|
Headlines
Des Moines Businesses Benefit from Iowa Caucuses
As the politically conscious turn their heads towards Iowa on Thursday, the politicians themselves are bringing business to the city of Des Moines, causing a boom in the area's economy.
Retail businesses, including Des Moines florists, are benefiting from the upcoming Iowa caucuses, with the candidates, campaign workers, and volunteers spending so much time in the city.
Greg Edwards, president of the Greater Des Moines Convention and Visitors Bureau told the American Public Media that the caucuses bring in $25 million to Iowa's capital city, and an additional $75 million to the rest of the state. "This is definitely a big shot in the arm for the economy," Edwards says.
How much of this translates into floral business?
Tom Boesen, owner of Boesen the Florist, in Des Moines, says the influx of an additional 700 to 800 people into a city for four to five months translates into additional business related to regular floral holidays, birthdays, Christmas, etc.
"Anytime you bring in a bigger population it helps," Boesen says. However, even though Boesen says they provided some arrangements for some political events, such as a dinner hosted by Hillary and Bill Clinton, the work added up to less than a $1,000 in additional business. Limited budgets make for sparsely decorated campaign headquarters, Boesen says, and the politicians' appearances are typically brief and at different locations, so they aren't usually thinking about flower arrangements.
Jan Doherty, owner of Doherty's Flowers, also in Des Moines, says they've had about 15 additional orders over the last month, mostly going to the candidate headquarters and from the candidates to their volunteers and campaign workers — business that basically fell in their lap without any effort.
"It's been great for the area," Doherty says. "It's been great for business."
Doherty jokes that the store is trying not to take too many orders in the downtown area the day of the caucuses, however, because of all the traffic from the events.
[return to
top]
|
|
Resolutions 2007: The Follow Through
You've made your 2008 New Year's Resolutions, but how was your follow-through for 2007? Last year, we published readers' 2007 resolutions, so we thought we'd check in with a few to see how they did:
Shop Facelift and More at Blooms and Bears
"Our main New Year's resolution last year was to remodel the retail area of our flower shop, says LuAnne Schwab of Blooms and Bears Florist and Gifts in Irvine, Calif. "It had been about 14 years since our last major makeover. We were due for a face-lift and more." They followed through fast, starting in January and finishing just in time for Valentine's Day 2007. "We were happy with the results, and more importantly, so were our customers."
The shop before Blooms and Bears' renovation.
|
|
And after.
| The transformation, shown in the "Before" and "After" pictures here, included:
- removing everything in the retail area and disposing of "shopworn items and fixtures;"
- replacing carpet with "easier to clean and maintain" 18-inch square porcelain tiles that continue into the flower cooler;
- adding a "height-extender" to the top of the flower cooler face to give it a "floor-to-ceiling" look and painting the inside of the cooler;
- repainting walls and cooler front and replacing a wallpaper border with simple crown molding;
- re-staining and polycoating wood trim;
- replacing cool white fluorescent bulbs with "natural sunshine" bulbs;
- putting SAF and FTD posters in picture frames (with plans to rotate them seasonally); and
- reducing clutter and taking "a more selective approach" to product displays.
"The most expensive item was the floor," says Schwab, "but fortunately we were in the process of renegotiating our lease just before the remodel," so they were able to get their landlord to cover some of the improvement costs.
How did it go with their other resolutions? LuAnn's husband Carl Schwab reports:
- Do more 1:1 marketing. A computer upgrade and move to the windows-based FTD Mercury point of sale system has helped a lot. They've done some marketing based on order history, and Carl says [customers] "love it when we can say 'last year you placed an order on so and so's birthday, would you like to do it again?'"
- Take a close look at delivery areas and charges. They're "doing that constantly" he says, because of the rising cost of gas. "We have lots of delivery zones based on distance and time. If you are in a rural area, a mile equals one minute." In urban locations, they had to make adjustments to allow for traffic congestion.
- Activate the delivery confirmation system. This resolution moved up from 2007 to 2008, but it's "high on this year's list," Carl says.
