What should happen Next!!!!!!!!!!

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Luc

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Nov 1, 2002
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Elliot Lake
www.a1florists.com
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Ontario
Well Teleflora today matched FTD exchange rate to par with the US.

I still can forsee problems with this.
How about those stores that purchased TF product for CHristmas at the Higher price because of the exchange.

How can Canadian shop still do those arr. at the US price when the price of product is higher in Canada, labor is higher, we paid more for the product to purchase it?

I see it will be a hard sell or even to explain to our US florist why they need to sell it at the canadian SRP instead of the US price to Canada.

Luc
 
Good question Cheryl

CHERYL BAKIN said:
Luc,
we don't send a lot to Canada, but some. Can you give us some real world examples of $$ of what we should be giving you to get the order filled as shown?

We want to take of you and our customers!!
Regards,
Cheryl
Click to expand...

Good questions deserve good answers. I am not Teleflora so I can't help. Cheryl, I like your question.

Doug
 
Well here is an example

CHERYL BAKIN said:
Luc,
we don't send a lot to Canada, but some. Can you give us some real world examples of $$ of what we should be giving you to get the order filled as shown?

We want to take of you and our customers!!
Regards,
Cheryl
Click to expand...

Lets take the Teleflora Crimson Bouquet
THis would be I think the Average Canadian Price Beakdown.
I always figure the retail value first
Maybe some one from the US can do that breakdown

Calls for:

3 50c, Red Bi Color Roses x $3.50 $10.50
2 stems of Dark Spray Roses x3.25 $9.75
1 Stem of Heather $4.00
2 Stems nnoble fir $2.00
1/2 stem of oregonia $1.00
1/2 Branch of Holly Verg. more exp $2.00
1/2 stem of flat cedar $1.00
1/2 Block of oasis $2.00
5 30mm REd Glass Ball Ornaments $2.50 Can be purchased from teleflora
2 Red Glitter Candles $2.00 Can be purchased from teleflora
Crimson Bowl & Liner etc $18.00 base on CND Purchase Price of 24
Delivery charge on Crimson Bow $2.00
Sub Total $56.75
Labour 20% $11.35

Total $68.10
Teleflora Canadian Suggested Price $69.95

This tells me I am in the same area of Teleflora. Which means I need $69.95 US/Canadian + Delivery fee (which varies from $5.00 to ???) depending on town and location
So if teleflora would be on the ball. THey would send a slimcast to the US florist and let them know that if they need to send the arr to Canada, to use the Canadian Price and not the US price. THey also should be using that on their web site.
I can see many frustrated florist asking for more money if they use the US price to send to canada.

Luc
 
Luc, First thanks for the heads up on this issue.

Second, Now that the exchange rate is even, does this problem only apply to products that you prebought at higher exchange or does this apply to all products. I know that your expenses used to be off the wall, are they still?
 
First reply to Lori,

Because it cost to have the product ship to us from the USA, then handle again and ship to us, there is an additional cost to Teleflora.
Even if our money is at par or slightly higher, our Hourly rate is higher in Canada. THere is also additional cost for warehouse etc. If the product was sent directly to us it would be different. Most people think that we can drop prices like the big Box store in aheart beat. THey may be doing this with some product, but I will garantee you that there will be higher price somewhere else to make up the difference.
Also as you know, many items coming into our stores now have been negotiated months ago. Hard to bring prices down so quick when the wholesaler figure things out at a price before hand. Now, some suppliers are working with us to find some solutions.

As for Cheryl, I said $5.00 for small town delivery cost. I know of small town as low as $3.00 - $4.00. In my shop I charge min. $8.00 delivery and go from there depending on locations and towns. THe filling florist always gets full delivery and they work from the price given.

Now some of the problems we are occuring in Canada is the dual price marked on products, like Hallmark Cards, Calanders, Books, etc that comes from the USA.
People want to pay the US price but dont understand that I pay the suppliers the canadian price. Again sometime there is a middle man between those companies and they need to make something to cover their shipping, wharehouses, staff etc.
Hallmark Canada have since worked on a solution for us Canadian. All product sold in Canada will only have 1 price on the cards etc. THey are now in print and they told me that any packages of cards etc that comes through in the following shipments, the new format should be in place. THey also are giving me a discount coupon for $1.00 off per cards $2.49 and up. for about 2 months. I have been promoting this coupon alot, since Carlton Cards in Canada is offering only .50cents per cards off. I split the cost of the $1.00 coupon, but I dont mind, as I am thinking I can make more if I can sell more than my competitors.
I also have a calendar supplier who will be giving me a discount price on remaining calendars I have of their that came from the USA.
I am working on other suppliers.
I have told them that to Eliminate the problems of the dual price on product , they should not print any price and let us sticket the items to their suggested prices.
It would eliminates lots of un happy customers who thinks they are getting a bargain in the USA.
Hopes this helps lots of people to understand out problem.
Luc
 
Thanks Luc, it really did help me to under stand better...
Regards,
Cheryl

ps...since you are so "close" but yet so far away, we in the US often forget the problems you are dealing with. Thanks again for putting it into concrete terms for us.
 
I am located in NY right up against the Canadian border going to Montreal. That being said, I still don't send a whole lot to Canada. However, when we do, we usually call a shop their before sending, to get pricing. Now, with tele holiday specials, we just send tele suggested price plus delivery. Have never had a problem with this. Should we now be calling and asking for pricing on tele holiday specials? I don't want to be sending too little to the Canadian shops (or any shops for that matter)
 
Before the money came to par, your money was worth more and we could cover those charges. Now it's different, we need more form you tocover those charges and higher SRP set by teleflora.
It is a good idea to base your selling price to the SRP for Canada. or like in your case, a quick phone call and you know exactly what to charge your customer. THis way there is no hassle of phoning your customer back for more $$$$$$
Luc
 
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