HEADLINES

Duty-Free Flowers Measure on the Table

Flowers exported to the United States from Colombia may be given permanent duty-free access if Congress approves a controversial trade pact sent by President Bush on Monday.

Under federal law governing implementation of the U.S./Colombia Free Trade Agreement (FTA), Congress now has 90 legislative days to vote for or against the measure.

The president's decision to transmit the legislation to Congress has upset many Democrats who believe he has ignored established protocols. Typically a president sends a trade agreement to Congress only after first getting approval from Congressional leaders. This way, support for the measure is much easier to achieve. Some Democrats say the president's decision jeopardizes prospects for passage of the measure.

Anti-trade Democrats already oppose the pact because they believe the Colombian government has not done enough to reduce violence in the country, especially against trade unionists.

President Bush, however, has praised Colombian President Alvaro Uribe's efforts to curtail violence and protect labor activists. In addition, Bush says the FTA will improve U.S. national security and strengthen our economy.    

Further dampening prospects for approval, Democrats also insist that ratifying the trade pact or even generating further support for it hinges on expanding the trade adjustment assistance (TAA) program. TAA is designed to help workers who lose their jobs because of foreign competition. Democrats say TAA must be implemented before they even consider the FTA.

President Bush has pledged to work with Democrats on the TAA, but is adamant about Congress ratifying the trade pact. Citing benefits of the measure, the president in a press conference on Monday said, "Waiting any longer to send up the legislation would run the risk of Congress adjourning without the agreement even getting voted on."

Colombian flower exports — about 60 percent of flowers sold in the U.S. — currently enjoy duty-free access to U.S. markets under the Andean Trade Preference and Drug Eradication Act (ATPDEA). That act is set to expire on Dec. 31, 2008. If it is not renewed, or if Congress does not approve the U.S./Colombia FTA, U.S. floral importers of record will have to pay duties on Colombian flowers entering this country.

 
--Drew Gruenburg
dgruenburg@safnow.org

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SAF: Save Employers from SAVE

A bill that would cripple any chance of passing real immigration reform during this Congress by forcing a tough vote on enforcement-only legislation is getting closer to the House floor. 

SAF Senior Director of Government Relations Lin Schmale says that SAF strongly opposes the SAVE Act and is urging members to write their member of Congress voicing opposition to it.

If this enforcement-only bill is put to a vote, the irony is that while many members of Congress favor comprehensive immigration reform, they will appear weak on reform if they do not vote in favor of SAVE Act.

"As 'enforcement-only,'" Schmale points out, "it would deprive agriculture [and other industries] of workers without giving them a way to address the labor shortage and without addressing our overall immigration problem."

Schmale adds that the SAVE Act would require employers to use the unproven electronic verification system to verify the Social Security numbers of all current workers as well as of new hires.

"SAF does not believe the electronic verification system is ready for that load, which will leave you, as an employer, in jeopardy," Schmale says. The bill would make the E-Verify program mandatory for all employers, but the Social Security Administration database on which E-Verify is based has a four to five percent inaccuracy rate. SAF fears that this mandatory requirement will significantly harm the floral industry.

SAF's position is that immigration reform must include three components: earned legalization, reform of the H-2A program, and reasonable and practical enforcement mechanisms.

The bill's sponsors have 185 signatures and only need 33 more to move the bill to a floor vote. If approved, the Senate would likely act on an identical bill.

"Please take this opportunity to let your Representative know that you oppose the SAVE Act (H.R. 4088), because it is an enforcement-only approach to the immigration issue that would cripple businesses and hurt agriculture," urges Schmale. To write your Representative, go to www.safnow.org and follow the "Write to Congress" link at the top right hand corner of the page.

For additional information, contact Lin Schmale, lschmale@safnow.org, or Brian Freedman, bfreedman@safnow.org.

--Morgan Schimminger
mschimminger@safnow.org

 
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New AIFD Category Targets Regional Suppliers

Small industry suppliers now have more affordable access to the American Institute of Floral Designers (AIFD). The new Regional Partner AIFD designation gives suppliers, including local wholesalers, regional sales representatives and local distributors, access to select marketing benefits.

AIFD Regional Industry Partner membership costs $250 with $50 earmarked for the respective AIFD Regional Chapter, compared to $500 for National AIFD Industry Partner.

"Many local businesses are wonderful supporters of our accredited members and would like to demonstrate that support with contributions to AIFD," says Tom Simmons, AIFD president. "The new Regional Industry Partner program allows them to do so without having to pay the same level of dues as a large national supplier. In return, they will realize the marketing benefits AIFD affords them."

