THE IMPACT OF BEHAVIORAL ECONOMICS ON THE DEVELOPMENT OF THE FLORCULTURAL INDUSTRY
Abstract
The article shows how tools from behavioral economics can help grow the floriculture industry in Ukraine. Today, people make decisions not only based on logic or price, but also because of emotions, habits, and social influences. Also, digital tools and the internet have changed how people choose and buy flowers. The goal of this study is to understand consumer behavior and how people really make decisions when buying decorative flowers and bouquets. It also explains why «old» economic models that think people always choose logically do not work well in this case. Instead, the focus is on real behavior that is often emotional and influenced by the situation. The methodological basis of the study is based on systemic and structural-logical analysis, elements of behavioral decision theory and comparative assessment of market practices It shows that people often buy flowers because of feelings, because the flowers look nice, or because they saw that others doing the same. People also buy flowers to feel himself better, to give as gifts, or to mark a special moment. Some important factors are personal offers (personalization), loyalty programs with no time limits, special sales that make people act quickly, and good customer service. These things make people more interested and bring them back again. The article also explains how digital platforms and mobile aplications make shopping easier and help companies talk to customers in more personal way. This helps reduce «friction» in online shopping, and also allows for targeted communication with different consumer segments. The practical significance of the article lies in its potential application by Ukrainian floriculture enterprises that seek (or are trying to) modernize their approach to customers, effectively creating sustainable competitive advantages. The key is to align business strategies with the psychological and behavioral trends of consumers. It helps them understand what buyers really want and feel. By using these ideas, companies can sell more flowers, not only on holidays, but also in everyday life. This makes people more loyal to the brand and helps grow a strong flower culture in Ukraine. These results can also support the rebuilding of the floriculture industry during economic recovery.
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