Letter from Teleflora, Lot of bull....

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Luc

Well-Known Member
Nov 1, 2002
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Elliot Lake
www.a1florists.com
State / Prov
Ontario
When I got the letter from teleflora yesterday, I glance at it a little bit and put it aside till this wee hours of the morning to do funeral work while they sleep and have normal business hours.
There is a few things that jump out at me and here are my replies.
First, monkey see, monkey do syndrome. Why can't they be inovative and come up with a idea that would get them regonized as being the leader like they say they are. When they do things after the fact, they are not leaders in my book.

Second, "THey say that 11 million orders in our industry originate on the internet, We are determined to preserve a mojor share of these orders for our retail florists network." Who says we don't have a majority of those order now. Someone has to fill those order unless they are drop shipped direct orders. So basically they are saying too many orders are going to other wire service or order gatherer and they are loosing money on dove orders.

THird, they are making it look freaking inviting when they are paying 80% instead of 73% of the order. What a crock, 100% of the order was the right way to go. Lied to us that they would not compete with .com.

Fourth, FInd a florist is a joke by itself. WHy spend $$$$$ to promote a florist name only with address site. A site that is not even accurate either. THis is so that the consumer can find us direct? Use your brain, internet people know they can go to 411.com. or any search engine and type in the store information after and get a web site or even a phonenumber they can phone direct.

Fith, They say they are investing heavily on promoting teleflora.com and findaflorist site. This is in addition to the more than 50 millions we spend annually on national advertising to drive the consumers directly to your shop. First part of the 50 million$$$$$ FLORIST PAY IT AS PART OF THEIR ADVERTISING. What I mean is when we have to pay $99.00 to have out name listed in the t.v. guide amongs all other florist in your area. Have you checked how many names apprears in those adds? x times that and see how much they collect for the add. COuld it be that a majority of some of those advertsing dollars they say they spend, it actually our dollars.

Six, "In addition our competitors generated 10 million orders last year that by passed florists enterily because they where non-floral gifts orders or grower direct shipment." THis tell me where they are heading next!!!!! Again another lie when they said they would not to this. Don't they realize that getting order from us and giving them back to us at 80% is not helping us. It is helping them. "This is unacceptable to us- and it shoul dbe to you too. We're not about to stand by and see our members crowded out of the business they have fought so hard to preserve. We are commited to helping you fight for the orders you need to survive and thrive. That's why we make sure, first and foremost, that every order that comes thorugh Teleflora goes to a retail florist. We are behind you every step of the way; you can always assured of that." Sure they have to send to a retail florist. It is not a order gatherer that will fill those orders. It is the retail florist that controls this operation. Without us, they would not be able to fill those orders. I wonder how long it would take for them to realize that florist could cancel, refuse orders from HQ, what would happen during a major holiday.?

Lastly they thank us for our continued support of Teleflora. THey may find themselves that many many florist will no longer support them. THey may use them to their advantage, but support is going ot be hard to get from us the florist.

I am still a baby in this industry. I have made choice for my business that I thought was right for me. Pissin'g me off may not hurt their bottom line. Leaving Teleflora and go direct with another florist would create havoc in this town. Leaving One shop to receive teleflora orders would make her cripple in a few short weeks. I would then capture the 100% of the orders that belongs to me. Some may thing I am blowing off steam. Some know that when I have enough, I do what should be done.

TO Lynda Resnick, NO I am not as excited as you are about the promise that 2005 holds for all of us.

There is many other ways to get me excited and this annoucement is not one.

I remain, a hard working florist for the Real People

Luc
 
Luc, very thoughtful response ! WELL said!

And you are right, there is little to no difference these days between the BIG2, and that difference will continue to grow smaller. I also, look for Teleflora to add direct ship, and gifts to the site once December first rolls by...they really have no choice since they have chosen to compete. I too thought they were different...but alas...

