Gift Baskets, Inc.
Going the corporate route: how to attract, retain, and expand a commercial client base.
By Sarah Mandel -- Gifts & Decorative Accessories, 7/1/2003
For gift basketeers, landing a corporate account is like manna from heaven. A healthy corporate order usually means multiple baskets, as opposed to the single unit a private account usually entails. If the client is pleased, they'll likely make future orders, and may even refer you to other businesses. And there's the possibility that the recipient of the basket will become a private customer.
Approached correctly, corporate client expansion will be limited only by how much business you can handle. Just ask Pam Newell of Baskets To Go in Canton, Ohio. Her 26-year-old company has turned 62 percent of its corporate Christmas basket recipients into private customers. Twenty percent of its accounts are private and were acquired through commercial accounts. "We grow constantly," explains Pam. Her recipe for success is, "Service, follow-up, and pizzazz. You've to give customers something they can't find at K-mart or the grocery store," she says.
Five years ago, Karen Prilaman inaugurated Meehan's Gift Baskets in San Diego by inviting everyone she knew to a holiday open house. She'd prepared 125 baskets and scattered them throughout her home. Although each basket was priced, guests weren't under any pressure to buy anything; Karen just wanted feedback.
In less than four hours, every one of the baskets had sold. Soon, business began to trickle in, and eventually Meehan's landed the San Diego Padres account. Despite the fact that Karen's average basket is $75 (her most expensive sells for more than $400), her business has doubled every year since she launched.
Getting startedThat's not the only way to start, however. "Call the people that you're already working with, tell them what you have, and go after that kind of business," recommends Richard Cain of Epicurean Adventures/Baskets911.com. Memphis-based Cain says that doctors, insurance agents, realtors, attorneys, and mortgage brokers all make excellent clients.
Cain also cites the Chamber of Commerce as a great client source. In his search, he selected the smaller Germantown, Tennessee, chamber instead of Memphis because in Germantown he was a "bigger fish." Cain signed up to serve on several committees at the chamber, and now, because he is a familiar face, when customers call up asking for a gift basket recommendation, they always get his name.
Customer relationsIt almost goes without saying that the most important ingredient in attracting clients is outstanding product. Items such as luggage, backpacks, totes, purses, stacking boxes, cookie jars, and pails raise perceived value and allow for additional creativity. (Actually, the phrase "gift basket" is something of a misnomer. In fact, only 10 percent of Meehan's Gift Baskets clients receive a basket in their "basket.")
Once you've connected with your customer, you've got to turn on the charm. Richard Cain lets them taste samples of foods he wants to include in his baskets. This gives him a chance to broaden sales by exploring the nature of a client's business and suggest additional gift basket occasions they may have overlooked.
Everyday employee relations — new hires, thank-yous for a job well done, congratulations for a baby or a marriage, or a sympathy care package — create almost infinite situations that can call for a basket. Karen Prilaman sells Thanksgiving baskets by reminding clients that it's a great time to let employees know how thankful they are to have them.
Pam Newell takes a slightly different tack with her Welcome Kits. Anyone who places an order with Baskets To Go receives a package containing a catalog and a $5 coupon valid for 20 days. If Newell doesn't hear from them, the client receives a call on the thirtieth day. "We ask, 'Was your service okay? Is there something we can help you with individually?' And usually that turns into another sale, and we give them another ten days to use their coupon." Baskets To Go also gives coupons to anyone who refers another customer.
Service, service, serviceTo build a lasting relationship, do your homework. Kaye Snyder runs Emaline Brook Specialties in Lexington, North Carolina. One of her corporate accounts places emergency room doctors in hospitals around the country, and the client wants baskets waiting when doctors fly in for interviews. In preparing the baskets, Snyder tries to find out something about the doctor, such as if he or she is married or has any children. If so, Snyder will include something appropriate. Whenever possible, she also tries to get the client to fill out a form listing details on the recipient, such as favorite colors and foods as well as any allergies.
To set his baskets apart, Cain uses the client's logo to create a gift card. And because clients tend not to think of what they want on the card, Cain makes sure the message is as polished as the basket. "When we ask people what they want on the card they say, 'Gosh, I hadn't even thought of that,' " he says. "That's part of our service." Cain also offers to inventory any leftover product that has a client's logo or name on it. That makes them more likely to call him when they're ready to order another round of baskets.
For Karen Prilaman, the client is king. "The business is there, it truly is there if you're willing to go the extra mile," she explains. "I go out of my way to make sure that the client gets everything they want. If they have something in the office I'll go and physically pick it up, even if I'm not making any money for it."
She also emphasizes the importance of listening and being flexible. "If my client wants cutesy, they get cutesy," she says. "I'll make a couple of mock-ups, and if they don't like them, I'll take them back and do them again. I find that the more you cater to them, the more business you get."
Finally, a thorough follow-up will make your clients feel pampered, leading to even more business. Newell sends a survey to each gift basket sender, checking back about every six months to see if there's anything they need. Kaye Snyder builds client relations with a follow-up call to make sure the client was pleased, noting, "You just can't buy word of mouth."
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