|
|
|
|
|
|
November 17, 2008 |
Send us an email |
|
|
|
|
GROWING YOUR BUSINESS TOGETHER |
|
|
contents
Get Your Cut of the Coupon Market
Coupons aren't just for the grocery store anymore
Online Retail: Slower Growth Expected
Although gaining in the number of shoppers online, sales could still be slow for this Holiday season
FTD Face-Lift
FTD Group begins its new phase with Rob Apatoff as President
WF&FSA Survey
Floral suppliers report on intentions for future Open House/Design Shows
United Online Reports Positive Numbers
One month into the flower business and 3rd quarter results are looking good from FTD
|
|
|
get your cut of the coupon market
Clipping coupons is no longer just for shoppers headed to the grocery store. More consumers are snipping for savings to apply to a variety of products and services.
"The brand manufacturers are responding to consumer demand, and they're meeting them with real savings on everyday products on a more regular schedule," Steven Boal, CEO and founder of Coupons Inc., told The Washington Post.
Cut into the cost-saving craze by offering coupons. Whether it's a percentage off of a delivery fee or a special deal for the holidays, coupons may be just the magnet to pull deal hunters in. Remember: coupons aren't just for newspapers anymore. Text-message them to cell phones or put printable coupons on your Web site.
Although coupon use peaked back in 1992 when nearly 8 billion were redeemed, according to CMS, last year saw the number of redemptions surge to 2.6 billion, after a steady decline. That number is expected to go even higher this year.
"There's definitely an increased interest to use coupons for savings by customers," Matthew Tilley, co-chairman of the Promotion Marketing Association's Coupon Council and director of marketing for CMS told The Washington Post. |
|
>> Feedback | Return to Index |
|
| |
|
|
online retail: slower growth expected this holiday season
Online retailers expect slower growth this holiday season than they’ve seen in recent years, but 56% of those surveyed by Shop.org anticipate ringing up a holiday sales increase of at least 15% from a year ago.
A slowdown in holiday sales online is expected this year. (Credit: Getty Images)
“Online retailers are resilient when it comes to the economy, but they’re not immune, said Scott Silverman, Shop.org’s executive director, who attributed the slower growth partly to the maturation of the online market. “It’s challenging to keep up those really high growth rates.”
The survey of 60 online retailers was conducted for Shop.org, a unit of the National Retail Federation, from Oct.1 through Oct. 20. Shop.org expects online retail sales for 2008 to rise 17% from year-ago levels to reach $204 billion this year.
A majority of the online retailers surveyed said they planned to offer free shipping to attract customers, but 21.3% of them said they would raise the minimum purchase requirement this year.
Retailers also said were focused on revamping Web sites to increase online sales – 42.6% said they were adding product videos, 32.7% were adding customer reviews and 25% said they were creating Facebook pages to promote their sites. To appeal to price-conscious customers, 27.1% said they were adding clearance sale pages to their sites, Shop.org said.
In a survey of 2,040 shoppers conducted Sept. 29 through Oct. 3, Shop.org found that 23.1% said they were spending more online due to high gas prices. To encourage online shopping, 74.3% of retailers who sell on both the Internet and in brick-and-mortar stores said they planned to offer shoppers in their stores a chance to sign up to receive emails and 71.4% said they will advertise their Web sites in stores
| |
|
>> Feedback | Return to Index |
|
|
|
ftd face-lift includes apatoff as president
Rob Apatoff, a former executive with Allstate Corp. and Rand McNally & Co., will start Monday as president of FTD Group.
Apatoff, 50, served on FTD's corporate board for four years prior to United Online's purchase of the floral delivery business in May. United, which owns social networking site Classmates.com and customer loyalty site My Points.com, acquired Downers Grove-based FTD for $456 million. The deal closed in August.
United Online CEO Mark Goldston, already FTD chairman, will become FTD's chief executive also on Monday
"I was already friendly with Mark when he bought the company," Apatoff said. "I knew he'd make the investment necessary in the company to take it to the next level."
