Household Name Gets into Gift Baskets
Did you read in a press release yesterday that Martha Stewart just launched a gift basket line through 1-800-Flowers? I found the news here.
Well-known people can lend their name to practically anything, and because of that name recognition and distribution chain, the product will do well.
Just read the descriptions of some of the basket themes. Take this one for example.
“The French Country Gift Basket features traditional goodies from the countryside, with dry-sausage, fine cheeses, mustard, a selection of jams, and pleasantly tart cornichons.”
Your gift basket descriptions can read as deliciously as that, too, or perhaps your customers appreciate another type of description. Your sales tell what’s working and what’s not.
One challenge for you in 2009 is for your business to become a household name in your community. Every time someone thinks of giving a gift basket, it’s up to you to have your business name be synonymous with the product.
As you achieve this, no other well-known name will matter.
What do you think about the Martha Stewart gift basket line? Do you see it as a challenge to your business or a way to boost gift baskets’ recognition worldwide?
Six Ways to Capitalize on New Competition
Attention Niagara County, New York gift basket designers!
On November 10, a new competitor will open their doors with a ribbon-cutting ceremony at Harrison Place in Lockport.
Read the story here, even if you’re not in that area, as the same type of story may appear in your local newspaper in the future.
It’s important to know all competitors, even if they’re not exactly similar to your firm.
For example, Costco and Sam’s Club sell gift baskets. Here’s an article about Costco and my take on their them being a competitor.
Your operation may not be as large, so in that case they’re considered an indirect seller.
If you’re homebased and learn that another local homebased business is in operation, they are considered a direct competitor, going after similar targets in the same manner you market.
If I were in the Lockport area, I’d:
These are a few of the proactive methods available to you when a competitor makes their grand opening public.
Isn’t this “can do” list better than burying your head in the sand, wishing that it was you who was hosting the event?
What was your plan the last time you learned about a competitor, and how did you carry it out?
9 Ways to Check Your Gift Basket Competition
Whether you’re new to the gift basket industry or a veteran designer, you’ll either be: 1) the new competition that existing retailers watch, or 2) a veteran retailer watching the new competitor.
How to Start a Home-Based Gift Basket Business includes a chart to document everything you find out about the town newbie. Here are nine ways designers tell me they spy:
1. Call to ask theme questions or to learn if the phone is manned by a live person or machine.
2. Enter the store posing as a customer (supermarket executives do this all the time at new supermarket openings).
3. Send a friend or family member into the competitive shop for a look around.
4. Attend the grand opening or open house event.
5. Pay a college student to monitor the store’s walk-in traffic on a weekday and weekend day. Read more
Ask Questions Before You Begin Designing
Asking your client questions about each recipient is crucial during the presentation.
As soon as the client says “yes” to your suggestions, it’s time to begin learning all about the person who will receive the gift basket.
One customer who ordered from me last year is the director of a day care program. She purchased 25 gifts housed in red drums, one each for members of her staff.
I asked her about each person’s age, marital status, favorite colors, and allergies. She knows their preferences and was able to provide me with answers in order to customize each gift perfectly.
The containers were similar, but each design was unique. Everyone shouted with joy when they saw their special gift.
When you get the order, ask as many questions as possible about the recipient so that you not only fulfill the first order but continue to be the client’s gift provider.
Ten Steps to Become a Successful Gift Basket Designer shares more helpful hints to satisfy every customer.
How to Learn More About Local Competition
Are you located in the Buffalo, New York area? Then news about a Canadian-based gift basket company that’s coming to Lockport is news to know. A short article about the lease signing appeared in The Buffalo News.
“Community Development Director William J. Evert said the tenant will be assembling gift baskets there. It will begin with 3,564 square feet, with the option to increase that area to about 10,000 square feet.”
Information about competitors doesn’t always appear in the newspaper, but when it does, it’s vital for you to read it.
You can find this news the same way I do – by subscribing to Yahoo! alerts. Here’s how.
1. Learn how to set up your alerts through this Yahoo! link, which will take you to their frequently-asked questions area, a section I encourage you to create for your site in this post.
2. Look for the question, “How do I create an alert?” and click on the link.
3. Create your own alerts on gift baskets and other topics that relate to business in your region. For example, if I want alerts about gift baskets in Butte, Montana, I’d set up alerts for:
Use the symbols suggested by Yahoo!, whether it’s quote marks around words or the plus sign between words, to receive Email alerts to your exact specifications.
A similar alert system is available through Google. Subscribe to that one as well, as each search engine uncovers different stories.
How would you proceed if you received an alert similar to the one about the gift basket company that just signed a lease agreement? I’d:
1. Visit the facility to learn if it’s a retail or commercial space (will they sell gift baskets there in a retail environment, or is it a space where they’ll make gift baskets and ship them worldwide?).
2. Research the company online to learn more about them (you can do that because you have the company’s name and Canadian headquarters’ information).
3. Set up a meeting with the community development director or designated assistant to learn more about the company.
Does the last step make you nervous? Consider what might happen if you don’t learn more about this company. In other words, are you ready to go back to working for someone else, because that’s what may happen without this research.
Create a reason for the meeting.
Do what’s necessary (within the law) to learn about the competition.
The bottom line is that you deserve to know what’s happening in your community, especially if it will impact on your profitability.
When you set up Email alerts, you’ll have access to competitive information when it makes the news. Arm yourself today with this free resource.
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