Gift Basket Business Information

Gourmet Cocoa Recall

December 19, 2008 --
Dorsey Marketing Inc. (DMI) of Ville St. Laurent, Quebec, Canada, is voluntarily recalling the following three G&J Gourmet Market cocoa products because these products may contain melamine:

G&J Hot Cocoa Stuffer Item 120144 (UPC 061361201444). This hot cocoa product was sold in small green and blue boxes with a backer card, candy cane and marshmallows.

G&J His and Hers Hot Cocoa Set Item 120129 (UPC 489702201296). This cocoa product was sold with 2 ceramic mugs in a brown box.

G&J Cocoa item 120126, sold in 2 flavors: French Vanilla Cocoa and Double Chocolate Cocoa

G&J French Vanilla Cocoa (UPC 061361201260). This product was sold in a small green bag with a whisk attached.

G&J Double Chocolate Cocoa (UPC 061361201260). This product was sold in a small pink bag with a whisk attached.

No injuries have been reported and only a few samples have, in fact, been found to include melamine. However, DMI is proceeding with this recall in the interest of public health and the safety of American consumers.

The above recalled products were imported into the United States by DMI and distributed nationwide to retailer Big Lots during the weeks of September 22, 2008 and September 29, 2008 and to retailer Shopko during the week of October 10, 2008.

Consumers who purchased these products are urged to return them to the place of purchase for a refund. Consumers with questions may contact Tim Acheson of DMI Monday through Friday, excluding holidays, between 9:00 AM and 5:00 PM EST toll free at 1-888-645-1053 or email recall@dmi-global.com.

Luxury Sales Fall 22%

It hit me on the head like an acorn with a sky-is-falling knock-out punch. Ouch. LUXURY sales falling -- down by 22%? It was almost beyond comprehension. Except that, like many of you, I had seen it coming, so it didn’t hurt quite so much.

For years, pundits in the gourmet industry have told us that luxury gourmet foods were recession proof. That might have been true in years past, but “luxury gourmet” is now on the shelves in supermarkets, purchased by everyday people like you and me -- who are not, unfortunately, recession-proof buyers. So-called ‘peasant sales’ pushed luxury gourmet to unheard of highs. Now, those of us who are not among the recession-proof elite, are moving back to familiar less expensive brands. Thus, the 22% fall of luxury brands.

That’s the problem with bringing “luxury” lines and merchandise to the common market of consumers. The downside to ballooning sales is the big pop at the end. Goodbye Perugina . . . hello Hershey bar.

Don't Ax the Marketing Budget!

In the minds of the retail buyer, Christmas is already over and the focus turns to 2009 production. Some retailers are considering preliminary budget cuts, expecting sales to chill a bit next year. But WHERE to cut is the biggest question. Quite naturally, advertising and marketing are on the front line for cuts.

But be careful with that ax, warns veteran business people. In a era when larger companies will most definitely cut back expenses in marketing and advertising, this is precisely when small businesses can come forward aggressively, spend a little and gain massive shares of the market through more visible advertising.

According to a survey by Epion CMO (published in DMN News) 94% of executives believe marketing is MOST vital in a troubled economy. However, 79% say the believe marketing is the first place companies cut budgets in tight financial times. This is good news for a small business owner prepared and liquid enough to make bold marketing moves next year. Here are the top reasons to consider MORE marketing in 2009:

1. Media deals and discounts will be available.

2. It will take fewer dollars to stand out in a less crowded media market.

3. Large competitors will pull back new and on-the-edge products. A small business willing to take risks on new inventory can shine like never before.

4. Consumers weary of “safe” merchandise will be seeking something new, shopping in places they’ve never gone before to find relief from the boredom of “same-safe” big box retailers.

5. Companies stepping forward in troubled times make news, and that can mean more and better free publicity.

Gallup's 2008 Holiday Forecast

Gallup's 2008 Christmas spending data suggest Americans are highly reluctant to part with their hard-earned dollars right now, and, short of possibly capitalizing on deep holiday discounts and promotions, they show relatively little enthusiasm for Christmas shopping.
In a good year, the retail industry hopes to beat the 10-year average of 4.4% growth in holiday sales. Last year it saw a below-average 3.0% rise in year-over-year sales for the months of November and December, making 2007 one of the worst holiday retail seasons in recent memory. But given the sharp decline in Americans' projected spending, this year's spending figures could easily wind up in negative territory, with November/December retail sales totaling less than they did a year ago.