FTD is undergoing a face-lift, a process that will accelerate, he said. "Branding, marketing, packaging, our Web site will all be changed before the holidays. We've already been working on this."
Apatoff declined to provide details.
FTD, an early Web adopter, started an online retailing service in 1994. As it did with its original flower-by-wire service, FTD forwards online orders to a network of independent florists who fill and deliver the orders.
FTD draws about 60 percent of its U.S. revenue from its consumer business. The remaining 40 percent comes from services and products that it provides to a network of about 20,000 florists.
CEO Michael Soenen will remain with FTD through the end of the year in an advisory capacity, Apatoff said.
"We'll be working together, it will be a very orderly transition," he said. "We are friends and will remain so."
|
|
>> Feedback | Return to Index |
|
|
|
wf&fsa surveys suppliers about show activity
WF&FSA conducted a survey of floral suppliers to determine their current level of participation and future intentions of participating in Wholesale Open Houses/Design Shows, Trade Fairs, Buying Group Shows and Supermarket Events. Here are some of the results from that survey. Participation was greatest with buying groups. Intentions to increase participation were greatest with Supermarket Events. Intentions to decrease participation were greatest with trade fairs. Fifty-six percent of participants said they spend $15,000 or less per year on these activities.
|
|
Open House/Design Show |
Trade Fairs |
Buying Group Shows |
Supermarkets
Events |
|
Participate |
82% |
73% |
83% |
78% |
|
Increase |
25% |
15% |
24% |
29% |
|
Decrease |
7% |
16% |
5% |
7% |
|
|
|
How much is spent on these activities annually? |
|
0 to $5,000 |
|
31% |
|
|
|
5,001 to $15,000 |
25% |
|
|
|
$15,001 to $25,000 |
18% |
|
|
|
$25,001 to $35,000 |
11% |
|
|
|
$35,000+ |
|
15% |
|
| | |
|
>> Feedback | Return to Index |
|
|
|
united online reports positive numbers with ftd
After only a month in the flower business, FTD's new parent company is reporting rising stock and net income for its third-quarter — results that have boosted United Online's confidence in its newest acquisition.
United Online's third quarter ended Sept. 30, just a month after it acquired FTD. Officials, however, say they are pleased with early numbers that showed net income rising 16 percent, revenue up 33 percent and FTD contributing $48.3 million in sales. Without FTD, the company's revenue would have fallen 5 percent, year-over-year. This news follows a strong run for FTD, which ended its fiscal year on June 30 with an income of $39 million, up from $31.9 million the previous year.
"The floral market is huge at $20 billion, and what we've seen anecdotally is that people don't cut back on buying flowers," Mark Goldston, president and CEO of United Online, said during the company's earnings call. "They may cut back on buying gifts, but they don't cut back on buying flowers. Valentine's Day and Mother's Day, etc., will always be floral holidays and so we have not seen historically the recessionary economy have a major negative impact on that industry in general, or FTD in particular."
Ira Silvergleit, SAF's director of research and information, says that 27 years worth of industry consumption data from the U.S. Bureau of Economic Analysis and U.S. National Bureau of Economic Research show that floral sales have not faltered during the three recessions.
Goldston revealed some big plans for his new buy during the call, describing United Online's "idea vault" of 660 ideas for FTD and Interflora, its international segment.
"We've been busy prioritizing and sequencing implementation of an incredibly long list of marketing innovations," Goldston told investors. Those priorities include potential enhancements to the FTD and Interflora Web sites, their advertising campaigns, packaging, branding, merchandising and all of the photography.
United Online will be able to share more specific details, Goldston said, and give an early progress report during its next investor call in early February.
| |
|
>> Feedback | Return to Index |
|
|
|
Flowers Canada Retail represents all segments of the Canadian Retail Floral Industry.
Our goal is helping you reach yours.
99 Fifth Ave., Suite #305 Ottawa, ON K1S 5P5
ph 1.800.447.5147 fax 1.866.671.8091
email flowers@flowerscanada.org web www.flowerscanada.org
Copyright © 2008 Flowers Canada Retail | | |
|
|
|