Regarding Lynda's promise for 2005...she is right in her thoughts that 2005 will be the year, but wrong in the thought that it will be for Telelfora and its members...it will be for the Real Florists of the world, one of which you ARE, and it will have nothing to do with either of the BIG2
 
Luc, may I share your comments with my fellow florists at our next association meeting?
 
The Letter for those who have not seen it

November 6, 2004

Dear Teleflora Member,

For more than 70 years, Teleflora has been at the forefront of
generating orders for retail florists. From the Dove Network and
Teleflora Technologies to "Flowers in a Gift" and National
Advertising, we are proud of Teleflora's constant innovation over the
years – and the business this brings to our members.

Over the past couple of years, we have noticed the same thing that you
have - customer habits have changed and we all must change with them.
Flower shops once relied primarily on walk-in orders; today the vast
majority of orders are taken over the phone. And now, the Internet is
increasingly a way that consumers want to buy flowers. Already, 11
million orders in our industry originate on the Internet. We are
determined to preserve a major share of these Internet orders for
retail florists and for our network. We will do this with two new
initiatives:

* Teleflora.com is our consumer shopping site that uses a retail
florist for every purchase. As the industry leader, we are going
against industry convention by giving the retail florist 80% instead
of 73% on every incoming order.

* Teleflora's findaflorist.com is our new online directory of all
Teleflora neighborhood florists, including the 11,000 members of our
eFlorist programâ„¢. Through findaflorist.com, customers will come to
you directly and transact with you just as they do with eFlorist
today.

To assure the success of these two powerful online marketing tools, we
are investing heavily in online advertising for both teleflora.com and
findaflorist.com. This is in addition to the more than $50 million we
spend annually on national advertising to drive consumers directly to
your shop.

Last year, floral industry sales grew by $900 million while retail
florist sales declined $600 million – that's $1.5 billion that did not
go into the pockets of retail florists. This was the first time in at
least ten years retail florist sales went down. In addition, our
competitors generated approximately 10 million orders last year that
bypassed florists altogether as non-floral gift orders or grower
direct shipments.

This is simply unacceptable to us – and it should be to you too. We
feel it is our duty to help our members fight for these orders,
especially when up to half of them are leaving the industry. That's
why this shift in Teleflora's business includes a retail florist for
every purchase. It is essential for the long-term survival of retail
florists as well as our own company.

On behalf of both of us as well as Teleflora's hardworking employees,
we want to thank you for your continued support of Teleflora. We hope
you will join us in embracing our exciting future together.

Sincerely,
Phil Kleweno
President

Tom Butler
CEO Chairman
 
I forgot to mention in my previous comment that in a conversation with a salesperson from TF yesterday that she stressed that we florists could drop ship the Spode tree and not have to wire it out the order. She also mentioned that for Mother's Day, there will be another similar thing, a topiary perhaps? The new materials for winter have not yet arrived at my shop, so I cannot be more specific. Anyway, alarms sounded so loudly in my head that I could not take in all that she was saying...just had to get off the phone and try to breath normally again.
 
Connie Baker said:
a salesperson from TF yesterday that she stressed that we florists could drop ship the Spode tree and not have to wire it out
Makes sense to me...thus you realize the 100% sale over the 20% you would recieve on a wire...
 
Good post, Luc. It was almost verbatim what Gudrun and I were saying in the office yesterday. I'm waiting for them to try and send proflowers orders through this mess - if they do, well, it will be the straw.

