1800flowers brochure rev 10 27

Your florist of choiceÂŽ

1-800-Flowers.Com Franchise Co., Inc. One Old Country Road, Fifth Floor Carle Place, New York 11514 Phone: (516) 237-6000 or 1-800-503-9630 Fax: (516) 237-6060 http://franchise.1800flowers.com/ franchise@1800flowers.com

Your florist of choiceÂŽ

1-800-Flowers Franchise Opportunity A Florist Performance System

This advertisement is not an offering. An offering can only be made by a disclosure document filed first with the Department of Law of the State of New York and/or respective filing states. Such filing does not constitute approval by the Department of Law or other state agencies.

Compete More Effectively in Your Local Market

In recent years (1993-2005), “traditional floral has seen its share of consumer transactions decline... due to the growth of big box stores and general retail.” ~ Society of American Florists (SAF), “The Changing Floriculture Industry,” 2007.

How 1-800-Flowers Can Help You Use the Leading Brand Name in the Industry, While Keeping Your Own Name Market Your Store to An Immense Database of Millions of Customers Utilize Our Best Practices For Better Ways To Run Your Shop and Market to Customers

The trends in the floral industry are clear, and the pressure is high. We’ve all witnessed sales of floral products shift away from independent florists and toward “Big Box” and other branded retail outlets, and have seen a large decline in the number of retail florist establishments. In fact, according to the Society of American Florists, the number of retail floral outlets is nearly one-third lower than just under a decade ago, and still declining.

As a retail florist, of course you are interested in preserving — and better yet, growing — your business investment, while continuing to serve your customers with the quality and integrity you’ve built your business on. But how do you do so, while dealing with the challenges facing the industry today? At 1-800-Flowers, we have the solution.

The Hard Facts: Floral Industry Trends ((Source: SAF, June 2009) More retail florists are going out of business - The number of retail florists has dropped to 1977 levels, and may soon reach 1972 levels Economic pressures, market shifts, and poor business practices are creating additional pressures for small businesses More consumer purchases are moving to branded grocery stores/mass merchandisers (“Big Box” chains) Further growth of other e-commerce companies means a reduction in outbound sending from retail florists

A Fresh Perspective: 1-800-Flowers Franchising A unique and incredibly compelling opportunity to grow your business, with a level of collaboration and mutual support never seen in this industry; only available to a select number of florists across the country.

Why are we interested in offering franchises to qualified local florists?

1-800-Flowers leverages our national brand with your local presence, and creates a win-win-win scenario.

You can maximize your business potential as you tap into a powerful, internationally recognized brand and the database of millions of customers we serve each year. We offer support systems to help you build your business, including programs that are specifically designed to drive more foot traffic into your store!

And, you can receive and fulfill 1-800-Flowers online orders placed into your territory, while retaining control of your local brand and storefront location.

BRAND RECOGNITION 1-800-Flowers has a database of over 25 million existing customers.

2 out of 3 of our customers would recommend 1-800-Flowers.com to others.

We have total brand awareness of 83%, aided by memorable advertising campaigns and an unbeaten reputation for convenience, dependability, speed and broad selection.

Customers can purchase floral and other gift items they seek, whether they order online for long-distance delivery, or they stop into your shop. Customers will think of 1-800-Flowers for all their floral and gifting occasions.

1-800-Flowers can better serve customer needs that cannot be met through online channels. We understand there is no one better than the trusted, local floral shop owner for certain occasions. By adding qualified local florists to our network of branded retail stores, we will meet all of our customers’ floral and gifting needs.

Our History Jim McCann, CEO of 1-800-Flowers.com, opened his first retail floral store in 1976 and successfully built his own chain of 14 flower shops in the New York metropolitan area. In 1986, he acquired the 1-800-Flowers name. His immediate focus was to create a reliable brand name built on trust.

Over the next few years, he achieved this through the understanding of his customer base and market. The next logical step was expansion, and McCann successfully expanded his business into other retail channels — going online in 1992 and opening a web site in 1995.

Today, 1-800-Flowers.com has an incredibly well-known web site, with millions of registered customers, and maintains formal agreements with a number of online services, including AOL, MSN and Yahoo!

1-800-Flowers.com Franchise Co., Inc. has offered franchises for retail flower shops since 2002, and today our goal remains the same: to deliver smiles.

Unmatched Benefits

Compelling Business Reasons to Be a Part of the 1-800-Flowers System Brand Power. We are one of the best known brands in the floral industry, supported by tens of millions of

dollars of marketing and millions of customers generated over decades in the industry. And, we are committed to promoting our retail stores in all of our TV, radio, and other multi-media advertising.