Controlling COGs and Revamped Gift Line at Garner Greenhouse
Christopher Brown says Garner Greenhouse in Garner, Iowa, moved ahead on his goal of understanding and controlling cost of goods in 2007: "We're getting a better grip on it." Another goal - changing to a "whole home therapy" approach in their gift line, is well underway: "We add a little bit [new to the line] each quarter - like aromatherapy stuff." This spring, they'll be including a line of spices. One 2007 resolution, a "totally revamped Web site," started last year and remains in the works because, Brown says, "I'm actually building the site myself."
Business Growth Hitting the Mark at KaBloom of Erie
A 30-percent growth in business for her second year in operation was the 2007 goal set by Beth Hill of KaBloom of Erie in Erie, Pa. By last week, she was just two points (28 percent) away from hitting that mark and hoped sales in the last days of the year would help them achieve it. Meanwhile, their resolution to grow funeral business met with modest success, Hill says. Although they compete with more than 20 other local florists, their sympathy sales are up 10 percent over 2006 because they are "totally non-traditional. We do pieces that aren't typical...[for example using] roses instead of chrysanthemums and carnations" that Hill says other florists don't put in funeral arrangements. A third resolution, to grow their business with local doctors' offices, did not succeed, primarily, she says, because there are "so many allergies, it's a deterrent."
Trashing Waste at Carousel Flowers
"Waste is the word for 2007," said Karen Maitland of Carousel Flowers in Elmhurst, Ill., in December 2006, and reducing it was her goal. Today, she's throwing out less fresh product because she no longer mixes newly received fresh product with existing fresh inventory. Instead, older flowers sit in buckets to the right of the rest "because people tend to go to the right," so those flowers move first and inventory keeps turning. She also wanted to eliminate wasted time created when employees get off task. "We did try to put a timing [system] in" but it didn't work — too time consuming, she says. "We had one problem person who is gone now." So that's helped productivity. And they started rotating phone duty so "one person isn't running to the phone all the time."
The Masters Flowers Builds Market Awareness
Terry Mason of The Master's Flowers in Broken Arrow, Okla., said 2007 would be "the year of solidifying our position in the community." The store, which opened its doors before Mother's Day 2006, needed to get its name known. Mason said their efforts would include a lot of networking, and they followed through by working with area businesses to "refer customers back and forth" and connecting with the most popular bakeries to generate wedding referrals.
They also parlayed his wife Glenda's status as an Oklahoma Master Florist into some coverage in the newspaper, did in-store rose giveaways — "customers like that better than coupons," he says — and made good use of their window space to take advantage of the shop's location "right on the most [heavily] trafficked street in the Tulsa area." Is it working? "When we moved in here the leasing company told us what [level of sales] the previous flower shop was doing," says Mason, adding that they "hit or exceeded" that mark their first full year in business.
[return to
top]
|
|
Pajaro Valley Sold to Rocket Farms
After 45 years in the floral industry, which included induction into SAF's Floriculture Hall of Fame in 2001, Arne Thirup, AAF, has decided to sell the business he founded, Pajaro Valley Greenhouses, in Watsonville, Calif., to Rocket Farms, based in Salinas, Calif.
|

Thirup | "We just decided it was time," says Thirup, whose operation was best known for its roses, gerberas and stephanotis among other specialty crops. Thirup says he's thought about selling for the last few years, which he says "have been a struggle for cut flower growers." He waited for a buyer that wouldn't require that he stay in the business to run it. "I'll be 80, so it's time to move on," he says.
Rocket Farms, primarily a potted plant grower, acquired Pajaro's shipping facilities and 25 acres in greenhouses, about 60 percent of which is in rose production, and 20 percent in gerbera production. Sales manager Doug Brothers says they've taken out some of the existing production but will evaluate each crop to see which ones are viable.
"We like the gerbera production, and we have some great (gerbera) growers on board from Pajaro Valley. We'll probably infuse some new varieties and continue on with that program," Brothers says, "but we'll really look at every crop and assess what shows promise and what doesn't." Roses is one crop Brothers says has a "question mark" on it for long-term production, but "we'll continue through Mother's Day and assess it from there to determine what makes sense."
