This Valentine’s Day, 1-800-Flowers.com expects to deliver “more than 18 million stems,” says CEO Chris McCann. He declined to give actual sales projections.
Valentine’s Day is on a Friday this year, which McCann says is a good thing. “Having that full week to grab that demand is a benefit. So, Thursday and Friday are the better days for Valentine’s Day,” he says.
To better serve its shoppers that come through via desktop or the mobile web, the flower retailer revamped its website and added new features to the mobile web. “These enhancements are part of our ongoing commitment to continually elevate the shopping experience for our customers,” McCann says.
Over 2019, 1-800-Flowers.com increasingly noticed that more shoppers came from mobile. Thus, McCann estimates that 45% of its revenue leading up to and during Valentine’s Day will come from mobile shoppers, with 65% of traffic to 1800Flowers.com coming from mobile.
“With customer engagement continuing to grow on mobile devices, we wanted to ensure these shoppers have a rich experience,” he says. “As new and existing customers experience all the ways we are making it easier and more convenient to shop with us on-the-go, we expect this number to continue to grow.”
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On its mobile site, the retailer added product visualization tools, which allow shoppers to preview Valentine’s Day arrangements in 3D from all different angles. Shoppers can then tap the AR button at the top of their screen and place the flower arrangement in their own space using their mobile device’s camera via augmented reality.
“The new 3D and augmented reality product visualization tool helps shoppers… better understand the size and other specifications of our products, ensuring they select the perfect gift for their loved ones,” McCann says.
To develop the AR tool, 1-800-Flowers.com relied on a mixture of in-house expertise and technological capabilities of its third-party vendors to build, launch and iterate on new features, McCann says without naming the vendors.
“Our team did a phenomenal job in collaboratively building this [AR and 3D] capability and enabling us to… offer this tool to consumers,” he says.
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Also, 1-800-Flowers.com added a Gift Finder tool to its mobile app. Shoppers can use a drop-down menu to tailor flower arrangements and gifts, such as gifts for a relationship, birthday, anniversary and more, and add the delivery address and preferred date for the gift’s delivery. The Gift Finder tool is also available on its website and mobile website, prominently placed at the top of its homepage.
Plus, its redesigned progressive web application (PWA) desktop site loads faster and has a full-width display, compared with its previous site that was more condensed, McCann says. PWAs are specialized mobile web pages or websites that act like mobile apps and don’t have to be installed by consumers the way apps do.
Last year before Valentine’s Day, 1-800-Flowers.com added SmartGift. The tool allows shoppers to purchase a gift from 1800Flowers.com and then the recipient receives a message via email or text that the gifter sent her something. The recipient can then view the item the gifter selected. She can then decide whether to select something else, as well as where and when to have it delivered. This ensures the recipient likes the gift she receives, and it arrives when it is convenient for her. The tool is good for last-minute shoppers, McCann says, as the recipient knows she received a gift on the holiday, even if it is delivered later.
“We’ve received extremely positive feedback on [SmartGift], which has become highly popular among our shoppers, as it empowers the recipient within the gift-giving process,” McCann says. The retailer plans to continue updating the SmartGift feature but did not reveal specific plans.
The flower and gifts retailer also reported its earnings last week. 1-800-Flowers.com Inc.’s total revenue for its fiscal second quarter 2020 ended Dec. 29, 2019 increased 6.0%, reaching $605.6 million, up from $571.3 million in the comparable period last year. 66% of its revenue for the fiscal second quarter was from repeat customers, McCann said on an earnings call transcribed by Seeking Alpha. Plus, the average order value was up 1% for the fiscal second quarter, the retailer reported.
For fiscal 2020 year-to-date, the retailer’s total revenue increased 7% to $792.9 million, up from $740.8 million in the comparable period last year. It did not break out exact ecommerce figures.
1-800-Flowers.com Inc. is No. 79 in the 2019 Digital Commerce 360 Top 1000.
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I am an expert in e-commerce and digital marketing, specializing in the online retail industry. My knowledge is based on extensive research, industry reports, and staying up-to-date with the latest trends and developments in the field. I have a deep understanding of how companies leverage technology and innovative strategies to enhance the customer experience and drive revenue growth.
Now, let's delve into the concepts used in the provided article about 1-800-Flowers.com and its preparations for Valentine's Day:
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Valentine’s Day Sales Projections:
- The CEO, Chris McCann, mentions that 1-800-Flowers.com expects to deliver "more than 18 million stems" for Valentine's Day. While actual sales projections are not provided, this gives us an idea of the scale of their operations.
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Impact of Valentine’s Day Falling on a Friday:
- Chris McCann highlights the benefit of Valentine’s Day falling on a Friday, providing a full week for demand to build up. According to him, Thursday and Friday are particularly strong days for Valentine's Day sales.
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Mobile Shopping Trends:
- 1-800-Flowers.com observes a significant increase in mobile shoppers, estimating that 45% of its Valentine’s Day revenue will come from mobile users. Additionally, 65% of the website's traffic originates from mobile devices.
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Website Revamp and Mobile Features:
- The flower retailer revamped its website and added new features to enhance the shopping experience for desktop and mobile users. This includes product visualization tools on the mobile site, allowing shoppers to preview Valentine’s Day arrangements in 3D using augmented reality.
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AR and 3D Product Visualization Tool:
- The mobile site introduces an augmented reality (AR) tool that enables users to preview flower arrangements in 3D and place them in their physical space using their device’s camera. This tool aims to help customers better understand the size and specifications of the products.
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Gift Finder Tool:
- 1-800-Flowers.com added a Gift Finder tool to its mobile app and website, allowing users to customize flower arrangements and gifts for specific occasions. Customers can choose delivery addresses and preferred delivery dates.
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Redesigned Progressive Web Application (PWA) Desktop Site:
- The PWA desktop site is redesigned for faster loading and features a full-width display. PWA is described as specialized mobile web pages or websites that act like mobile apps, offering a more seamless experience.
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SmartGift Feature:
- Introduced last year, SmartGift allows shoppers to purchase a gift and send a message to the recipient, who can then choose the item and decide on the delivery details. This feature is designed to empower recipients in the gift-giving process and has received positive feedback.
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Earnings and Financial Performance:
- 1-800-Flowers.com Inc. reported a 6.0% increase in total revenue for its fiscal second quarter of 2020, reaching $605.6 million. Repeat customers contributed to 66% of the revenue, and the average order value was up by 1%.
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Future Plans:
- The company plans to continue updating the SmartGift feature, although specific plans are not disclosed. It remains focused on enhancing the customer experience and driving growth in the digital commerce space.
This information demonstrates 1-800-Flowers.com's strategic approach to leveraging technology, mobile trends, and customer-centric features to optimize sales during Valentine’s Day and beyond.
