Dutch flower auction Plantion sees rising revenue but wary of constrained clock supply

André van Kruijssen, managing director Plantion.

Dutch flower auction Plantion reports a turnover of €110 million in flower and plant sales for 2024, an increase of almost 8 per cent over the previous year.

Amid a challenging business environment, geopolitical instability and rising societal pressure on the ornamentals sector, Plantion is heading towards a turnover increase of almost 8 per cent.

At Plantion’s General Members’ Meeting last week, the board revealed how Plantion plans for further growth with a combination of innovative physical and digital purchasing options. A key factor in this is improving its supply volumes.

The board said goodbye to Marc Cleophas, a member of the Plantion’s advisory board. The board members agreed to appoint Maurits van den Arend as his successor.

For 2024, Plantion’s turnover is expected to be approximately €110 million. Compared to last year, that is an increase of almost 8 per cent. Thanks to changes in digitalisation, mediation is on its way to a 13 per cent turnover increase. The auction clock recorded a modest 2.3 per cent more. Interestingly, Remote Buying and Clock Presales combined account for approximately 35 per cent of clock sales. This indicates that Plantion’s clock system is also moving towards digital. The total 2024 turnover from digital procurement will have increased by 25 per cent.

Clock supply remains challenging

For several years now, the auction clock has continued to fluctuate around the same turnover of €50 million. The main cause for this is the supply. It is challenging to offer an attractive and extensive range for the auction clock. This is due to production relocations, business closures, logistical problems in Africa and increasing climate influences. Improving our supply is also one of the recommendations mentioned in the customer survey, which was initiated by the Commerce Commission.

Many goals have been achieved

In 2024, many goals from the previous multi-year plan were achieved. Wholesale centre Plantion was strengthened with the arrival of TICA. For garden centres, table banners and single-purchase carts were developed. Plantion is actively working on brand awareness and customer loyalty at trade fairs, events, on social media, and with its new customer magazine. The first two international hubs were opened in Antwerp and Kortrijk. For the auction clock, Plantion introduced a bio block with a focus on organically grown produce.

Multi-year plan 2027

Plantion’s 2025-2027 multi-year strategic growth plan entitled ‘Innovate, Connect, Inspire’ shows that there lie many challenges ahead. To expand the clock, Plantion appeals to its members and their responsibility to supply sufficient products to their cooperative.

To extend the range, Floriday is also being used. Furthermore, Plantion aims to increase sales with hubs in Belgium, the north of the Netherlands and Germany. Clock Presales will be possible several days in advance. Plantion is also going to work with specific customer teams to unburden florists, retail and garden centres. Turnover growth is needed to create a safety net and cope with any potential setbacks.

Help with certification

Another challenge lies in the social debate around flower and plant production. Plantion is committed to the industry-wide initiative that all suppliers must be certified by 1 January 2027. Under the motto ‘we can’t do without you’, Plantion is actively guiding them. In addition, Plantion helps florists tell their customers positive stories. Various initiatives, right down to a shop-level, are aiding this.

Member’s and supplier’s loan proposal

Investing in innovative concepts and facilities remains necessary for Plantion’s continued growth. A proposal to increase the maximum amount of the member’s and supplier’s loan is in the pipeline so capital can be used for this purpose. Plantion sees this as a win-win situation and expects a positive effect on the involvement of suppliers. But first, the proposal will be carefully worked on and submitted to the members’ meeting in June 2025.