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Based Business Idea
G
I F T B A S K E T D E S I G N E R:
Business
Description:
The
gift-basket business is relatively new. People have been creating
specialty baskets starting in the early eighties. Annual sales for
gift baskets totaled about $800 million in 1996, up from $700 million in
1992~~ Gift Basket Review.
This
home business is great for someone who likes to make other people
happy. It is all about sharing and receiving, two wonderful
feelings. Just being involved in the process can be
fulfilling. A gift basket design business is a specialty service
to provide unique and quality baskets that are filled with products that
you can be presented as a gift to friends or business associates.
Gift baskets are great for special occasions and themes where all of the
products in the basket are related. Many "themed"
baskets are not only beautiful but they can be quite useful such as a
"new baby" basket which includes towels, nappies, powder etc. You will design and
create the beautiful baskets for the special recipient. Your business
includes design, procurement of product, assembly, order taking and then
final shipment of product. Baskets can include anything from a few
body products to a trunk with "off to college paraphernalia",
the sky and your imagination are the limit.
Your
Unique Skills:
You will often find that a basket entrepreneur has actually been in the business
for quite some time - the only difference is they did it as a hobby. To be
successful as a business you need to funnell some of your creativity into
understanding your market and creating a series of baskets at a good price that
can actually net you a nice income once you factor in all of your
costs.
With
that being said many basket designers are truly creative types and enjoy the
design process immensely. Most people could sit all day and try to tie the
perfect bow and it would still look as though it had been run through the washer
a few times. A beautiful basket has all of the elements of quality and
style that a good designer puts into it. Your sharp eye for market trends
and understanding (listening too), your customers are what set you apart from
the competition. Once the orders start flowing in your time-management
skills will become key. This can be a seasonal business with rush orders
at holidays such as Christmas
and Valentine's Day. You will also need to respond quickly to a key client
who may need a large rush order, so you must be able to allocate resources to
meet the need.
Tools
of the Trade:
A
basket designer needs a workroom or "studio" as you can call it.
You need to have plenty of good lighting and a workbench where you do not need
to bend over or reach to far to assemble your masterpieces. You should
have plenty of storage to sort all of the specialty products that will go into
the final baskets. Spools should be installed where the ribbon can unwind
without getting tangled.
Of
course all of the materials for the final products will need to be
purchased up front so your cost in basic inventory will be high at
first. This can include baskets, and all of the specialty items
including such items as food, beauty products, garden items etc.
Remember - you cannot be all things to all people. Other items
include, containers for storage, basket wrap, and the beautiful ribbon,
heavy duty glue gun.
Just
for your basic business functions you will need a computer for keeping inventory,
placing orders to suppliers and accepting customer orders, keeping accounting
files, and processing invoices. Most designers set up online fax
ordering.
To market your business effectively your customer will need to see your
work. This can be accomplished through an online website, a
colorful brochure or taking it door to door.
Learn
the tools of the trade by training
with another basket fanatic. You can learn bow design from experience with
another master bow maker.
Cost
to Start-Up This Biz:
It can cost as little as a few hundred dollars for supplies to several
thousand depending on how you want to begin. The station can start
at your kitchen table and then evolve to a specialized workbench in a
convenient location in your home. Your computer, software, fax and
printer willl cost about $1,200+ depending on the power and upgrades you
choose. For billing software you can evaluate the products on the
market - many like Quickbooks for their small business needs.
Determine your clients needs and the scale of your
business. Corporate purchasing is typically bought in bulk and they expect
more for less.
Getting
Your Foot in the Door:
Many a successful basket business has taken off from a simple word-of-mouth
introduction into the business. Invite all of your chatty friends to an
open house and then start circulating those brochures and business cards.
Once you have gained confidence (and satisfied customers go door-to-door to
small businesses. Is there a store nearby that will take a basket on
consignment?
FYI:
A typical gift-basket purchase is made by women between the ages of 35 and 49
according to the Gift Basket Review survey. These women account for more
than 76 percent of gift-basket sales. Corporate customer come in second,
accounting for approximately 20 percent of gift basket sales.
Creative
Marketing Techniques:
What's
in a Name? Choose an attractive business name and create a logo so that
the customers can see the type of basket business you have started. For
example are you "Everything Elegant" - or "Teddy Bear
Baskets"? The name will say what type of basket you
provide.
Show
Me the Money:
A recent survey by the magazine Gift Basket Review reveals the majority
of American gift-basket designers in business at least one year boast annual
sales of $50,000 or more; approximately 30 percent enjoy sales of at least
$100,000 annually.
Other
Resources:
Books
Start Your Own Gift Basket Business...
Start and Run a Gift Basket Business
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