Access to an Immense Database of Customers. As part of our franchise system, you have access to an

incredible database of qualified leads — more than 25 million proven flower buyers and hundreds of corporate accounts. Business can be directed to your store through all our database marketing channels, including e-mail, direct mail, 1-800-Flowers order confirmations, listings on the 1-800-Flowers.com website, and participation in the 1-800-Flowers.com Fresh Rewards program. Even our TV and radio ads will mention our retail stores!

Order Volume. Franchise owners can become part of the 1-800-Flowers Premier program, and receive a significant portion of all orders in their area, with no associated marketing costs.

Diversification. Become a gift store, not just a florist. Along with quality floral products, you can sell

exclusive product lines from leading companies that we own and partner with, such as Fannie May Fine Chocolates,1-800-Baskets,Yankee Candles, Cheryl’s Cookies, Popcorn Factory, and more. This means income potential from a wider variety of revenue sources.

Belonging to an Exclusive, Established Community. Florists like you tell us they miss the “good old

days,” when they were part of a community of florists. Our franchisees are a tight-knit, dedicated and motivated group of florists and professionals, who share similar opportunities, ideas and problems, and who don’t hesitate to lend an ear or a helpful hand.

Best of all, you’ll have the chance to work with and learn from our team of experts and other franchise owners, all highly experienced and knowledgeable in the best practices in retail marketing, operations, and finance.

Read on for more information about our professional support services…

A 1-800-Flowers franchise provides you with the opportunity to better compete,

to shift market share in your favor, and create a sustainable competitive advantage — while working toward a solid return on your investment.

Professional Support Services

Tools and guidance to help you take your business to levels beyond

what you can reach on your own.

Training and Education: Start-up and ongoing training,

including initial orientation and periodic training seminars — all highly valuable to even the most seasoned florist, and delivered at your store or at our new Institute of Floriology in Jacksonville, Florida. Training programs cover day-to-day operations and cutting-edge marketing advice, including search engine optimization, Internet marketing, Social Media, mobile marketing and more.

Comprehensive Operations Support: Consultations by our experts, along with a community to learn

from and a comprehensive operations manual. Our best practices guide is based on over 30 years in the retail floral business and includes input from existing franchisees to help you run an effective retail operation.

State-of-the-Art Technologies: Technological tools you need to keep your floral business competitive — and take it to the next level — from hosted websites and the new state-of-the-art BloomNet web-based Point-of-Sale systems to the all-important BloomNet wire service membership.

We have designed comprehensive business plans, step-by-step marketing plans, and will assign an individual franchise business consultant for your store. Your consultant will help ensure proper execution and implementation of those plans, and offer best-in-class advice on important aspects of your operation.

We also continually develop new tools and new ways to drive business to your store.

The support you receive when you become part of the 1-800-Flowers system includes:

Unparalleled Marketing & Sales Support: • National Marketing Power: One of the largest floral networks in the world, and a highly recognized, highly marketed national brand, known for quality, reliability, consistency. Your store can benefit from our multi-million dollar advertising campaigns on television, radio, outdoor/print, and the Internet, as well as the many efforts to market your store directly to customers in our database via e-mail, direct mail, and the Web. • Local Marketing Resources: An experienced team to help you design marketing programs for building community relationships and reaching more local consumers; plus, introductions to local corporate accounts, use of a local marketing toolkit, and sharing of local marketing best practices.

• Customized, Branded Materials: Access to an online custom print marketing portal to purchase branded, fully customizable local marketing brochures, post cards, door hangers, calendars, vehicle magnets, and more — with fast turnaround, small order quantities, and exceptional pricing.

“We understand the needs and goals of the local floral shop owner — after all, it’s how we got our start! We are fully committed to supporting our expanding network of branded retail stores, and growing together.” ~ Jim McCann, CEO and Founder of 1-800-Flowers

Selectivity & Competition. This opportunity is only available to a select few qualified florists; the best of the best. The next 1-800-Flowers branded retail store could be yours…or it could belong to another florist down the street. Contact us to see if you are qualified to seize this opportunity.

Much like running a retail business, franchising is also about building relationships and providing support.

That’s why we seek florists who share our core values, which focus on providing great customer service, valuing individuals, and an overriding commitment to excellence.

To qualify for the 1-800-Flowers franchise program, we typically look for motivated, passionate business professionals who own an existing floral business.

But above all, we look for people who share in our vision for quality, consistency, and great customer service.

We want to work with florists who are committed to serving their customers — no matter how they reach us, whether online long-distance or local walk-ins. Each customer is critically important to helping both of us build our businesses and our brands.

To take the next step toward becoming the 1-800-Flowers branded retail store in your local area, complete our request for consideration form and submit it to our franchise team. Upon review of your business qualifications, we may set up a time where we can meet face-to-face, to discuss the program, our requirements and your needs in greater detail. We look forward to productive conversations — and growing together toward a bright future.

Thank you for your interest in the 1-800-Flowers Franchise Program.

Drive more business to your store.

Shift market share.

Become more competitive.