Spare me the promises, it's all castles in air.
Audra
 
Glad I chose wisely and dumped TF last year! Reading between the lines of various "corporate" messages and their cloaking and refusing to reveal who orders were really coming from over the last several years left me with an uncomfortable feeling that I couldn't really trust them (I guess it came from experience). They are just like Avis; really at best a "#2" who'll never be better; and they may try harder (like Avis) but only in a hedonistic way.
Luc, maybe the best way to get rid of your competition is for you to dump TF asap and let them fill TF's orders and put themselves out of business.
When you think about it, with TF having more members so those shops' orders are really decided - going through TF instead of FTD - their move to capture those elusive lowball internet orders that FTD and TF want (for the 20-27% since they'll make money on them whereas the florists won't) is really a smoke screen! Those internet orders that they're chasing (don't forget lowball) will do NO florist any good, only the gatherer getting the 20% etc. If someone doesn't re-develop the emotional value that "Nicer" (read more expensive than the cheapest) flowers give then it becomes just a chase for every last dollar. Look at Walmart, their dirty little "secret" is that to appear the "Best value" they have to keep giving cheaper prices "Always" or they'll lose the biz and to give the lowest prices "always" they have to take a perfectly good product and bastardize it until it becomes a shell of it's former "being"; the ultimately take all the value out of the item by cutting corners, making it slightly smaller, thinner, etc etc . Sounds like the way these big corporations are taking the flower business, doesn't it?
 
Connie,
THe more people know and educated on what is happening, the more problems they will have.
GO right ahead and have fun with it.
Luc
 
Since I had fun with one of FTD's memos here, please allow me to interpret that above message in a similar spirit. (Note: some of the text was abridged for brevity.)

Dear Teleflora Member,

And now, the Internet is increasingly a way that consumers want to buy flowers. Already, 11
million orders in our industry originate on the Internet. We are
determined to preserve a major share of these Internet orders for
retail florists (to fill at slave labor prices). We will do this with two new
initiatives:

* Teleflora.com is our consumer shopping site that uses a retail
florist (as bait) for every purchase. As the industry leader, we are going
against (everything we promised our members and) industry convention by giving (huh?) our (loyal subjects), the retail florist, 80% instead
(of the 100% you got last week).

Last year, floral industry sales grew by $900 million while retail
florist sales declined $600 million, that's $1.5 billion that did not
go into the pockets of retail florists (in addition to the millions in commissions we allowed order gatherers to collect masquerading as local florists). This was the first time in at
least ten years retail florist sales went down (since consumers have lost confidence in sending floral arrangements after being duped out of fake delivery and shipping fees.) In addition, our
competitors generated approximately 10 million orders last year that
bypassed florists altogether as non-floral gift orders or grower
direct shipments (so clue in that this may be our next move).

This is simply unacceptable to us and it should be to you too (Oh, you have no idea.) We
feel it is our duty to (help ourselves to your profits) since our (order gatherer) members fight (so deceptively) for these orders (and we see all those dollars as a potential windfall),
especially when up to half of them are leaving the industry (going to India). That's
why this shift in Teleflora's business includes a retail florist (shafted) for
every purchase. It is essential for the long-term survival of retail
florists as well as our own company. (What have you been smoking?)

On behalf of both of us as well as Teleflora's hardworking employees (who now dread visiting shops or answering their phones),
we want to thank you for your continued (journey towards life-)support hastened by Teleflora. We hope
you will join us (as we) embrace (you from the back side).
 
Regarding LUC forth item, the Findaflorist.com, this is what I believe (and I am pretty simple minded) happened to get to this point. In a conversation with the owner of www.locateaflowershop.com because of an ad change, he had stated that he was getting a lot of referals from Teleflora. What he said was happening was that suddenly getting calls from the Teleflora florists (mainly the ones from the Teleflora rep required phone-a-thon last fall) that were reviewing their orders revenue vs Teleflora costs for their Teleflora website and were calling in to Teleflora to complain. Teleflora's first question to the florist was did you list the site with a florist directory (ie kind of indicating it was their fault?)? Most (if not all) would answer no, so they would would mention the above web florist directory (maybe ilocal also, I did not ask Mary Lou). If these florists did not get any more activity, Teleflora was going to loose their $60/month plus per order cash cow. Now they just decide to buy themselves a website and a placement with a pay-per-click florist directory game instead of loosing business that they were refering to someone else. Makes me wonder what Teleflora paid Jeff Forrest in Fairfax VA (registered owner of findaflorist.com) for this site.
 