Some of the benefits include listings in both the AIFD Membership Directory and on the AIFD Web site; advertising discounts in AIFD Focal Points and other publications and a discount on purchasing electronic membership lists or mailing labels. Newly minted Partners can use the AIFD trademark Partner logo and receive a copy of the AIFD Membership Directory, an e-mail subscription to Focal Points and discounted member pricing when registering for AIFD events. Regional Partners may also participate in the Industry Partners exhibit at the AIFD National Symposium, but only when it's held in their region and for a fee that's $100 above what National partners pay.

--Morgan Schimminger
mschimminger@safnow.org

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2008 Seeley to Address Differentiation

How to differentiate your business tops the agenda of the 23rd annual Seeley Conference at Cornell University in Ithaca, N.Y., June 21-24.

This year's focus,  "Profit Squeeze: Is Differentiation the Solution?", delves into product differentiation and how it will affect (and improve) your bottom line. Other topics that will be addressed include:

• What is the state of our industry?
• What changes in customer focus, and retail platforms, will further affect floriculture? Will Generation X and Y care?
• What opportunities are created by differentiation?
• Are we the "Green Industry" or the "Greenhouse Gas" industry ... and, what is sustainable floriculture?
• Is sustainability a differentiator?
• Who will fail, who will survive, and who will prosper?

Speakers will include James Russo, vice president of business development for TNS Retail Forward; Gary Mangum of Bell Nursery of Burtonsville, Md.; Dr. Charles Hall, professor at Texas A&M University and the Ellison Chair in International Floriculture; Brian Minter of Minter Gardens and Minter Country Garden of British Columbia, Canada; Jennifer Duffield White, editor at GrowerTalks magazine and author of GreenTalks e-mail newsletter; Peter Moran, executive vice president and CEO of the Society of American Florists; and William J. Lipinski, president and CEO of First Pioneer Farm Credit. Also serving as this year's conference coordinator is Bill Gouldin, president of Strange's Florists, Greenhouses and Garden Centers in Richmond, Va.

The Seeley Conference is named for the late Dr. John G. Seeley, the head of Department of Floriculture and Ornamental Horticulture at Cornell University, and it has been conducted each year since 1986 to facilitate the prosperity of the floriculture industry.

Conference attendees will also receive a copy of SAF's fourth edition of The Changing Floriculture Industry: A Statistical Overview, which features an analysis of industry sales, production levels and trends for each segment of the floral industry.

To get more information on the conference, click here.

--Cassandra P. Foster
cfoster@safnow.org

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Changing of the Guard at Hortica

Hortica Insurance & Employee Benefits has announced Mona Haberer as the new company president and CEO, effective as of April 1, 2008. Haberer takes over the position from Robert McClellan, who is set to retire in July after 21 years with the company.

McClellan has been president and CEO of Hortica since 1994, and the company has blossomed under his tenure. The company has seen a dramatic growth in agency operations to include local community sales and support as well as experiencing significant gains in financial strength.
 
"I know healthy people who retire with the expectation of relaxation and fun because they are somehow 'entitled to that'," McClellan says in a recent press release. "I don't feel that way, and self actualization is off my radar screen."

He went on to say that he wants "to remain, for as long as my health permits, an asset not a liability to society."

Haberer, a CPA and CPCU (chartered property casualty underwriter),  most recently served as Hortica's chief financial officer and has been with the company for almost 20 years. She has a bachelor's degree in accounting from Eastern Illinois University and is a member of the American Institute for Certified Public Accounts. "Hortica is financially strong and well positioned for growth," Haberer says. "Bob has been an excellent mentor and friend who retires with a knowledgeable management team in place."

Until his official retirement this July, McClellan will take on the role of special adviser to the president.

--Morgan Schimminger
mschimminger@safnow.org

 
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"Wares of the World" Co-Founder, John Hanford Jr., Dies

John Hanford Jr., 85, WWII veteran and floral and gift industry leader, died of heart failure on April 7, 2008, at his home in Charlotte, N.C. Hanford, president of WF&FSA from 1975-1976, was the older brother of U.S. Sen. Elizabeth Hanford Dole (R-N.C.).

Hanford joined the family business J. Van Hanford and Son, which was started in 1905 by his grandfather, upon his release from the U.S. Navy. Under the leadership of Hanford's father, John Van Hanford Sr., and then during more than 50 years with John Hanford Jr., at the helm, the business grew to become the Southeast's largest wholesale florist business, with an expansive greenhouse complex, as well as an international import corporation. The business pioneered international trade in gifts and decorative accessories.

