Home Depot and HDLS

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BOSS

BOSS

FlowerChat Administrator
Oct 31, 2002
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Well now.... all the discussion regarding the BIG boxes... heres a few items on HD...

Home Depot opens a new store every 43 HOURS...
Hme Depot expects to sell 600K trees and 500,000,000 annuals this spring...
Home Depopt is the second largerst retailer in the US, and 4th in the world...

Home Depot is starting to open their version of the "Super Center" with 200K++ square feet, and with an additional 65K sqft of garden center.

Their new thing, the HDLS (Home Depot Landscape Supply) open in 10 stores so far geared toward Landscape designers as well as accomplished Gardeners...

Home Depot just opened 2 offices in China to source products...

Say what you will about Home Depot and the other, from a florists perspective, BUTT I would caution, that these stores are not going to go away, or change their M.O....

Like I said, what was once a seasonal low income part of their equation, has become a seasonal staple, and it is going to morph inot a year around high income part of their model.

Yes, they do rely on the grower to eat the losses (for now) but the growers like Bells Nursery that deal with them directly seem to have it figured out, and are happy to partner with the Big Boxes. On seasonal plants, their dumpage rate is so low it does not matter.
 
We have been fighting a losing battle here with the big boxes on garden center sales , only problem here is the biggest one (dominion) Loblaws dosen't have to pay for their products , they have induced a local wholesaler into running 9 centers , stocking them and paying a % of the top and being shut down again by July 1st. Last year due to a piss poor spring , we didn't get any decent weather until July 15th, it just about took this local down. Even Costco has such a deal going with a different local supplier, who also sell product on consignment in the Irving chain of gas/convenience stores. From a very good source , I was told that Dominion got stuck with 20-30 containers of soil which are still sitting down on the docks. I hope the rental fees on the containers is high, and was told by a couple of employees that they had more soil stolen from their lots than they sold, gotta love it. We have scaled back on the nursery stock we carry , just about abandoned trees & shrubs altogether. We are crunching all numbers really hard and may even quit the garden business if it keeps shrinking.
 
The mess:

Originally posted by sunny
We are crunching all numbers really hard and may even quit the garden business if it keeps shrinking.
Click to expand...

And like others too... WE MUST crunch those numbers....

Unfortunately, many will not crunch in time to save themselves... This is a very ggod example of the consolidation within the industry I have been speaking about for a yewar now...

And I still maintain, and will repeat again,... We ain;t seen not'n YET !
 
And.....

it's got NOTHING to do with the wire services either.
Those of you that "blame" FTD or Teleflora, for all that ails you, and because they compete with,YOU, for YOUR customers, it's from a survival of economics.
Our industry has morphed so fast, and so far, that those of you that haven't made "changes" by now, will NEVER CATCH UP!!
Waiting until you've hit the financial brick wall, to realize, will cost you all that you have!!
Mike
 
So BOSS, got any quick fixes or cures for the floral industry in light of all the facts that are being put forth here and the other board. What can or should a florist do these days to guard againist these large companies intruding into the floral business and taking away market share??
 
As a matter of fact, I do....

There are several ways to go...

I am in the early stages of putting together a team, of some of the most forward thinking current and retired owners in the industry...kind of a "Trauma Team"....FOR florists...

Sorry but that's all I can offer ya Griff at this point...

Stay tuned !
 
Gee, BOSS, looks like your ideas and solutions are going to be wire service oriented. Think I'll skip waiting for the book publication and wait for the movie version.
 
Originally posted by Griff
looks like your ideas and solutions are going to be wire service oriented.
Click to expand...

Now how the heck did ya get that outa what I said ??
 
Just was asking your personnal feeling about solutions, not by a committee. You and I both have been posting the problems concerning the industry on both boards and I haven't seen alot of ideas or solutions on either. Just looking to see if anyone else has anything to offer.

Watched West Wing last night. One of my favorate programs. One part of the program was about labor unions and how they wanted to have the administration put a tariff on Bras made in China because it was hurting the US labor market in textile industry. The administration countered with the fact they are currently negioting with China over buying more US made cars. They asked the union people would your union people rather have more people employed in the automobile industry or the textile industry??

Ideas through committee are great. Implimentation is another story. Hopefully you can find a couple of forwarding thinking people. I'm sorry, but I haven't seen too many lately.
 
Ah but you missed my point... much of waht I am working on, I don;t feel comfortable putting on the net just yet...

I never show all my cards until I know how big the pot is...

