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BUILDING THE RELATIONSHIP BETWEEN GROWER AND RETAILER

Getting the most out of the relationship between grower and retailer

By Mario Diaco

The relationship between grower and retailer is key to providing consumers with the plants they want, when they want them. We caught up with Mario Diaco, Managing Director of Diaco’s Garden Nursery, to understand how both parties can work together to get the most of the relationship.

‘The growers that we do the most business with are the ones who take a proactive approach. They’re the ones who reach out, either in person or remotely, and keep us updated on what plants they have coming through, their key lines, whether they have excess stock that they are looking to sell on.’

‘Like any business, maintaining and nurturing relationships is key. Sometimes growers can fall into the trap of focusing solely on growing the plant and not on selling them. I would advise growers not to wait for the retailer to approach them, but to take the initiative and stay in regular contact with their customers.’

‘Retailers can provide growers with a wealth of valuable insights, straight from the consumer, having that information can really guide suppliers to grow the right plants and eliminate some of the risk of growing the wrong plants or the wrong quantities. We know what the trends are, we know what’s selling and what isn’t, and why. Those insights are so valuable.’

‘Consumers will often pay a premium and seek out plants from growers who have an outstanding reputation for delivering quality stock. It’s something we leverage in a sale; we make the consumer aware that the plant has been supplied by a certain grower and that their plants are of a consistently high quality. That’s something growers should focus on, as consumers are increasingly conscious of where a plant began its life, and it does inform their choice. For that reason, having grower branding on pots and labels is worth considering.’

‘If a grower is focusing on a new line and we haven’t seen the plant, I appreciate them visiting us with a sample, so we can see the plant and they can educate us on its potential.’

And how can retailers work with the growers?

‘Retailers need to know their top 20 or 30 selling lines. They need to then understand from the grower the season for that plant, when they can be ready by, in what quantities and when they will be looking their best on the shelves. This allows the retailer to pre-order those plants and have the right quantities when the customer is demanding them.’

‘Pre-ordering also lets the supplier grow the plants with the confidence of knowing they are sold. It gives the retailer buying power and creates a good relationship with the grower. I will often pre-order our top seller to be delivered in batches, ensuring that plant is always on the shelves and looking its best.’

‘Retailers should also consider the number of growers they work with. I think that comes down to understanding your customer base. If a retailer is selling exclusively to the consumer, I feel like a small supply chain with trusted growers is beneficial. However, if you’re a retailer who deals a lot with landscapers,

who want larger quantities of a plant there and the, it might be beneficial to work with a larger supply chain to give yourself a better chance of being able to meet those orders.’

‘I will sometimes reach out to our suppliers to understand whether they have excess stock they need to get rid of. This allows us to buy a large quantity of the plant at a reduced price and sell it on to the consumer through as a sale promotion.’

‘When I do converse with our suppliers, I’ll always let them know how their plants are selling and providing them with consumer feedback, which they appreciate and take onboard.’

‘I don’t pay too much attention to our competitors in terms of the plants they stock and the growers they work with, I focus on ourselves, our customers and what works for us. Every retailer has a unique customer base, and we are guided by understanding them and their spending habits.’

‘And so whether you’re a grower or a retailer, developing good relationships, being proactive and sharing information, are all key to getting the most of what is a really important horticultural relationship.’

Diaco’s Garden Nursery have stores in Mornington, Heatherton, Geelong and Keilor. We believe in the value of local garden nurseries, where staff have the time and the passion to chat with you and offer valuable, practical advice for your gardening needs. Our team lives and breathes plants and gardening.

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