Coffee Fest Dates

COFFEE FEST CALENDAR
Coffee Fest – Chicago
Navy Pier
Chicago, IL
February 20-22, 2009
 
Coffee Fest – Las Vegas
Las Vegas Convention Center
Las Vegas, NV
June 12-14, 2009
 
Coffee Fest – Seattle
Washington State Convention & Trade Center
Seattle, WA
September 25-27, 2009
 

About Coffee Fest
Coffee Fest is dedicated to the growth and proliferation of the specialty coffee, gourmet tea and alternative beverage industries. With a strong emphasis on independent retail, Coffee Fest features a complete industry wide trade show, invaluable educational programming, free-pour latte art competition, new product showcase, opening night reception, incredible special attractions and tremendous networking opportunities.  Coffee Fest Trade Shows, together with International Academy of Specialty Coffee training seminars, are produced to help coffee and tea professionals compete and prosper in their marketplaces. 
 
 

Next Big Thing

“The Next Big Thing” Finalists Announced
– National product search contest down to three companies –
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DALLAS – December 3, 2008 – Dallas Market Center, the world’s largest wholesale
merchandise resource, today announced the finalists for “The Next Big Thing” national product
search contest – Good For You Girls™, SIPATINIZ™ and Vintage Hem©. The three finalists
receive a free booth and travel to the upcoming Dallas FINDS Temp Show January 16–19, 2009
to coincide with the Dallas Total Home & Gift Market (January 14–20, 2009).

Good For You Girls, based in New Hartford, Conn., is the first 100 percent natural skincare line
that addresses the needs of girls age nine to 15 years old. The company offers a skincare kit
containing a cleanser, toner and moisturizer. All products are formulated with the purest natural
and organic ingredients that are effective and safe for young skin.

Founders Kim Grustas and Grace Havasta-Petrarca were inspired to develop the product line
while looking for products for their own daughters. Having used only natural baby products, they
wanted to continue the commitment when it came time to show their daughters the proper way
to take care of their faces. After researching existing natural skincare lines, they realized most
products contained additional ingredients that focused on anti-aging and were too harsh for
young skin. To learn more about Good For You Girls visit www.goodforyougirls.com.

SIPATINIZ, based in Rowlett, Texas, is a spill-resistant martini glass. The glasses are the
traditional shape and style of a martini glass with a design that prevents spills. The curved rim is
a practical enhancement to the iconic martini glass and allows partygoers to move around with
ease, without worrying about spills.

Renee Williams, founder of SIPATINIZ, noticed the martini was frequently the drink of choice
while attending social and business events. She always loved the sophistication of a martini
glass but hated the spills; as a result she designed a glass that she could enjoy and share with
others. To learn more about SIPATINIZ visit www.sipatiniz.com.

Vintage Hem, based in Draper, Utah, adds layers and length with slips that are meant to extend
below skirts and/or dresses. This new take on slips lets ladies enjoy the latest styles affordably
with Vintage Hem’s favorites in tulle, silk and even polka dot hems. The hems change the look
of an outfit and expand a women’s wardrobe by adding length and a little something different.

Jennifer Young, founder of Vintage Hem, always considered her stylish mother and
grandmother to be great fashion role models. From an early age, Jennifer’s mom taught her that
presentation in dress is an important detail. She wanted an option for her own wardrobe that
would enhance different looks with beautiful fabrics, colors and textures – and that was
affordable. To learn more about Vintage Hem visit www.vintagehem.com.

“The Next Big Thing” contest received more than 100 applications from various artists, product
designers and entrepreneurs depicting their unique and innovative ideas. The contest allows up-
and-comers, whether companies or individuals, to show their product(s) in front of domestic and
international retail buyers at Dallas Market Center.

The three finalists were selected by a panel of market center representatives and will receive
airfare and hotel to the Dallas FINDS Temp Show (January 16–19, 2009) to show their product
in a complimentary exhibit space (10’ x 10’ booth). This opportunity allows “The Next Big Thing”
finalists to be seen by more than 50,000 attendees during the show.

During the show the finalists will be judged by editors from trade and consumer publications.
The judges will select a winner based on the finalists’ product, trade space presentation, and
production plan. The winner will be announced on Saturday, January 17, 2009 and will win a
prize package worth more than $10,000 including exhibit space at the Dallas Total Home & Gift
Market FINDS Temp Show, June 26–29, 2009, a feature profile in one of Dallas Market Center’s
award-winning custom publications, consultations from leading industry experts regarding
branding, public relations, visual merchandising and much more.

For additional information on the contest visit www.dallasmarketcenter.com and click on “The
Next Big Thing” or e-mail thenextbigthing@dmcmail.com.



Flavor Trends

A Fresh Look at Tomorrow's Flavors
McCormick® Flavor Forecast(TM) 2009 Identifies Top 10 Flavor Pairings

HUNT VALLEY, Md., Dec. 3 /PRNewswire/ -- An appetite for internationally infused tastes, a desire for all-natural foods and a craving for favorite ingredients reimagined with contemporary whimsy are a few of the influences behind the McCormick Flavor Forecast 2009. The report, released today, takes an in-depth look at 10 emerging flavor duos poised to transform America's menus in the coming year.
"Our passion for flavor is the inspiration behind the Flavor Forecast," said Kevan Vetter, Executive Chef at McCormick. "Whether it's a mix of culturally diverse tastes -- like smoked paprika and agave nectar -- or a discovery of pure ingredients -- like mint and quinoa -- this year, we see excitement in the blending of the new and the familiar."

