The April 30 acquisition of FTD by United Online, Inc. has florists speculating over what the new ownership could mean to their businesses.

"Will FTD turn more toward a direct-to-consumer sales organization, or will they try to revive the consumer-to-florist sales approach?" asks Kathy Dudley of The Bloomery in Butler, Pa.

During a Web cast with stockholders, held the day of the announcement of the acquisition, United Online's chairman, president and CEO, Mark R. Goldston, expressed his "great respect" for florists and said he plans to "find out what their needs are and find out how we can better meet those needs."

Goldston, who can't discuss the sale until it's complete in August, acknowledged during the Web cast the slow but gradual shift of the $20 billion floral market towards the Internet. He said the company's experience with its other companies such as Juno, NetZero, Classmates.com and MyPoints will help strengthen FTD. "You must remember that the Internet has become not only the vehicle for people to get direct shipments of floral purchases but it is equally a powerful vehicle for directing traffic and order flow to the thousands of FTD florists around the United States," he said.

"My first impression of the FTD sale is a good one," says Scott Kremp of Kremp Florist, in Philadelphia.  "The new owners seem to have a track record of marketing.  If they increase the consumer awareness of flowers it will help everyone."

United Online officials did reveal several goals and marketing initiatives that would put more focus on florists, including exploring TV, radio and print advertising and other ongoing marketing programs.

Goldston said United Online is also looking to enhance the retail brand presence of FTD in member florist shops and differentiate florist-delivered orders from online direct-ship ones. In addition, he says, the company plans to introduce new marketing initiatives to enhance FTD growth, which include improving direct marketing, redesigning the Web site, and an increased focus on building florist business, among others.

--Kori Kamradt
kkamradt@safnow.org

  

Next Article