Between one-third and one-half of Pajaro's employees will stay on with Rocket Farms, Brothers says.
The company will likely convert a number of the greenhouses for potted phalaenopsis production, which the company started doing about two years ago, as well as potted colored calla plants, according to Brothers.
"The coastal location (of Pajaro Valley) is really appealing," Brothers says. "It allows us to control temperatures more easily than in Gilroy and Southern California."
— Kate F. Penn
kpenn@safnow.org
[return to
top]
|
|
University Horticulturist Unveils New Poinsettia
There's a new poinsettia creating a buzz on the campus of the University of Connecticut — and, it's not of the traditional red variety.
Horticulturist Bob Shabot, of the College of Agriculture and Natural Resources at the university, has developed a poinsettia with gold and pink tones called "Cinnamon Stick." In addition to the coloring, another atypical characteristic of the plant is its "bracts that point upward, giving the flower a vase-like shape," according to an article in Advance, a weekly University publication. Chabot calls that aspect of the poinsettia "an attention-getter."
"Cinnamon Stick" is derived from Fischer USA's variety "Cinnamon Star". Five years ago Shabot "first noticed something different about two branches of a particular specimen, Cinnamon Star ... being grown at UConn for teaching purposes," the article states.
Now, after testing and examination at UConn, "Cinnamon Stick," is undergoing trials in locales such as Colorado and Germany. According to the article, Shabot is considering getting a patent on the poinsettia.
[return to
top]
|
|
Read My Mood: Buy Flowers
Florists with picky or indecisive customers, take heart: The Flower Council of Holland has a new Web site that takes some of the guesswork out of finding the perfect bouquet.
The Council recently took the art of matching flowers and feelings to innovative, technological heights with the launch of www.readmymood.com. At the site, users input a few lines of text and then "discover" any number of cut flowers that complement their emotions.
The site was originally aimed at bloggers: Readmymood.com can scan the text of a blogger's site and suggest flowers based on the tone of the writing. But you don't have to be a blogger to use the site, which already has "many thousands" of fans in Holland, France, Germany and the United Kingdom, according to the Council. Just how well does the site do its job? We entered a few famous lines of text for analysis and were impressed. But, you be the judge:
- Shakespeare wrote: "Good night, good night! Parting is such sweet sorrow. That I shall say good night till it be morrow."
Readmymood.com suggested: "A mini bouquet of mini gerbera (germini) for common sense, tulip for success, narcissi for new starts, and carnation for single-mindedness. In other words -- just keep on going your own sweet way."
- Robert Frost wrote: "The woods are lovely, dark and deep. But I have promises to keep. And miles to go before I sleep. And miles to go before I sleep."
Readmymood.com suggested: "You've lost your focus a little. Too many distractions and not enough rest are not good for helping you reach your goals. You need a tulip; it stands for achievement, reaching for and attaining your dreams."
- Jane Austen wrote: "It is a truth universally acknowledged, that a single man in possession of a good fortune, must be in want of a wife."
Readmymood.com suggested: "Recent events have got you thinking about what is most important in life. To help you put your priorities in order, you get a pink moth orchid - the Phalaenopsis, symbol of spirituality."
— Mary Westbrook
mwestbrook@safnow.org
[return to
top]
|
|
Trends and Tips
At Grocery Stores, Bigger Isn't Always Better
Sales pitches that emphasize super low prices and super big spaces may not be as attractive to grocery customers today as they were five years ago.
A new study profiled in the November issue of STORES Magazine found 35 percent of consumers in 2007 prefer "an enjoyable experience" over price and convenience, compared to 30 percent in 2002. In fact, when it comes to where consumers shop for groceries, intangible appeals such as overall shopping experience, atmosphere, trust and customer service may be more important than factors such as the physical size of a store and price points.
"Grocery retailers answered the call to build bigger more efficient one-stop shops where their customers could buy general merchandise and groceries in the same place," said Susan Reda, STORES executive editor. "Now, the pendulum seems to be swinging back, as consumers are saying they prefer more intimate, smaller, customized grocery stores."