McCormick® Flavor Forecast(TM) 2009 top 10 flavor pairings:

1. Toasted Sesame and Root Beer: An iconic soda is rediscovered for its versatility as a cooking ingredient, paired with the bold nuttiness of toasted sesame seed.

2. Cayenne and Tart Cherry: The flavors of two superfoods -- the heat of cayenne and sweet-sour tang of tart cherry -- pack a multi-layered punch.

3. Tarragon and Beetroot: The hip pair creates a sensory feast that is anything other than predictable or restrained.

4. Peppercorn Melange and Sake: Japan's notable rice wine finds a new partner in the quintessentially French unison of multicolored peppercorns.

5. Chinese Five Spice and Artisan-cured Pork: Hand crafted artistry merges with a harmonious Asian blend to create an innovative taste sensation.

6. Dill and Avocado Oil: Mild avocado oil finds an elegant partner in clean, minty dill -- reflecting the healthy goodness that comes from pure, natural ingredients.

7. Rosemary and Fruit Preserves: Fresh-picked fruit flavors fuse with aromatic rosemary for a progressive interpretation of sweet and savory.

8. Garam Masala and Pepitas: A beautifully matched global combination of an intoxicating spice blend from India and a prized seed popular in Latin America.

9. Mint and Quinoa: Nutritious, whole-grain quinoa is taken to new heights when paired with the exhilarating, cool taste of mint.

10. Smoked Paprika and Agave Nectar: Smoky sweetness from the purity of nature celebrates a union of Spanish and Mexican ingredients.

First Time Orders


Q. I recently attended a gift trade show, and since then have asked for, and received, perhaps 50 or so catalogs covering a wide variety of products. Next week I will be ready to place my first orders to get going. My dilemma is that I have seen so many neat things I'd like that I need to reign in my desires to buy too many items. Does anyone have any suggestions or recommendations as to how I should attack my first order so that I don't end up spending too much?

A. Good question -- and one that most of us still struggle with no matter how many years we’ve been in business! Many gift basket designers start the buying process by deciding on a design or two (or three or four, depending on how much money you have to invest in your initial inventory) -- like a coffee basket and a snack basket-- then buy accordingly (just an example). Then, as you sell a few baskets and have the funds, introduce a new design -- maybe a baby basket -- and order that inventory. Also, buy items that are versatile enough to be used in several different basket themes.

Business Plan Help?

Business Plan Help?

Q. What is a business plan and why do I need one?

A. To put it simply, a business plan is a blueprint for getting from Point A to Point B in the growth and development of a company. Developing a business plan -- even a sketchy one -- is essential to building a strong company.

Business plans can be a straightforward as penciled notes on a legal pad, or so detailed, complex and lengthy they are bound into a book. Basically, a business plan is an outline of who you are, what you do, and where you want to go.

Some elements of a business plan include: A description of your products and services; your special niche; customer profile; current competitors; and goals.
Business plans usually include a budget breakout, detailing expected expenses for: advertising,rent,licenses,subscriptions,inventory, utilities, office supplies, labor, credit card fees,bank fees, equipment rental, insurance, etc.

In addition, business plans usually project sales and profits, and give marketing summaries explaining what general steps will be taken to drive sales to forecasts.

Home Business Remodeling

Remodeling for a Home Based Business
Q. HELP!! I'm going full-time with my basket business,(yeah!!!) and I'm moving it from a bedroom to the garage. I would like to keep the original garage door for loading and unloading order/shipments, but I’m concerned about losing A/C around the garage door through cracks etc.

A. There is a kit available at home centers to insulate garage doors. Works great & knocks down noise also. Basically, it's just strips of foam that fit into the frame of the door sections.

Business Registration and Insurance?

Business Registration and Insurance

Q. I am just starting my business. Do I have to register my business with the state? Do I have to get liability insurance? A. Contact the Small Business Administration office in your area for a complete ‘how-to’ guide for starting a business. You will need to get a license and tax number, plus learn about collecting sales taxes and much more. You might also contact SCORE, a group of retired volunteer business people who give FREE advice about small business start-ups etc. Good luck!

Business Name Change?

Business Name Change?
Q. Should I change my business name? Currently, it is called Creative Special Events. This was a good name when my services were event planning, balloons & florals. But now I am designing and selling gift baskets, and this service is producing more revenue. Event planning accounts for only a small portion of my sales, but balloons and florals are still strong.


A. Changing a business name is a big step and one that deserves careful consideration. Since you are making gift basket sales with your current business name, why change? Seems like you’re doing fine. Maybe you might print the different types of services you offer on the back of your business cards or under the heading of any flyers you are using...I've seen that done many times and I think it's a pretty good idea.