A florist should aim to make a 70% profit margin on their flowers and hard-goods. To achieve this goal, they should mark up their flowers by 3 to 4 times the wholesale cost, and their hard-goods by 2 to 2.5 times the cost.
For example, if a florist buys a bouquet of flowers for $20, they should sell it for $60 to $80 to make a 70% profit margin. Similarly, if they buy a vase for $10, they should sell it for $20 to $25 to make a 70% profit margin.
It is important for florists to keep track of their costs and mark-ups in order to make sure they are making a 70% profit margin. This can be done by creating a spreadsheet that tracks the cost of each item and the price it is sold for. The spreadsheet should also include the total cost and total revenue for each sale. This will help the florist to ensure that they are making a 70% profit margin on each item.
By setting a goal of a 70% profit margin on their flowers and hard-goods, florists can ensure that their business is profitable and sustainable. This will help them to continue to provide beautiful and affordable floral arrangements to their customers.