Just got to throw this in the mix. Talking today from one of my friends from floralsource, he had 2 members call him to tell them they were going to quit eucause - get this - teleflora has raised the percentages and is now going to be giving 80% on wire orders!!!

read the "press release" and you'll see how this COULD be interpreted, and you know this wasn't by accident.

But how many are going to think this?
 
bloomz said:
Just got to throw this in the mix. Talking today from one of my friends from floralsource, he had 2 members call him to tell them they were going to quit eucause - get this - teleflora has raised the percentages and is now going to be giving 80% on wire orders!!!

read the "press release" and you'll see how this COULD be interpreted, and you know this wasn't by accident.

But how many are going to think this?
Wondered who'd be the first to see that one....Good job JB you may move to the second row, not the front please, your not quite all the way there yet...

And you know the timing thing, as always, right before a major season when most florists won;t read it anyway, maybe until January!

Thing I like about it tho, is that it is focusing everyones eyes on the prize, and finally the debate about which WS is better is gone, they are equals, and maybe now the FLORAL ARMY of MANY will finally UNITE!
 
One of the points I found interesting from my chats with people at Teleflora is that part of the motivation here is that they don't feel Teleflora members are doing a good enough job at capturing the internet market.

"If you can't do it, we'll do it for you and you can pay us for helping you."

Well, to me that sounds far too close to "I think In Bloom magazine is a great idea, so you're going to have to trust my gut instinct on this one." Congrats, Tom Butler, you now sound just like Bob Norton.

Ryan
 
Infinite said:
One of the points I found interesting from my chats with people at Teleflora is that part of the motivation here is that they don't feel Teleflora members are doing a good enough job at capturing the internet market.

"If you can't do it, we'll do it for you and you can pay us for helping you."

Well, to me that sounds far too close to "I think In Bloom magazine is a great idea, so you're going to have to trust my gut instinct on this one." Congrats, Tom Butler, you now sound just like Bob Norton.

Ryan
Ain't that the truth Ruth! Except Bad Bobby told ya he was gonna do it, then did it...
 
Infinite said:
Part of the motivation here is that they don't feel Teleflora members are doing a good enough job at capturing the internet market.

Amazing. To get members 'found,' any one of the following would do the job better than this latest scheme:

1. Build the shop templates in a 'search engine friendly' format with better and more relevant interior linking and include more text. The current template structure of dynamic pages is not well-liked by Google and does very, very poorly in their SERPS.

2. Build a true, search engine spiderable directory which includes shop addresses and phone numbers and provides out-bound links to each site. Again, the dynamic generation of the old TF.com made it easier for programmers, but tougher for search engines.

3. Shut down the affiliates that masquerade as local florists, claim 'free delivery' and fail to pass on delivery charges.

I agree that most TFshops need to do a better job of customizing and promoting their own sites, but even when they do, they still have to compete with the Overture, Adwords and SEO'd-to-the-max deceptive listings claiming 'local florist' and 'we service' and 'free delivery.'
 
"If you can't do it, we'll do it for you and you can pay us for helping you."

10,000 hosted sites x $60 per month x 12 months = $7,200,000.00 plus $1.95 per order placed.

OTOH, these two latest fee increases, which became effective before we even knew it, (Nov. 6?) will raise about $10 million over the next year.
 
This letter is just making is EASIER for us to continue on with our plans to DROP Teleflora.

After 30+ years with TEL, we will probably be out by the end of the year.

Our main reason: the Costs. Dove is now way out of line. Directory ads are way out of line. New fees, reciprocity fees (ours was over $300 last month alone...)

Need I say more. And, you know what? We will NOT hesitate to suspend the Dove over C-mas...as many of you will as well.

- H.
 
The Letter......

yes, received THE LETTER form teleflora.... hmmmmm, funny I didn't get any letters from them (except a statement or trying to sell me something) until i contacted them about cutting the service. Why was it i needed to sray connected until the first of October??? oh yes, now i remember, the new books have already come out. huh?:dunno:
 
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