Auctioneers' column: Special weeks – from King’s Day to Mother’s Day

Public holidays, early auction days and international floral events made for two exceptional weeks at the clock. Auctioneer Erik Wassenaar observed fluctuating supply and surprising prices as a result. In this column, he shares his observations.

Public holidays and red roses

There was no auction on Monday 27 April due to King’s Day. Friday 1 May was Labour Day, a public holiday in many neighbouring countries. These days are traditionally celebrated with red flowers. This was clearly reflected in the prices of red roses, which were significantly higher.

Early auction day with surprising prices

Tuesday 28 April was an early auction day. I was a bit disappointed by the number of trolleys. I had certainly expected more roses. In Kenya, the temperature remained (too) low, while high fuel prices caused freight costs to rise sharply. All of this meant that prices ended up higher than expected. Many transactions were clearly above the Auction Presales prices (KVV). Had growers anticipated these prices, they would probably have set their KVV price higher. And had buyers known this in advance, they would probably have bought more at those KVV prices.

This again shows that market prices can react unexpectedly during such special weeks. It is precisely in these situations that the auction clock once more proves its strong market value.

Pressure on prices 

During the remainder of the week, prices fell sharply again. Labour Day played a role here as well. Many neighbouring countries were effectively ‘closed’, and many consumers took the opportunity to enjoy a long weekend. Another factor was the drop in demand from the Middle Eastern market. Normally, many weddings take place there at this time of year, with lavish displays of (exclusive) flowers. As a result, demand lagged behind, something that was immediately visible on the clock.

Mother’s Day week: high supply, limited space

Last week, the auction was completely dominated by Mother’s Day, and this week also started with an early auction day. On Monday, there were nearly two thousand more trolleys of flowers than on Tuesday 27 April.

In the run-up to Mother’s Day, prices improved slightly, but it was certainly nothing to write home about. For a number of products, supply was simply too high. As a result, prices came under pressure for the rest of the week.

Ultimately, it’s all about putting as many people as possible in the spotlight with beautiful flowers or plants. And as far as I’m concerned, that really doesn’t have to be just ‘mums’.

Looking ahead: more special occasions on the horizon

Following Mother’s Day this coming Sunday in countries including the Netherlands, Germany, Belgium, Switzerland, Denmark and Italy, more occasions are coming up. Mother’s Day falls on 26 May in Poland and on 31 May in France and Monaco. Graduation season is also approaching, when graduates are often congratulated with flowers.  Several more flower and plant-related occasions are on the calendar in the coming period.

My advice for the coming period

My advice is to carefully align your sales or purchasing strategy with the capabilities of the Royal FloraHolland platform. For example, consider (partly) opting for a reliable and stable supply or purchase via the auction clock. This enables you to respond optimally to spot market prices, which provide a solid and realistic benchmark for direct channels.

Your auctioneer will be happy to discuss this with you and can advise you on the best approach. Please feel free to contact me or my colleagues!