make money!
Determine the right price!
Too high vs Too Low
Determining Price
Factors:
Price fluctuation during year
In season vs out of season flowers
Holiday demand
Determining the Unit Cost
The cost of each individual item used
Hardgoods (ribbon, containers, foam,
tape, etc) are usually sold in cases,
boxes, rolls, or other bulk amounts.
Florist normally uses these products
by the piece, foot, or some other unit
of measure.
Determining the Unit Cost (cont’d)
Total cost of these items must be
broken down into a single unit cost
This is done by dividing the total cost
by the number of units enclosed
Always round up! (so you don’t lose
money)
Example # 1
# 3 Corsage Ribbon
Cost= $ 4.95 per roll
Yards per roll= 100
Unit cost (per yard) =
Cost / # yards per roll
Answer: $ 4.95/ 100 = 0.05
Example # 2
Floral Design Bowl
Cost= $ 14.60 per case
Containers per case = 48
Unit cost = Cost /containers per case
Answer: $ 14.60/ 48 = 0.31
Unit Cost- Flowers
Fresh Materials (flowers, foliages, etc)
are usually priced by the stem or
bunch.
Flowers and foliages are packed:
By quantity
By Weight
Example # 3
Leather Leaf Fern
Cost= $ 2.49 per bunch
Stems per bunch = 20
Unit cost = Cost / # of stems
Answer: $ 2.49/ 20 = 0.13
Example 4
Pompon Chrysanthemums
Cost= $ 3.75 per bunch
# stems- variable- determined by weight
Calculate- you used ½ a bunch
Cost for ½ bunch = Cost x quantity used
Answer: $ 3.75 x ½ bunch = $ 1.88
Mark-up
Standard Ratio Mark-up PricingMethod we will use in this class
Easiest method of pricing
Used by determining the wholesale cost
of the item, then multiplying, or marking
up, that cost by a number.
This mark-up used to cover operating
cost, labor, and profit.
Mark-up
2-to-1
Used for HARDGOODS
Supplies such as containers, ribbons,
floral foam, gift items, etc
3-to-1
Used for FRESH GOODS
Basic arrangements, bud vases,
decorated plants, basic wreaths, and
sprays
Mark-up
4-to-1
SPECIALTY DESIGNS (more labor
intensive)
Creative arrangements, wedding
flowers, corsages, reception and party
flowers
Example 5
Carntions- Unit cost 0.39 per stem
Mark-up cost:
0.39 x 3 = $ 1.17
Example 6:
Design Bowl
Unit Cost 0.31
Mark-up Cost =
0.31 x 2 = 0.62
Floral Design Pricing Guides
Sample (see board)