Hanford was one of the founders of the original WF&FSA Trade Fair, "Wares of the World," which, according to WF&FSA's executive director, Jim Wanko, grew to be one of the top 40 largest trade shows in the country in the 1980s. Hanford was president of the North Carolina State Florists Association, and he received WF&FSA's highest honor, the Leland T. Kintzele Distinguished Service Award in 1981.

The funeral service will be held on Friday, April 11, at 2 p.m. at First Methodist Church in Salisbury, N.C. Burial will follow at Chestnut Hill Cemetery.

--Kate F. Penn
kpenn@safnow.org

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NEWSMAKERS

Woman's World Touts the Power of Flowers

Monday's issue of Woman's World magazine uses SAF research to explain why, "This is a great week to ... Relax by visiting a flower show." It describes the healing power of flowers: "Flowers can bring us closer to loved ones! The first thing they make us want to do is share them, elevating each other's spirits and strengthening our bonds, explains Rutgers University researchers. Now that's flower power!"
 
The article, which is generating nearly 5 million consumer impressions, cites the Emotional Impact of Flowers Study, which was conducted at Rutgers University on behalf of SAF. The groundbreaking study examined the effect of flowers on human emotion and well-being.
 
The Emotional Impact of Flowers Study, publicity efforts and media coverage are a direct result of the SAF PR Fund. Since its inception in 2001, PR Fund programs have generated nearly 800 million consumer impressions.
 
Hometown newspaper and magazine editors and local TV and radio news producers thrive on turning national news items into community stories. Capitalize on the Emotional Impact of Flowers Study to generate local news coverage for your shop. SAF members can access customizable press releases.

--Morgan Schimminger
mschimminger@safnow.org

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Florist's Prom Tips Featured on TV

A recent segment on the Chicago-based ABC-7 morning news show urged consumers to think ahead and order their prom flowers early from florists and offered tips on "picking the perfect blooms."

Amy Wiest, designer for Wildflowers of Palos Heights, Ill., showed off a variety of floral options for prom-goers in the segment, "Prom Flowers Tips And Trends." This is the fourth year that Wiest has appeared on the ABC affiliate promoting prom flowers, and her connection to the station is the result of a little constructive criticism.

A few years back, Wiest says, she was inspired (she credits SAF's responses to negative press) to write local media in response to their Valentine's Day complaints about the cost of roses for the February holiday. In the letter, Wiest defended the floral industry and she suggested that consumers consider other types of flowers besides roses for Valentine's Day. The ABC affiliate responded to her letter and asked for her help with future floral stories, and the relationship has just blossomed from there, into 5-minute floral segments led by Wiest, featuring topics such as wedding flowers, Valentine's Day and much more. The florist says the results from her appearances are "phenomenal" because of the shop's instant name recognition — and, the best part is it's all for free, she adds.

In addition to showcasing her designs, Wiest offered up some advice on what to look for when choosing options for prom flowers:

• "Select colors that will compliment the color of the dress or intensities that are the same as the value of the dress; i.e. a watery shade of turquoise would look great with mixed garden flowers in shades of warm yellow, medium pinks, lavenders and soft blues."

• Stay away from "accents like satin ribbons, glittered and spray painted flowers and lace bouquet collars," she says, adding: "They may have been in style when your parents went to prom, but they aren't anymore."

To get more ideas on creative ways to increase your shop's prom orders, read the article "Five Ways to Capture Teens' Prom Business," in Floral Management magazine's April issue.

Check out the Industry Promotion > Working with the Media section on www.safnow.org for tips on how you can be the one the local media calls when they're looking for local floral experts.

--Cassandra P. Foster
cfoster@safnow.org

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Amy's Orchids Makes Access Hollywood

While the longtime couple and Grammy-winning artists Beyoncé (R&B) and Jay-Z (rap) won't confirm whether they are married, one thing is confirmed — Amy Vongpitaka of Amy's Orchids got some prime coverage on Access Hollywood on Monday, for her connection to the duo's alleged recent nuptials.

The half-hour, primetime celebrity news program reported the singers and songwriters tied the knot on Friday, April 4 at Jay-Z's home in the Tribeca neighborhood of New York City. The segment, "Manhattan Marital Madness," talked about the paparazzi's quest for "the money shot" of the couple in wedding attire (a shot that never materialized). In addition, Access Hollywood host Billy Bush reported that Amy's Orchids did the flowers for the wedding — with just a week's notice to package and ship them — which included 70,000 dendrobium orchids, direct from Thailand and estimated at a total cost of $400,000.

