Walmart buys FTD

[BOSS]

Well not really, but I did not want this to get confused with April FOOLS jokes...

Consider this...What does Walmart need FTD for?? They already have their own technology network, connecting each and every store to each and every other along with the home office and and all the regional distribution centers. They surely could transfer their orders amongst themselves...

Many Walmarts have Floral Departments already in place, and it would be very easy to establish them in every store, over a couple weeks time. What do they really need FTD for, other than the LOGO???

Possibility---> Walmart saw the opportunity to get into bed with FTD to test the waters as to "SAME DAY DELIVERY" sales to suplement their direct ship model already in place... then after a year or two, like they do with so many other companies they beging to turn the screws and tighten their requirements, and FTD being so hungry for the added volume continues down this path. Then down the road, once there is little choice, and the Green Group decided it's time to unload FTD again, (which we all know they will someday) Walmart already has a foot in the door, and we know they have the cash...

This could be the end of the logo for Real FLorists as we know it, leaving many a consumer looking for those same Real Florists they have come to know, and believe because of the logo were the best there is.

Remember, **IF** Wacky Wally buys FTD, you heard it here first...

And the thing is, those smarty pantZ at FTD HQ, I think have gotten away for so long with so much, I'd bet they think their smarter than Wally too... but I doubt they are... hell they don;t even see the Real FLorist Train headed right toward them...

 

[theRKF]

Agree with you - Wally's much sharper than your average business. They sure know how to bend & break the will of a supplier.

 

[Rock]

Mark, I agree completely! Wally doesn't NEED FTD but a few hundred million, what the hell! Greeny's seem to be smart in setting up this deal to entice Wally but you're right, the Greeny FTD smarty pantz will never know what hit them!
The Cancer at FTD started in 1994 and now with Wal Mart on board it's back bigger than ever! Think about it; how is Wal Mart going to keep growing their business in a few years? Since they'll have a store virtually everywhere on Earth and there aren't any Martians yet what will they do? After they buy up as many suppliers as the US government will allow them to they'll become predatory and ALL industries will be targets! Since they're now in bed with FTD we all know it is only a matter of time before a fraction of ONE of their BILLIONS is spend in buying up the few shares of FTD! After all, EVERYTHING is for sale, for the right price! Isn't it?
The FTD logo will give them instant credibility in the eyes of their customers who always think they're getting a deal. I can see it now after about 2 years of ownership of FTD; "Mr Supplier, you must remove 5 petals from that rose so you can sell it to me at 20% less" "oh yes, and shave another 7% by shortening the stem by 5 cm" "What, a frost in Columbia, that's 25% penalty!". "You want roses for 9.99 delivered 5000 kms away? No problem, we have a special florist (read sucker) who will gladly fill that order for you and we can probably (bully) them into delivering it for you free too!" (Maybe Scott will do it ).
Dam, I gotta stay off that wine!

 

[carol]

"You want roses for 9.99 delivered 5000 kms away? No problem, we have a special florist (read sucker) who will gladly fill that order for you and we can probably (bully) them into delivering it for you free too!" (Maybe Scott will do it ).
Dam, I gotta stay off that wine!

I think the real possiblity is that Walmart would love to be a big sender..but has no interest in filling any orders... so if they owned FTD they could have all their stores send orders all orders even local orders, to real florists to fill...
No question the industry is changing,,, and will continue to evolve.. thru many phases...
The sale of FTd was inevitable I guess since nothing stays static and the old FTd was governed by the 'good ole boys' to their advantage and not to the little florist advantage.. even back there was the 20/73 split and the big senders got lots of special priviledges,, like free convention everythings and lots more..

One thing Norton did do was make lots of us wake up and become business people.. or go under with all the extra 'dues/fees/'

FTD is a for profit company,, their profit.. I am trying to take from them what they offer that is of value to me.. and not use what they offer that is not of value to me..and there is a lot of value there still for me

As for carrying a grudge against them..."them" has changed so many times that it is just not worth getting upset at whoever "them" is today..

 

[Joe Mioux]

The Cancer at FTD started in 1994 and now with Wal Mart on board it's back bigger than ever!......