Gimme a call if ya want... 989-631-0470
 
"I never show all my cards until I know how big the pot is..."

Well, at least I know what YOU watch - World Series of Poker!

Sorry. Just being my sarcasitic self today.
 
Originally posted by BOSS
Ah but you missed my point... much of waht I am working on, I don;t feel comfortable putting on the net just yet...

I never show all my cards until I know how big the pot is...
Click to expand...

If you not comfortable with it now what will make it more comfortable at a later date? Does not compute..
 
Well...

Originally posted by Blue Oyster Cult
If you not comfortable with it now what will make it more comfortable at a later date? Does not compute..
Click to expand...

Just waiting for a couple more players to take their seat at the table...
 
GRIFF brings up a good point: What can we do to not just survive but prosper during these changing times? We sure are holding on tight, feeling the crunch between ever-rising expenses/overhead and flat sales. I know most florists are also feeling the economic pinch but I suspect there are a few florists still cranking out the profits and increasing their own market share. Now, what are they doing that the rest of us need to do???:confused:
 
Oh? I didn't get Invited to Dinner?...

Originally posted by BOSS
Just waiting for a couple more players to take their seat at the table...
Click to expand...


Ok, I made the FIRST MOVE amongst the FREE Movement being in this mess of WS? SUPERMARKET/BOX STORE HECK and where is this going?

The FIRST PERSON who can come up with a way to have some sort of Technology of just Trading Florist To Florist orders via the so called NON PHONE conversations without commissions and REBATES and sticking the FILLER with DISCOUNTED DOLLARS HAS MY VOTE into what FLORISTS CAN ACCOMPLISH!.

Oh wait...I'm doing that part without a Technology Sending system...the PHONE STILL WORKS! as where as, the LOCAL ORDERS are STILL GENERATED VIA THAT SYSTEM TOO! ain't that RIGHT?

What's on the MENU when we sit down and get this floral mess figured out?

PRIME RIB comes to mind.......
 
Where is this going??....

Mark doesn't have all the answers, BUT, was NOT afraid to CHANGE right away, when he saw the business environment changing!!
Notice that I DIDN'T say flower business!! ALL business is changing, and BOSS integrated "other" complimentary businesses, into his own, so that HIS customers SEE FOR THEMSELVES, that HE is leading the charge in HIS marketplace.
Things that WE started making changes to, in our OWN business up to THREE YEARS ago, are JUST NOW, starting to be "emulated" by "other" shops in our area!!
The "players" at ANY table, continue to dance to "musical chairs" and it's often difficult to get REAL COMMITMENTS from other "florists" to join the "change table"!!
Mike
 
Yes and No

I concur Mikey but I think some of those "changes" that were made have closed down for the time being...right Mark?

Now that is not a good or bad thing it's just part of the trial and error aspect in trying to be on top of the ever changing world were doing business in.
 
Yep Mikey, and not to disparge anyone, or accuse anyone HERE...

But I think "most" florists are sitting around looking at what they have today, and do not see what has/is happening, and simply waiting for the "Good 'ole Days" to return, which WE all know they are never going to do....

I'm not worried about me, or most folks here, but the industry in general, as from where I sit, I see a patient in coronary arrest without a Doctor in the house.

In many instances I feel we are witnessing the beginning of a trend, sort of a mirror of what happened to the Mom and Pop Hardware Stores, and Lumber Yards over the last 2 decades.

I propose the CONSUMER DOES NOT CARE attitude is running amuck, and until a group of like minded individuals comprised of folks from the REALflorist world down to and including the Growers at Farm Level, decide to work together for the survival of all, the trend will continue.

Yes there will always be florists, but the question remains, will they be able to do the Casket Spray on My Box when the day comes ?? Or will they be able to raise a family on the income generated from the Flower Shop ?

Unless something changes, and in the VERY NEAR FUTURE.....
 
Re: Yes and No

Originally posted by Blue Oyster Cult
I concur Mikey but I think some of those "changes" that were made have closed down for the time being...right Mark?
Click to expand...

Yup, Right....

What was I THINKING ??? Already in the second most perrishable industry of Flowers, and I added in the FIRST most with Food ???

SHOOT ME IN THE HEAD !

However, while the Cafe is closed, I am nearly finished inking a deal (considering 3 proposals) where the Cafe will re-open in May, run by someone with the PASSION for food, with NO involvement on my part, and them PAYING ME rent...

Now if I can just do the same with the flower end I'll have it made....
 
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