Bush interviewed Vongpitaka, and she expressed her excitement about providing flowers for the duo's alleged wedding, delivering an enthusiastic "wow!" on camera. She had this to say about Beyoncé: "Oh my God, she's my favorite because I watched the movie Dreamgirls." In addition to singing and songwriting, Beyoncé received numerous accolades for her role in the 2006 film, "Dreamgirls."

Additional Access Hollywood coverage showed clips of Amy's arrangements being delivered and gathered — including the one sent to the Access Hollywood studio, which sat on a pedestal next to Bush. Rio Roses also got a few seconds of camera time, as boxes bearing the company's logo were shown in a shot of product en route for the alleged wedding.

--Cassandra P. Foster
cfoster@safnow.org

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LIFE AT WORK

Small Firm Workers Pick Large Firm Benefits

Small business employees typically chose coverage under their spouse's insurance when their husband or wife works at a larger firm, a recent study reports.

The study released by the Office of Advocacy of the U.S. Small Business Administration reports that 47 percent of small firm workers with a large firm spouse are covered by dependents, while only 23.5 percent of small firm workers who have a small firm spouse are covered as dependents.

Out of 3,000 employers with 200 people or less surveyed in 2007, only 61 percent offered employees some sort of health insurance, according to USA Today. The study, which analyzed data from the Census Bureau's Annual Demographic Survey of the Current Population Study from 1995-2005, also reveals:

•  Large firm employees who lose health care coverage do not necessarily shift coverage to the small firm employed spouse. 
•  Children are more likely to have dependent coverage if a large firm employs one or both parents. 
•  Children who lose large firm supplied heath insurance do not necessarily shift coverage to the small-firm employed spouse.

"This report uncovers new information about an area of health care coverage that has been little examined in the past," says Jules Lichtenstein, economist for the Office of Advocacy, in a release. "It points out the danger of only looking at single workers to determine coverage. Many times workers have other options."

--Kori Kamradt
kkamradt@safnow.org

 

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TRENDS AND TIPS

Bloggers Reject Companies' 'Hollow' Green Promises

Thinking of "going green" by changing a few light bulbs in your showroom? If you're hoping to use that eco-friendly change as the center of your next marketing campaign, think again.

According to a recent AdAge.com story, consumers are losing their patience with companies that offer hollow marketing claims about eco-friendly corporate practices. Many times, the result is bad publicity for the offending businesses.

"Corporations can't do everything in one fell swoop, but need to be authentic and transparent about the steps they are taking," says Jessica Hogue, research director at Nielsen Online.

Nielsen Online recently published "Sustainability Through the Eyes and Megaphones of the Blogosphere," a report that attempts to track the level of satisfaction among bloggers writing about issues of sustainability on popular green Web sites, including www.treeHugger.com,  www.worldchanging.com , www.biopact.com, www.theoildrum.com and www.alternativeconsumer.com.  According to the story, the total number of blog postings on the subject has jumped more than 100 percent since September 2006, from 83,000 to 172,000, and Nielsen Online estimates that at least 25 percent of those messages are aimed at the contradictory green policies of companies.

What are these bloggers so upset about? For many, it's the wide gulf between companies' real environmental practices and highly publicized marketing campaigns. For instance, an increasing number of bloggers have slammed General Electric Co., www.ge.com, for "running extensive marketing touting its environmentalism," but failing to deliver on many of the promises made.

"Bloggers claim GE has an inconsistent — and often contradictory — track record, but praise Whirlpool, www.whirlpool.com,  for focusing on smaller measures, such as energy-efficient appliances and its partnership with Energy Star," according to the report.

Another frequent offender? Starbucks,  www.starbucks.com, a company many bloggers claim plays "lip service" to claims of corporate eco-friendliness.

Not all companies were hit with negative reviews: In addition to Whirlpool, Dunkin Donuts, www.dunkindonuts.com, got praise for its low-key use of fair-trade coffee, as did clothing maker Patagonia's Footprint Chronicles, www.patagonia.com/usa/footprint, an online campaign that clues customers into the company's environmental good deeds and misdeeds (chemicals in synthetic material jackets, for example).

Read more on Nielsen Online's report by clicking here.

Find out about some of the floral industry's environmental initiatives, published in the July 2007 issue of Floral Management. And visit the new sustainability page on www.safnow.org.

