McCann said overall revenue growth for the first quarter was “in line with our expectations on a comparable basis, adjusted for the early shipment of wholesale gift basket orders in the prior year period. In this area, it is important to note that we have seen a year-over-year increase in orders from key existing and new customers for our wholesale gift baskets, with deliveries shifting into our current fiscal second quarter. As a result, we anticipate a positive year-over-year contribution from this business, both top and bottom line, for the current fiscal second quarter and for the full year.”
McCann also pointed out that the fiscal second quarter – which includes the year-end holiday period – is the largest in terms of revenues and profitability for the Company’s Gourmet Food and Gift Basket category. “As we head into the holiday season, we plan to expand our cross-brand marketing and merchandising efforts through our multi-brand website, leveraging the strength of the 1-800-FLOWERS.COM brand, its site traffic and deep customer relationships. In addition, we are excited by the growth opportunities we see in the expansion of our truly original product offerings, such as the launch this quarter of our new Fannie May Berries line -- incredible, superior quality strawberries dipped in real, Fannie May fine chocolate, unlike anything on the market today. With this said, we remain cognizant of the continued challenges in the current environment and, as such, will continue to focus on managing those aspects of our business that we can control and thereby drive enhanced top and bottom-line results.”
In terms of key customer metrics from continuing operations, approximately 990,000 e-commerce customers placed orders during the first quarter of fiscal 2013, of which 64 percent were repeat customers. During the quarter, the Company attracted approximately 355,000 new ecommerce customers.