With flowers shipped directly from farmers and delivered on demand with little advance notice, a new crop of floral start-ups is catering to consumers, including millennials, and disrupting the flower sector — just in time for Valentine's Day.
The florist industry traditionally has been dominated by mom-and-pops. Since then, players including grocery chains and online portals such as 1-800-Flowers.com and FTD.com have eaten into that market share. U.S. spending on flowers is forecast to dip just slightly to $1.9 billion this Valentine's Day from $2.1 billion in 2015, according to the National Retail Federation.
Adding to the florist competition, new players include the Bouqs Co., based in Venice Beach, California. It launched in 2012, and recently closed a $12 million round of seed funding, bringing its total to just under $20 million from investors including Quest Ventures and Draper Associates.