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Forever Plants and Divine Flowers have brought together rich histories in the Dutch houseplant and carnation industry by combining their forces in the new ‘Green Growers Group’ holding company. The aim is to increase in size and, as such, create a synergetic gain, ensure a seamless transition from one generation to the next, and stabilise revenue streams against seasonal fluctuations and a volatile market. Forever Plants’ board member and change manager Remco Hill has the details about the fusion of two forward-thinking family businesses.
Dutch and mostly Polish workers keep the stream going in a large greenhouse. Standing at a conveyor belt, they carefully prepare hundreds of lush green houseplants for dispatch. With all eyes continually quality checking, they label, do an occasional quick trim to remove a brown leaf, then pack and load the plants onto Danish trollies, which are subsequently wrapped in plastic by a machine.
At the time of writing, it’s week 50, and all hands are on deck at Forever Plants, operating across two sites in Naaldwijk and ’s-Gravenzande. The eight-ha tropical plant nursery produces approximately 2.7m Yucca, Dracaena, Calathea, Alocasia, Areca and many other exotic beauties, grown in pot sizes ranging between 12 to 35cm.
For the month of December, Christmas trees have been installed in people’s living rooms, but Twelfth Night traditions will seal their fate within a few weeks. When a Christmas tree goes out, a houseplant often comes in. True to tradition, the last week of December all through January, the post-Christmas period fuels a boom in large tropical houseplants.
Commenting on the pent-up demand in the chilliest months of the year, Forever Plants’ board member and change manager Remco Hill notes, “This year, it seems like houseplant ordering has started earlier. The demand is predominantly retail-driven, with the large retail chains filling their shelves. This time, Christmas is a mid-week holiday, and supermarkets and DIY stores know that, for many, this means taking additional days off to extend the holiday period to a full week. The first truck filled to the brim with houseplants is now ready to leave for one of the Bauhaus DIY stores. Sales are mostly evolving around the popular 24cm pot sizes, with Yucca, Dracaena and Calathea being bestsellers. The post-Christmas peak sales in houseplants represent a significant increase in turnover, with our December and January sales typically being three times higher than in November.”
Remco Hill
Over the past eight years, the market for, in particular, tropical foliage plants has been buoyant, with sales culminating during the pandemic when many billions furloughed and forced to isolate at home, leaving them with plenty of time and causing people to take a greater interest in nature, houseplants and flowers. Houseplant demand outstripped supply by a wide margin for three years, coupled with supply difficulties. Nearly five years after the pandemic, the pertinent question is: Where are we now?
Hill says, “Sales of tropical indoor plants in the bigger pot sizes 24 and 36cm are going well as do the smaller pot sizes. It’s in the mid-range that things have become more challenging.”
It is no secret that the production of tropical plants has increased dramatically over the past four years. Taking a cautious view in statistics, Hill believes the Dutch greenhouse area dedicated to houseplant growing – foliage and flowering plants combined – currently stands at 500ha, up from the 350ha seen pre-pandemically. Hill adds, “There are now first signs of weaker demand with retail orders being filled slowly or decreasing in size. Royal FloraHolland anticipates Q1 houseplant sales in 2025 to drop by nine per cent.”
Forever Plants is involved in Royal FloraHolland’s FPC houseplants (RFH Product Committee). Building on the success of the FPC Orchids, each of its 12 member growers works on critical sector issues, with market expansion being high on the agenda.
Hill elaborates, “We talk to retailers to see how we, as growers, can help them with shelf space optimisation to boost houseplant sales and improve product presentation. Yes, you are right; the Ficus Forever alliance established in 2013, in which we participated, had more or less the same goals. It stopped because each grower had different aspirations. Collaboration between competitors makes sense but is always complex. That’s why Royal FloraHolland is the more neutral project leader this time.”
Hill is the proud president of the Air So Pure network, which is comprised of 14 members and is designed to jointly promote and sell a range of air-purifying indoor plants. He explains, “Contrary to other grower groups whose focus is mostly on intrinsic quality, Air So Pure is much more purpose-driven and adds real meaning to houseplants. This functionality of plants makes it easier to connect with the consumer on an emotional level and build trust. Moreover, it is a pleasure to discuss aspects of crop production and management with other knowledgeable industry peers such as Pim van der Knaap and Christian Blom, who boast excellent track records in houseplants.”
Remco Hill, who takes pride in a lifetime career in the plant trading business (see side panel), joined Forever Plants in 2017. As the pages of the 2024 calendar turn, Hill looks back at the months gone by, citing the fusion between Forever Plants and Divine Flowers as an absolute highlight.
