What you may need to prepare for in the coming months.
Photo by Cameron Clark
THIS QUESTION IS FROM A WEDDING PLANNER:
Can you talk about the Coronavirus? Is this something that will impact the wedding industry?
ANSWER FROM LIENE:
As of this morning, there have been confirmed cases of the Coronavirus not only in China but 47 additional countries, including Italy, Spain, the United Arab Emirates, the United States, India, France, and Australia. Since weddings have become GLOCAL events (meaning that it's increasingly rare for couples to use all local vendors, whether they are tying the knot at home or abroad), the impact of this health crisis will be felt by wedding professionals worldwide.
What will the full impact of the Coronavirus (aka COVID-19) be? The short answer is we don't know.
That said, there are things we do know about how markets and supply chains work, and that we can take into account as we plan for the uncertainties this pandemic will bring. This isn't about how the virus itself will affect anyone, but rather how the fear of it and the precautions people might take will impact the wedding industry.
The two main areas of the wedding industry that the Coronavirus has already begun to impact are destination weddings and imported goods. Let’s look at these:
The Impact on Destination Weddings
Destination weddings make up over a quarter of the $625 billion global wedding market and in many places comprise an important segment of tourism strategy.
The areas that will be hit hardest will be those favored by the Chinese destination wedding industry (a whopping 59% of couples in China opt for a destination wedding), particularly Bali, Thailand, Italy, and Paris. Wedding suppliers who profit from the billion-dollar Chinese pre-wedding photo shoot industry (similar to engagement photos, but much more involved) in places like London, Vienna, and Sydney will be impacted as well.
The Bali wedding market will be impacted the most, as it receives not only a third of the destination weddings from China, but is also a popular spot for destination couples from South Korea.
Because 10 cities in Italy have already been locked down due to the Coronavirus, the wedding market there will also be hit hard as people traveling from other countries in Europe, North America, and the Middle East are now looking to alternative locales.
In the United States, Hawaii will see a large drop in couples from Japan traveling to get married.
Couples may still be willing to travel, but many of their guests will not. For destination weddings that can go on as planned, we'll see guest lists shrink as people bow out. Planners, venues, videographers, and photographers should consider setting up a live-stream of these weddings so that loved ones who were unable or unwilling to take on the travel risks can still attend, even if only virtually.
The Impact on Imported Goods
If your wedding services include selling tangible products that get imported, your business will likely be impacted because your supply chain is being impacted.
The two product categories in the wedding industry that are currently seeing the most issues because of the Coronavirus are wedding dress retailers and florists.
80% of wedding and bridesmaid dresses are produced in China. With many factories currently closed down to contain the outbreak, production has come to a near-halt, delaying the fulfillment of orders placed by wedding and bridal retailers in the United States, Europe, Africa, and South America.
While wedding dress retailers can look to other locations and stock up on the products they sell in advance, floral designers cannot. While flower orders may have been placed well in advance with a wholesaler or farm in order to secure the best pricing possible, because flowers are perishable, they are not harvested nor shipped until close to the wedding date. When the flowers do arrive from Holland, Belgium, Kenya, and South America, they are now being held in customs longer than usual for more thorough agricultural inspections.
This has obviously placed many wedding florists in a bind as they are scrambling to source similar flowers or collaborate with wedding planners to come up with a new design that is not as floral-focused. Because of how some of their contracts are written, many floral pros have been stuck absorbing these additional costs themselves and losing money on the weddings.
While not much can be done for the weddings happening now, since the future of how the Coronavirus will spread is uncertain, wedding planners and florists need to be creating A, B, and C plans for the design itself in case the original vision the couple has their heart set on is unavailable when their wedding date rolls around.
This may look like sourcing things more locally and rearranging the wedding budget to afford the additional expense. This means that even if you are not one of the wedding vendors directly impacted, the money redirected towards these extra costs may be coming from the budget line that was originally going to you. Your marketing will need to show why you are splurge-worthy and the budget meant for you is worth protecting.
Is all of this stressful? Of course. It’s also a chance to prove why wedding professionals are worth hiring. You are worth what you charge because you can stay ahead of the curve and make things happen for your clients that would be nearly impossible for them to accomplish themselves.
Written By
LIENE STEVENS
Liene Stevens, the founder and CEO of Think Splendid, is an author, speaker, and award-winning business strategist. Armed with $2000, a healthy work ethic, and an undeserved dose of privilege, Liene bootstrapped Think Splendid from a scribble in a notebook to a successful wedding business consulting firm with a client list spanning 94 countries
