Identify Your Best Customers

• Individual buyers, particularly women, are one of the best customers for gift basket businesses, according to the Entrepreneur article "How to Start a Gift Basket Service" from February 22, 2001. This is because, the article states, there are more chances that women have seen, ordered or received gift baskets, and therefore, they can visualize gift baskets for their recipients even though the baskets are not right before them. Men, on the other hand, may order, but they get the idea only after they see a basket. Corporate companies are the other best customers. These companies can provide year-round business, as they buy not just during holidays but year-round to send gifts to their clients and celebrate employees' birthdays and anniversaries and achievements. So, focus more on female customers and corporate businesses.
  
  

Be Creative with Products

• Make your product offerings creative. Create gift baskets customized to a theme or occasion. Gourmet gift baskets, toiletry and bath baskets and wedding day baskets are some examples. Have gift baskets of varying sizes and prices to suit different budget needs of your clients. Have baby baskets on your product list, as these can for sure bring instant sales. There is a birth almost every minute, which means there are always baby birth and baby shower celebrations. In addition to word of mouth, another channel to increase your customer base for your baby product line is HR contacts of your corporate clients. They will be knowledgeable of expectant mothers or fathers expecting a newborn in their family, on their payroll. So, you could make a sales pitch here.
  
  

Employ Effective Marketing

• While word-of-mouth, telephone, brochures as well as direct mail and newspaper advertising are traditional for gift basket business, you could try other ways too. Best customer service is one of the best ways to market your business. Consider the example of this business owner that sends handwritten thank-you notes to existing and occasional customers as well as those that placed special orders. Schedule a day to make calls to businesses and visit those that are interested. Give them your business card, brochure and a complimentary gift basket if they are potential customers. Reward referrals with discounts or small gifts. Use direct mail to your advantage. Send postcards to your clients with information that they can use, every month. If it is a holiday month, send a postcard with gift ideas for the holiday. If it is not a holiday month, give ideas on birthday gifts or areas where you business is currently dull.
  
  

Learn What Works

• Stay abreast of what's happening in the industry and what designs are evolving so that you can attract more clients with more creative designs. Attend trade shows; you can find a list of trade shows across U.S. on Gift Basket Business World website (see Resources). Subscribe to gift trade magazines such as Giftware News and the online magazine Gift Basket Review for up-to-date information on new design trends.