In essence, the merger is an amalgamation of expertise in zucchinis (in a bygone era), carnations, and tropical houseplants brought in by the Doelman (Divine Flowers and Forever Plants by Divine) and the Persoon families (Forever Plants) who each own 50 per cent of the new holding company Green Growers Group, established in October 2024.
Hill explains there’s a host of reasons why the companies joined forces. He notes, “We want to achieve a phased retirement of the older generation while making room for the new generation of entrepreneurs, allowing everyone time to transition. Naturally, it is also about economies of scale as larger companies are more attractive to new and young talented people. In the new set-up, the outflow of capital is gradual, allowing the company to grow healthily without needing third-party funding.”
Hill sees stronger financial backing merely as a byproduct of the shared resources. He stresses, “This model is not primarily about money, but focuses on a future-thinking mindset, a prerequisite to adapt to an ever-changing and challenging business environment. For this, a shared vision is paramount because ultimately, you want the family-run businesses to transition to the next generation successfully.”
Horticulture businesses are facing several challenges at the moment. In discussing his experiences and concerns, Hill mentions the sector’s energy woes because growing tropical plants in a Dutch greenhouse requires a sizeable amount of heat and electricity.
Since 2019, Forever Plants has linked up to Trias, a geothermal heat network that currently fills 2/3 of the company’s heat demand, with the remainder covered by the heat produced by its co-generation plant. “As such, we haven’t negotiated a fixed gas price contract at a time when there’s absolutely no certainty with gas prices.”
Causing much frustration is that geothermal heat is currently more expensive than gas. The Dutch government subsidy SDE, a scheme to encourage further wind, solar and geothermal heat projects and to level the difference between conventional heat costs and the cost price of geothermal heat, is based on the gas price. When the latter is sky-high, growers are not entitled to this SDE subsidy.
Currently, the gas price stands at €40 per megawatthour. Asked if Forever Plants can keep its houseplant crop economically viable at that price, Hill says, “There is no other way than to adapt to the new normal where energy prices are extremely high and volatile. Perhaps we will be forced to communicate an adjustment in pricing. If that’s the case, we openly do this, explaining to our customers why the prices need to go up. This new reality also means we need to become even more energy efficient. We are on the path to sustainable energy. The plan is to become a fossil-free plant nursery, and we will stick to it.”
The company’s houseplant crop is lit by HPS lamps, for which the grid provides the needed electricity and a Combined Heat and Power (CHP) unit. The company sells excess heat generated from its CHP back to the grid. The required light levels in the greenhouse are low. Hill explains, “Between November, December and January, the lamps are on three hours a day, early in the morning. February already marks the end of our lighting season.”
Forever Plants is known for its innovative approach. At the turn of the millennium, they were one of the first houseplant growers to tap into the potential of integrated pest management. Now, 24 years later, Hill sees how the growers’ pesticide cabinets are emptying quickly under the EU’s Green Deal Strategies. “That is not a bad thing, per se, because going more hand in hand with nature is the philosophy that underpins all the work undertaken at our company.”
He explains that the MPS-A and Global G.A.P.-certified company uses biocontrols, biopesticides and biostimulants to keep the crop pest and disease-free but candidly admits that many challenges remain. Hill notes, “Biocontrol firms do their best but do not have all the answers. At the same time, crop protection has become much more expensive and currently represents five per cent of total input costs, up from one per cent a few years ago. We are weighing the pros and cons of additional solutions, such as crop rotation or closed-off sections in the greenhouse. Eventually, we may well be forced to abandon certain crops altogether as they prove too sensitive.”
The bottom line is that while biological crop control can undoubtedly help reduce harmful pressures on the environment and its people, performance challenges remain. More R&D is needed to offer growers comparable efficacy to their existing methods against insect pests and diseases.
Hill comments, “What would my message to lawmakers and regulators be? That it is a good thing to protect the planet and its people. However, lawmaking alone is not the way to go forward, as it would only put a brake on the sector’s growth. I strongly advocate for more investment in research and development focused on finding alternatives with comparable efficacy.”
Hill says that behind Forever Plants, a group of ambitious entrepreneurs constantly evaluate their product offerings. What does Hill think is the company’s most compelling value proposition?
He answers, “We have substantially invested in predictive and advanced data analytics to optimise our greenhouse operations and match them with our sales team. We gain much more insight into our customer’s buying behaviour with algorithms. When did they buy what, and were the plants sold in a garden centre or DIY store? These data may indicate that a customer only buys, let’s say, 70 articles while we have 140 in store. Our data turn into actionable insights which we subsequently can discuss with our clients at the right moment.”
