Abstract

Goal. To determine the main components of the marketing strategy for the development of ornamental crops plant growing in Ukraine. Methods. Historical-scientific, problem-chronological, logical. Materials of statistical observations in Ukraine and the EU as well as price lists of ornamental plant producers were used and analyzed. Results. The analysis is made of the main components of the market of ornamental crops in Ukraine — production, assortment, pricing policy, sales channels, export and import of products, total capacity. It is established that the domestic market of ornamental plants has changed dramatically over the past 20 years and despite two economic crises continues to develop. That is confirmed by the increase over the last 4 years of its production by 14%, the volume of retail trade twice, the total market capacity by 51.4%, and the revival since 2016 of exports. Along with the positive changes, this segment of the agricultural complex has weaknesses — limited range, too long sales logistics, excessive concentration of production in the capital region, unreasonable increase in prices for some products, small volumes, and limited export geography. Based on the analysis, the main elements of the marketing strategy of ornamental crops at the present stage are proposed: expanding the range, optimizing sales channels, equalizing its volumes in the regions, regulating prices based on new products, increasing the share of domestic retail sales and increasing exports. Conclusions. The analysis of the main components of the market of ornamental plants in Ukraine is carried out, its positive and negative sides are established. Based on the analysis, a marketing model of the development strategy of this segment of agricultural production is proposed.

Highlights

  • Modern production of ornamental plants has developed in Ukraine at the turn of the XX and XXI centuries, gradually replacing the outdated concept of Soviet "green buildings"

  • One of the urgent problems of ornamental crop production is the development of marketing strategy, which would include information and analytical support, and recommendations for improving these indicators

  • The purpose of this study is to determine the main components of the marketing strategy for the development of ornamental plants in Ukraine

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Summary

Results

After the crisis of 2014/2015, the market of ornamental plants in Ukraine shows a steady upward trend (Table 1). While wholesale sales have increased by only 14% in recent years, domestic production has grown by 22% and retail sales have doubled. We will note that sale of ornamental plants at retail for one person for a year changed for this period from 13,3 to 28,6 UAH. Despite a significant increase in imports of ornamental plants, the balance of their retail sales remained virtually unchanged, 51% of domestic production in 2016 and 52% in 2019. The same can be said for production volumes: last year they amounted to 6.7 billion Є in the Netherlands, from 2.7 to 2.8 billion Є in France, Germany and Italy, and together in the EU (excluding the UK) 20, 6 billion Є [5]. Important for assessing the characteristics of the market of ornamental plants is the structure of imports of these products (table 2)

Import of ornamental plants to Ukraine
Structure of retail trade
Production of ornamental plants in Ukrainian climate zones
Prices on the ornamental plants in Ukraine
Conclusions
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