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The fresh
cut flower industry moves online: Growers in Ecuador and Colombia
are taking a high-tech approach to business
By: Luke Chambers
Not just flowers are growing
in the Andes. A few years ago, active volcanoes outnumbered Internet
service providers in Ecuador and Colombia. Today, the Andean region
is one of the fastest growing Internet markets in the world, and
Flower exporters are taking advantage of the World Wide Web to gain
direct access to foreign markets.
For many flower growers, e-commerce is an entirely new way of doing
business. The Internet offers flower buyers and sellers the advantage
of sharing price and availability information over the network in
real time. It puts buyers in Miami in the same virtual office with
sellers in Ecuador and Colombia. With the Internet wholesalers,
retailers and even end consumers can find themselves buying products
directly from growers around the world.

Limonflor Greenhouse, Cayambe, Ecuador.
Photo by Luke Chambers.
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"The fast moving fresh
flower industry is ideally suited for virtual marketplaces,"
says Jason Halberstadt, CEO of MetaMorf
S.A.and founder of Florastream.com.
"The industry is highly fragmented with thousands of buyers
and sellers in many different countries."
According to Eduardo Hauser, vice president of corporate development
for AOL Latin America, the Internet is poised to grow at exponential
rates in the Andean region and b2b e-commerce sites will play an
increasingly important role in the way that businesses interact
with clients in the US.
"The Internet today in Latin America is large, but it's gonna
be much larger," said Hawser. "40% of the people who will
be on the Internet in 2003 aren't there yet. Latin America is the
fastest growing region for Internet market penetration.

Statice,
a popular summer flower for export in the North American and
European. Photo by Luke Chambers.
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"What's making people
connect?" Asks Hauser, as if the answer were obvious. "Its
simple economics
to remain competitive in today's marketplace
business are finding that they must move operations online."
For Carmen Freire, a summer flowers exporter for Limonflor farms,
selling their product in a distant foreign market has been challenging
to say the least. "The Internet is far from perfect,"
admits Freire, "but for global businesses like flowers, a global
marketing mechanism like the Internet, is needed."
Although many exporters, like Freire, have had success selling their
products online, the Internet is by no means the industry standard.
Online payment systems, transportation logistics, and limited Internet
access still present major challenges for b2b e-commerce. In many
flower export offices the fax machine and the computer share the
same telephone line.
"Flowers don't just sell themselves," added Freire. "Whether
you're selling on the Internet or over the fax machine, it is important
to stay in contact with clients, check email and frequently update
flower availability."
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