Also relying on online data and analytics to understand customers better and identify trends is Plantsome, the company’s online plant delivery service. Hill confirms that the gold in the online pixels is less shiny than a few years ago. He elaborates, “Google has become our competitor as if it offers people a service to create an online store instantly. Furthermore, January 2024 marked the end of third-party cookies, which allowed websites to gather information such as the user previously logged in, what they added to their shopping list and a swath of personalisation settings. These changes forced us to reduce our staff within the Plantsome division.”
What Hill witnesses is how e-commerce consolidation has seen exponential growth, and the e-plant business is no different.
In January 2023, Plntz, run by the Mostert family from Nieuwerkerk aan den IJssel, took over 123planten.nl and e-fulfilment company Herbie and its consumer label Bloomique. Hill cites what is at the root of the problem.
“Next to product specifications, online shoppers are more interested in what the plants do in their home, in compelling plant stories that evoke emotions within the audience and establish a relationship. And that is not something you automatically encounter at the production level.”
Meanwhile, Forever Plants has found remarkable online success by teaming up with the Netherlands Postcode Lottery, OZ Planten and its e-fulfilment company, E Flora. At set intervals, the lottery offers a specified group of lottery players a complimentary houseplant, which they can claim online. Forever Plant successfully participated in the tendering process to supply an undisclosed amount of sustainably grown (Postcode Lottery claims to be very eco-conscious) Alocasias, Yuccas, Arecas, and Dracaenas.
Hill says, “We grow them in a 21 cm pot; some growers supply in 19cm pots. The most important thing is that the plant fits the 98cm tall postal box.”
The operating environment for houseplant producers has changed significantly in recent decades. Consolidation is a prerequisite to dealing with major retailers. While the Covid-19 pandemic caused a sharp price increase for virtually all commodities, demand for houseplants went through the roof.
Hill comments, “The market has been fairly stable over the past few years. Each of us served its fixed customers, and demand was particularly strong, so there was no need to trespass lines and bother your competitors. But now that pressure on the market is slowly building, trade flows begin to move. When Aldi and Lidl order fewer plants, competitors are getting closer to our customer base: traditional wholesalers, florists and garden centres. As a result, the whole industry starts to react. A reshuffle looms, which is per se not bad, but it does mean more unrest.”
Forever Plants, forever challenges, forever fun. Hill is adamant that ornamental horticulture is a great place to work. He elaborates, “It is down to earth, with people normally doing what they have promised. Also, it is increasingly a global business comprised of advanced, automated, and sometimes even robotised companies.”
Hill thinks it is high time to challenge the common belief that horticulture is about people who are always close to the ground, doing physically taxing work that requires a lot of bending, stooping and kneeling. He references the year 2021, in which Forever Plants was rewarded with the Stigas Healthy Workplace award. Hill says, “Near to 95 per cent of plants are transported via a WPS smart flower conveyor system, whose work surface height is at a comfortable position for the average person’s height. Plants automatically roll towards our workers, who no longer need to bend or lift heavy plants. Computer screens show what jobs for a specific team are left on a day, and this has allowed us to create job rotation schedules, with a structured interchange of workers between different jobs.”
Within the company, there is also plenty of room for capacity building. The management sees it as a way to empower each of the 50 staff to unlock innovation and productivity. Hill says, “I am often impressed by the level of education of our workers from abroad. I do think that if you have left everything behind, one deserves to have their unique strengths recognised”
Hill thinks that the sector has progressed in terms of management approaches. “Companies have begun to embrace a mix of top-down and bottom-up management. In customer management, customer engagement is more than ten years ago. Before, the policy typically was to play one grower off against another to get the sharpest price, but thankfully, here, things have improved. There’s also a notable shift in the sector’s balance of power upward of the supply chain, with large breeding companies exercising much power over what the market has to offer. The grower’s economic position in the chain largely depends on how fast these breeding companies grow.”
Tracking the company’s history is difficult, so you must hack through a jungle of different company and family names.
However, the Persoons stand out as the family most associated with the company, with second-generation Erik Persoon and his son Thom known for their expertise in houseplant growing.
Erik Persoon established his houseplant nursery Zwethlande in 1988. He later became a member of Ficus Forever, an alliance of Ficus growers which aimed to take the king of houseplants’ commercial production and trade to the next level by embarking on collaborative sales. Next, Zwethlande evolved into Forever Plants around 2017 and became what is today an eight-ha nursery operating across two sites in Naaldwijk and ’s-Gravenzande .
The company employs 50 full-time employees and 15 seasonal workers. Forever Plants is part of the Green Growers Group, which includes a three-ha carnation nursery in Hoek van Holland.
