Online sales program aids florist, fundraisers
JANESVILLE — While Internet sales have taken a divot out of local floral shop revenues, one local florist is fighting back with an idea that helps his bottom line and those of local nonprofits, charities and booster clubs.
Tom Carlson, owner of the independent Fairview Florist in Janesville, has secured Internet domain names to help groups receive donations from online flower purchases.
Groups register with Fairview to obtain a free promotion code. The organization then promotes the new flower-ordering domains to its supporters. When the supporter orders flowers from anywhere in the world through Fairview's Web site, a donation goes back to the chosen organization.
For example, when a couple living in Florida orders flowers for delivery in Idaho, they can place the order through one of Fairview's sites and designate a $3 donation to their grandson's band at Janesville Parker High School.
The program is still in its infancy, but Carlson already has agreements with the Parker Band, ECHO and the Epilepsy Foundation of Southern Wisconsin. He's also working with other area groups.
"As far as I know, I'm the only one doing this, and it could turn out to be a big thing not only for me but also these charitable organizations," said Carlson, whose family has owned the business since 1927.
Carlson said the Internet and national phone order-takers are eating the bread and butter of the wire-order business that local florists have depended on since 1910.
"Flower order-gathering services are just phantom florists, basically brokers who do not stock flowers and may even be located overseas," Carlson said.
But he's quick to acknowledge the power the Internet has in allowing consumers to buy flowers around the clock.
"Why not harness the power of the Internet for local businesses that in turn give back to their community?" he said.
Particularly because charitable organizations are struggling along with the economy, he said.
"The organization gets a new source of donations without fees, buying inventory or having members go out on sales drives," he said.
The program also should benefit Fairview, which Carlson said struggles to recoup its expenses on Internet and wire orders.
"When an order is sent out, all the expenses are dumped on the business that fills the order," he said.
For example, a wire order placed for $100 must be filled with products valued at $100. Carlson provides $100 worth of product but also assumes several other costs, including order preparation and delivery. He also must pay a fee to the business that originated the order.
"When it's all said and done, we get about 60 cents on the dollar," he said.
ON THE WEB
Jan 8, 2009 at 3 p.m.
Suggest removal
Mr. Carlson says, "When it's all said and done, we get about 60 cents on the dollar."
Does that mean that on a $100 order the business profited $60? If so, that's a fantastic return and nothing to complain about! If, on the other hand, he's saying that he has $40 worth of costs to prepare that $100 order, then I doubt that is accurate. Cost and retail prices should not be mixed in a profit equation.
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