Grocery stores are responding to the shift by offering more niche products, and larger retailers are introducing more organic or ethnic options, according to the study, which placed the shift in consumer attitudes in the context of bigger socio-economic changes.
"The decline of the attractiveness of the big box stores, the aging of America, the growth in the importance of convenience, personalized service and the emotional consumer 'where to shop drivers' are causing a tipping point going in favor of smaller stores for the first time in over 20 years, " explained Chris Ohlinger, CEO of SIR, the research company that conducted the study.
The study also ranked the customer service of popular large grocery retailers using a 100-point scale: Wegman's topped the list with 70, followed by Publix (69), Bloom (58), Safeway Lifestyle (56), Kroger Marketplace (54), Wal-Mart Supercenter (51), Sweetbay (50) and Super Target (48). Forty-six was the national norm for the rankings.
[return to
top]
|
|
Mommy Marketing
Many mothers in the U.S. are the captain's of their family's ship, and Forbes magazine recently reported that moms are spending about $2.1 trillion a year, which is about 15 percent of the country's entire economy.
According to the Ipsos Consumer Tracking Study, 39 percent of mothers purchased fresh flowers in 2005. The percentage was directly related to the age of their children: 45 percent of mothers with children aged 13-17 bought flowers, followed by those with children aged 6-12 (39.5%), any children (38.8 percent) and children under six years old (33.5 percent).
BSM Media studies show that 65 percent of mothers feel the media under-serves them, and released the following statistics to help businesses better reach this major money-spending audience:
- Print magazines tend to be more eye-catching than newspapers, with mom's reading an average 4.1 magazines a month.
-
Moms spend a lot of time in cars, so radio is a successful medium.
-
Seventy-one percent of moms use the Internet to research purchases.
-
Gen X moms (ages 26-41) aren't looking to conquer the world, finding balance among work, family and leisure, and they want products and services that make life simpler.
-
Moms want to make the world a better place for their kids, so they look for companies that care, perhaps those that work with charitable causes.
[return to
top]
|
|
Newsmakers
Flowers Among 'Most Romantic' Celebrity Proposals
Flowers cracked Brides.com's top 10 list of the most "romantic, surprising and extravagant celebrity proposals."
Pop singer Christina Aguilera's February 2005 floral-clad proposal took the No. 8 slot . Jordan Bratman, music executive and Aguilera's boyfriend of three years, proposed "in a room filled with flowers, balloons and a stack of gift boxes, each of which contained a different gift and poem; the last box had the ring."
Brides.com just released the list to keep up with the news of the engagement of Jenna Bush, daughter to President George W. Bush and first Lady Laura. Also highlighted on the top 10 list are former president John F. Kennedy's proposal to Jacqueline Bouvier, Prince Rainer and actress Grace Kelly, and actors Tom Cruise and Katie Holmes.
What the list forgot to mention was a follow-up to each celebrity's proposal. For example, to celebrate their first wedding anniversary, Bratman duplicated his proposal to Aguilera, complete with a flower-filled room of roses and pink and red balloons and all.
[return to
top]
|
|
Parker The Flower Shop Dog
When Lori Street of Ideal Florists in Philadelphia, laid her eyes on Parker, the dog she agreed to adopt on behalf of a pleading friend, she saw a big, but very skinny dog, that could potentially be some trouble. However, it turns out that Parker was willing to work to earn his place at the store, and customers love him so much Street decided to write a children's book about it.
Street says a little over three years ago, she received a phone call from her friend telling her she had rescued a stray dog from a local park and took it to a shelter, only find out the shelter had a 72-hour policy of holding a dog before putting it down, and her friend was panicked.
Her friend, who already owned a number of other pets, was hoping to find this stray a home, Street says. She agreed without ever seeing the dog and she's glad she did. Even on the first day of Parker's arrival, Street discovered his willingness to help out around the store, by carrying things to different employees, and it didn't stop there.
