1-800-flowers.com

Overview:

1-800-Flowers.com is a well-established name in the flower and gifting industry. Founded in 1976 by Jim McCann, the company expanded into a franchise model, offering both physical retail locations and a strong online presence. It specializes in flowers, gift baskets, and gourmet foods, making it a versatile business opportunity. The franchise is known for its “Delivering Smiles” motto, emphasizing high-quality products and customer service.

History:

Jim McCann started the business by buying a single flower shop in Manhattan. In the 1990s, the company recognized the potential of e-commerce and rebranded as 1-800-Flowers.com, becoming one of the first businesses to use a toll-free number for ordering. Over the years, the company expanded its product lines beyond flowers to include other gifting options. Today, it is a leader in the floral and gifting industry, with an extensive franchise network.

Investment Breakdown:

The total investment to open a 1-800-Flowers.com franchise typically ranges from $396,500 to $888,000. This includes the initial franchise fee, which is around $30,000 to $49,500. Franchisees also pay a royalty fee of 6%, which is below the industry average of 8%. The payback period is approximately 8.8 years, depending on the location, market, and the owner’s level of involvement in operations.

Industry Snapshot:

The flower and gifting industry is competitive but rewarding, especially for established brands like 1-800-Flowers.com. With a combination of physical stores and a robust online platform, this franchise offers a multi-channel approach to revenue generation. Industry demand is largely seasonal, with peaks during holidays such as Valentine’s Day and Mother's Day. The franchise's versatility in offering gourmet foods and gift baskets helps diversify income streams throughout the year.