In the gift industry, the internet is steadily increasing its presence and internet generated revenue is accounting for a higher percentage of sales over time. The same is true of the more recent trend of mobile e-commerce. In order to verify this assertion I reviewed the financial documents provided by 1800flowers.com on their website. In the 2015 financial statement they describe the industry as a highly fragmented $30+ billion market. (1800flowers.com, Inc, 2015, p. 4) With a market share of $1.121 billion, they are well placed as the leader in the industry which made them a natural choice to be the subject of this research. Interestingly, it is only in the years prior to 2007 that they separated online from telephonic orders in the financial statements. In the interests of accuracy I have therefore chosen to present only the sales data from those years. In subsequent years they combined these two sales categories into a more generic category, which they define as ecommerce. Below are their sales figures (in thousands), showing the total net revenues, the online revenues and the percentage calculation. …show more content…
Year End Ttl Net Revenues Online Revenues Percentage 7/2/2006 $ 781,741 $ 430,285 55.04% 7/3/2005 $ 670,679 $ 360,902 53.81% 6/27/2004 $ 603,978 $ 307,470 50.91% 6/29/2003 $ 565,618 $ 265,278 46.90% 6/30/2002 $ 497,205 $ 218,179