Business Overview

Many occasions call for a gift, but people often struggle to find the right present. Even those who have an idea of what to get sometimes don’t have time to go shopping.

Gift basket services make purchasing and giving gifts easy. They provide both standard and customizable baskets that are appropriate for many different occasions. Many also make the actual giving of the gift simple by providing shipping or delivery options.

Who is this business right for?

Anyone who likes giving presents and is creative may be well-suited to run a gift basket service. A gift basket service can be started as a part-time business and, by shipping baskets, be coordinated around other obligations.

What happens during a typical day at a gift basket business?

A gift basket service owner spends most of their time helping customers select or assemble gift baskets, assembling baskets, and shipping or delivering baskets. Other tasks include administrative duties, such as managing the business’ finances and placing orders for additional products to include in baskets.

What is the target market?

A gift basket service makes money by charging customers for gift baskets. Most gift basket services offer several different baskets.

How does a gift basket business make money?

Gift basket services have two ideal customer types. First, affluent individuals who have demanding jobs will sometimes order gift baskets for holidays and special occasions, because they have discretionary income to spend on gifts but little time to spend finding them. Second, companies often order gift baskets for events and as client gifts. Large companies that order gift baskets often need them on a somewhat regular basis, which can provide a regular source of revenue for a gift basket service.

What is the growth potential for a gift basket business?

A gift basket service can be a solo operation or a national chain. Many large gift basket services either operate through a franchise structure or sell exclusively online.