.....The FTD logo will give them instant credibility in the eyes of their customers who always think they're getting a deal. I can see it now after about 2 years of ownership of FTD; "Mr Supplier, you must remove 5 petals from that rose so you can sell it to me at 20% less" "oh yes, and shave another 7% by shortening the stem by 5 cm" "What, a frost in Columbia, that's 25% penalty!". "You want roses for 9.99 delivered 5000 kms away? No problem, we have a special florist (read sucker) who will gladly fill that order for you and we can probably (bully) them into delivering it for you free too!" (Maybe Scott will do it ).
Dam, I gotta stay off that wine!

Rock: I agree with you, the cancer started in 1993/4, but you over analyzed the last part.

If Walmart doesn't sell the perishable product, they don't pay for it.

I know one very very very large (top 40 of the largest U.S. greenhouses) greehouse operation where the patriarch of this business refuses to sell to Wal-Mart.

Being in the greenhouse business, I sort of have a head start on expect if and/or when Walmart adds flower departments to their stores.

regards
Joe

 

[BOSS]

I think the real possiblity is that Walmart would love to be a big sender..

Carol, why do you think they would not want to control the whole thing from Farm to Store to Home? If I might ask...

 

[Rhonda]

Carol, why do you think they would not want to control the whole thing from Farm to Store to Home? If I might ask...

It's the whole thing that Wal-Mart wants to control......The Whole Thing...
Let them pay the big fines, it does not hurt them, people are blind, buyers and their suppliers...are blind.
Enabling them is not the answer.

 

[virginia_Bob]

You are right on target

You are right on target Boss. They already have the network etc in place. It would almost be a natural for them. lol they would swallow FTD so fast that they wouldn't even burp. I do think in the long run it could be good for the real local florist. You want to take your daughter to Wally World for her wedding flowers? how about dropping in to pick out Grandmas casket spary. WE might be annoying but to the big box world and the WS we ( real local florist) are a little like a virus. We keep mutating and adapting.

:tread:
Bob

 

[BOSS]

We keep mutating and adapting.Bob

I like that !!!!!!!!!!!!!!!!!!!!!!!!!!

 

[carol]

Carol, why do you think they would not want to control the whole thing from Farm to Store to Home? If I might ask...

The hardest part of our industry is in purchasing correctly (perishables) and delivering the final product timely to locations scattered about..
there really is not a whole lot that can be computerized to tell you exactly what will be needed next week, and exactly how many drivers/miles/stops will be needed next week.. of course we all make good assumptions..but that is what they are.. I assume I am going to sell a similar quantity of Easter lilys to what I did last year, or more if I am at the top of a wire service list, or less if at the bottom, or more if Easter is early, less if Easter is later, more if another local Easter lily seller is out of business, less, if I have 2 new competitors..
but it is all assumption.. and if i guess right .. great,, if i over buy i am in trouble, ditto if i underbuy..
Walmart only pays for what it sells,, or that is the model it is going to.. so how are they going to do this trick?? Are the direct growers going to assume the liablity of assuming, then who comes in to design at the drop of a hat...could happen i guess but sure not an easy trick to pull off.. and then what about delivery??? even when you use a delivery service or co-op it is a hit or miss kind of a thing. . the person may be home, you may be able to leave it with a neighbor..
Sooooo.. why would Walmart want to take this part of the purchase cycle,, better to be the ordergather and not have to take on these liablities.. I can see my local Walmart taking the orders and then merc-ing them to me to do the hard or magic part.. and that just isn't going to happen here ,and for the florists that can or do set them selves up to be filling florists it will be a whole new world because the gravy part (sending) is gone and only the liablity or hard part is here..
I can see Walmart requiring its partners to buy from it's growers.. but I s don't see that succeeding either.
Kabloom tries that but I know of several stores that 'fill in' from local wholesalers.. to the tune of most of their purchases,, no longer buying the bulk from the kabloom depot..
It really is going to be an interesting ride if Mark's guess of Walmart buyingout FTd comes to pass..imho

 

[BOSS]

Carol..thanks

They may be better served cost effectiveness wise, by relying on the FTD model as they are now. Like you mentioned tho, regarding growers, yes they only get paid when they sell with Wally... but as many growers have an over abundance of product, they may be willing to try to play the game.

I was hypothosizing more than anything...day nightmaring if you will... at this point there is nothing on the horizon to indicate Wacky Wally will try this...however, they may have to in the long run. It has been said that if either WS was to lose 25% of their member base, they would be done...maybe Wally will be the catylist to effect this drop in membership over the long term, as other viable options come to light nd gain more credibility.

Thanks for your thoughts....mark