In the Bloom with Maria: Providing delivery service is important—just make sure it doesn’t cost you profits
Delivery is a key service that retail florists like you offer. It’s something that sets your business apart from other brick-and-mortar businesses and makes you competitive with online companies. As Hortica Retail Sales Specialist Maria Shepherd explains, in order to help make sure your spring floral season is profitable, you need to price your deliveries appropriately.
Veteran floral industry accountant and Society of American Florists Floral Management contributor Paul Goodman, MBA, CPA, PFCI, says the key to ensuring deliveries are profitable is reviewing your past orders and looking for delivery trends. That way, you can accurately predict the number of drivers you’ll need, understand delivery-related costs, and streamline the delivery zones in your business area.
During your research, be sure to update some of your other delivery plans and policies, including:
- Review seasonal driver DMV records: Check motor vehicle records (MVRs) to confirm past driving records.
- Institute a drug-free workplace program: Establish a rule that prohibits drug and/or alcohol use while on the job.
- Hold annual reviews: Use this information to determine which temporary drivers you want back.
It’s also a good time to stress vehicle safety. Every day, your drivers and products face potentially devastating situations. To help avoid trouble, establish a successful vehicle loss control program. We can help. The Hortica vehicle loss control program consists of six elements:
- Management leadership and support
- Driver selection
- Driver training
- Driver supervision
- Vehicle inspection and maintenance
- Accident procedures
Incorporating these items can help you pocket profits instead of spending money on possible delivery accidents and vehicle repair issues. Talk with a Hortica specialist about this program or other aspects of your business insurance coverage. We’re here to help.
For more information on protecting your business, check out the Hortica Resources section.
With tax time looming, it’s a good time to consider how your cash flow statements can impact your insurance. We take a closer look.