"He loves carrying things, going on deliveries, and he even takes mail from the mailman," Street says. "He also brings in deliveries from the wholesalers in the morning. He likes to work, he's really involved."
Parker is also a big hit with the customers, Street adds, saying that some come in just to see him, and others will even send him gifts in the mail.
Knowing that this was a unique story, Street, along with her best friend Tracy Harvey, have written a children's book called "Parker The Flower Shop Dog," which includes real pictures of Parker helping to illustrate his daily life at the shop.
Parker says she used a local printer and published about 1,000 books, which she's currently selling at both the shop and on their Web site, and is looking to bring both the book and Parker to upcoming floral shows. Part of the proceeds from the book will be donated to the American Society for the Prevention of Cruelty to Animals.
[return to
top]
|
|
Mark Your Calendar
Upcoming Events
• Deadline for SAF Awards nominations and PFCI and AAF applications: Feb. 1, 2008.
• SAF's Congressional Action Days: Feb. 25-26, 2008, in Washington, D.C. Register online.
• SAF's Pest Management Conference: Feb. 28-March 1, 2008, in Atlanta. Register online.
• SAF Palm Beach 2008: Sept. 17-20, 2008, at The Breakers in Palm Beach, Fla.
[return to
top]
|
|
Regular Features
Xmas Decor Goes Fast for Most Florists
Winter holiday decorations will be down by the end of this week for all but a spare 1% of retail florists. Based on responses to last week's E-poll, most shops (65.33%) are likely to be pulling down their holiday decor this week, but they're behind the 29.33% who responded that they take down decorations the week after Christmas. A super-speedy 4% say their decor changes on December 26. And that last 1.33%? They do "Christmas in April."
— Shelley Estersohn
sestersohn@safnow.org
[return to
top]
|
|
Product Spotlight: ScriptSave
We all know prescription medications can be expensive, so how about starting off 2008 with a new benefit for you and your employees? SAF now offers ScriptSave®, a no-cost prescription drug savings program, to SAF members, their employees, and even their employee's families!
The ScriptSave® program offers savings that average 22 percent with potential savings of up to 50 percent on brand name and generic prescriptions (based on national program savings data). The ScriptSave® card can be used at more than 53,000 participating chain and independent pharmacies nationwide.
Use this program to reduce your own prescription costs and enhance your employee benefits package. Remember, the better your benefits, the easier it is to attract and keep quality employees. And, it's easy to use! Through a link from the SAF Web site, simply download and print a ScriptSave(r) right from your computer! Click here for more information.
(DISCOUNT ONLY - NOT INSURANCE. This program is not an insurance policy and does not provide insurance coverage. Discounts are available exclusively through participating pharmacies. AR, KS, SC, SD and TN residents: You may cancel your registration under this program within thirty (30) days from the date your discount card is issued).
— Bonnie Wilkening
bwilkening@safnow.org
[return to
top]
|
|
Talk on the Forums: Designers as Artists
"Are designers artists?" asks one retailer. What about someone with three years of experience who puts personal artistry above the company vision? Weigh in.
Also on the forums:
Employee reviews
Finding business partners/investors
Start your own discussion.
[return to
top]
|
|
In January 2007 Florists Predicted Sales Growth or Status Quo
In January of 2007, exactly one year ago, SAF asked florists to predict their sales for 2007. The results are shown in the chart below. More than half (51 percent) predicted sales would be up. About a quarter said their sales would be about the same as the year before. Only 7 percent said 2007 would be a worse year than 2006. How accurate were their predictions? Stay tuned for the results from SAF's upcoming holiday and year-end survey. Don't forget to fill it out when it arrives in your e-mail. If you are a retail florist who doesn't receive our online surveys and would like to participate this time, send your e-mail address to surveys@safnow.org.
|
Retail Florists' January 2007 Predictions for Annual Sales
(2007 vs 2006)
|
|
|
Source: SAF Christmas Post-Holiday Online Survey, January 2007. Based on 358 responses (response rate =9 percent).
— Ira Silvergleit
isilvergleit@safnow.org
[return to
top]
|
|