US Manufacturers to Hold Pace of Investment After Vibrant 2023 – BNN Bloomberg
Valentine’s Day has long been associated with the exchange of thoughtful gifts, and few signs of affection are as iconic as a bouquet of flowers.
The impact of inflation on the purchasing power of consumers, however, has led many to re-evaluate the importance of these traditional movements. This leads brands and retailers of essential and non-essential product types to highlight the value they bring to customers, in order to get consumers to spend.
Read more: Retailers Play the Value Card to Capture Consumer Spending
The flower industry is no exception, and one company is positioning its product as a form of investment.
“Our flowers are more than just a purchase; they are an investment in long-term luxury,” Seema Bansal Chadha, co-founder of Venus et Fleur, said in an interview with PYMNTS.
Prices for Venus et Fleur flowers start at $44 and go up to $2,200.
Venus et Fleur is known for offering luxury roses that last at least a year. The appeal is not only the long-lasting nature of flowers but also the perception that such an investment is a more lasting and beneficial expression of love.
But as many consumers restrain spending due to inflation, the company decided to emphasize its value by putting product quality, innovation and an improved flower experience at the forefront – marketing of its products as an investment with a long life.
Current Consumer Sentiment
Recent reports suggest that consumers have a positive outlook on the economy and inflation trends.
According to a survey by the University of Michigan, the reading of consumer sentiment in January was 78.8, which shows a 13% increase from December and a 21% increase from the same period last year. In terms of inflation expectations, the outlook for the next year decreased to 2.9% in January, from 3.1% in December, and lower than the 3.9% recorded a year ago.
Looking ahead to the next five years, inflation expectations were adjusted to 2.8%, showing a decrease from 2.9% in December and 3.2% in November. Despite previous estimates expecting a return to pre-pandemic inflation levels in late 2024, consumer views are now supported by confidence in a positive change in inflation trends and strengthened -on earnings expectations.
Consumer surveys director Joanne Hsu said sentiment rose nearly 60% above the all-time low recorded in June 2022, likely providing positive momentum for the economy.
Given the current positive consumer sentiment, Venus et Fleur expects favorable results, especially in relation to the widely recognized hat boxes.
How Venus et Fleur carved a space of flowers
Seema Bansal Chadha and Sunny Chadha, the founders of the luxury floral brand Venus et Fleur, started dating in 2015, just before Valentine’s Day.
For the occasion, Chadha ordered a bouquet to be delivered to Bansal Chadha. This decision, according to Bansal Chadha, played an important role in the formation of their long-term personal and business relationship.
It was not the allure of the flowers that influenced their journey. In fact, the delivered bouquet was very different from the one Chadha had initially chosen.
This dissatisfaction prompted the couple to create preserved real flowers that maintain their beauty for a year or more, which led to the establishment of Venus et Fleur less than six months into their relationship.
Today, Bansal Chadha emphasizes that the company’s Eternity Flowers differentiates Venus et Fleur from competitors that offer arrangements with a floral lifespan of one week.
While the brand’s flowers are completely authentic and cultivated in various countries around the world, they go through a unique process to arrive in the U.S. A non-toxic solution removes their natural color, after which they are treated with non-allergenic wax and natural oils. This process essentially dehydrates the flowers, allowing them to be re-dyed and last year-round without needing water.
Venus et Fleur plans to open two new stores, introduce more collections and collaborate with brand partners.
How Venus et Fleur Makes Luxury Flowers Accessible
Although the cost of these flowers may be high for many, with one Eternity Flower priced at $44, the company is exploring different payment options to improve affordability. Using platforms such as Shop Pay, PayPal and Affirm, Venus et Fleur uses the buy now, pay later (BNPL) method, a payment method adopted by strong consumers, as reported of PYMNTS.
In a recent report on Synchrony Financials’ fourth-quarter results, the company noted that Pay Later options presented at checkout were gaining traction.
The company observed that Synchrony Financial partners providing Pay Later solutions experienced a 20% increase in new accounts, with 95% of Pay Later sales coming from full-bag customers. -or on the network.
“We’re not seeing a shift where the consumer is trying to stretch their dollars. We’re seeing our transaction values go down and up a little bit, which means … they’re trying to be efficient with their dollars , but will never back down,” Synchrony Financial CFO Brian Wenzel said on a call with analysts.
Try adblock (Why?)
Link to the source