--Mary Westbrook
mwestbrook@safnow.org

 
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Arizona Florist Has Fruitful Promotion

Looking for new ways to build your customer base and diversify your sales? Ken Young, AAF, of Phoenix Flower Shops in Arizona highly recommends capitalizing on "local flavors" of your region.

In the April issue of Floral Management magazine, Young talks about his successful partnership with a local citrus grower that specializes in USDA-certified organic fruit.

The drop-ship program is a win-win for Young, who says his shop makes about $7.50 to $10.00 — not $1.50, as reported in the magazine — on each item sold (prices for the boxes of citrus average $37.50).

The real draw of the program for Phoenix Flower Shops' customers, Young says, is for them to be able to send some Arizona flavor to friends and family in all parts of the country.

--Cassandra P. Foster
cfoster@safnow.org

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MARK YOUR CALENDAR

Last Minute APW/PSW Items

SAF wants to help you market your floral business for Administrative Professionals Week (APW)/Professional Secretaries Week (April 20-26). Take advantage of the online resources available on SAF'S Web site. There, you'll find Business-to-Business materials, offering a large number of promotional tools, advancing the findings of SAF's Impact of Flowers and Plants on Workplace Productivity Study. The study proves flowers and plants in the workplace increase productivity and inspire better business ideas. SAF provides members with valuable downloadable resources like a library of B2B sales tools and promotional ideas including discount cards and fliers. Sample press releases and radio scripts are also available.

 
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On the Horizon

• "Keys to Communication" by SAF's PFCI featuring Sharon McGukin, AAF, AIFD, PFCI: July 7, 2-3 p.m. in Chicago, in conjunction with the AIFD National Symposium.
• SAF Palm Beach 2008: Sept. 17-20, 2008, at The Breakers in Palm Beach, Fla.

REGULAR FEATURES

E-Brief Top 5

Our story about SAF's Can We Bury "In Lieu of Flowers"? ad campaign in the National Funeral Directors Association's magazine captured the most E-brief "clicks" last week. Here are the "top-5" stories readers found of interest. If you missed one, just click the title to read it now:

1. SAF Urges Funeral Directors to Omit "In Lieu of Flowers"

2. Florists Share Martha Stewart's Spotlight 

3. Moving On: Leeth, Trujillo

4. Funeral Rule Gets the Nod

5. Popular Magazines Push Flower Power

 
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Product Spotlight: Script Save

Help get better benefits for you and your employees by enrolling in ScriptSave, a premier prescription savings program. This no-cost prescription drug savings program is available to SAF members, their employees, and even employees' families. The program can save members an average of 22 percent on brand name and generic prescriptions with the possibility of saving up to 50 percent based on national program savings data! The ScriptSave card is accepted at more than 53,000 participating chain and independent pharmacies nationwide. It's a great way for your business to attract and retain quality employees.

(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).

 
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On the Discussion Boards

On the discussion forums this week, members have been posting on everything from wedding packages to holiday planning and advertising. One of the new discussion topics revolves around establishing a central operations system. Know a good system for her to check out?

Another new discussion was started regarding how much to "mark up materials for wedding and other everyday design." Have some advice to share on this subject?

A member posted a request for innovative ideas regarding promoting his shop's 40th anniversary. Have any ideas on how to pull off a successful landmark celebration?

There were also discussions on how to make money on weddings, Web site hosting and on becoming a Golden Medallion/800 send member. Go ahead and post your responses to any of these topics or start your own discussion.

--Morgan Schimminger
mschimminger@safnow.org

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Reaching Out to Local Funeral Directors

A little more than 63 percent of retailers who responded to last week's e-poll said they had not invited a local funeral director to come and tour their shop. Slightly less than 35 percent have sent out an invitation to an area funeral director to come by for a visit. The "not applicable" category garnered around 2 percent of the vote.

--Morgan Schimminger
mschimminger@safnow.org

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Survey Says: Easter Sales Down, What Gives?

A number of factors appear to have taken their toll on florists' holiday sales, as more than half the retail florists (55 percent) responding to SAF's 2008 post-Easter online sales survey report sales down compared to a year ago. The economy, competition from mass marketers and quirks in the calendar (early date), plus a general belief that the holiday is becoming less important and less observed are among the factors cited by many respondents to explain their lagging sales figures. Only 22 percent indicated sales increases from 2007 and 21 percent say sales were flat.

How were your sales this Easter? Please respond to SAF's e-mail which links to the online survey today! 

 
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