When the beer-of-the-month- club craze began to wane a few years ago, a husband-and-wife team with a taste for the finer things in life decided to sell their brew business and try their luck at marketing gourmet gifts and gift baskets.
Eric Lituchy and Gina Ezratty launched Delightful Deliveries Inc. in 1998 with about 150 handpicked products. The business has since grown and now offers nearly 900 items through its Web site and catalog.
Sales are projected to reach $3 million to $4 million this year, up from $600,000 in 2001, according to Lituchy.
Part of the increase will come from a 50% hike in catalog circulation to 100,000 pieces. The four-color catalog, which is mailed around the end of October, will expand from digest size to full size, with 32 to 48 pages.
Also expanding is the product line. More baby gifts and fresh flowers will be offered, along with bath and beauty products.
“We consider ourselves food connoisseurs, and we were very enthusiastic about the gourmet food basket category,” Lituchy said.
Due this fall is a new corporate gift catalog that will be sent to the 12,000 or so corporate buyers on the house list, and prospects on rented files.
Meanwhile, the Web site, which contributes 80% of the firm's revenue, has been made more customer-friendly. Shipping information posted on the site now indicates the arrival date rather than ship date, and one bill is generated for customers sending gifts to multiple addresses. In addition, address books and favorites lists can be maintained and the shopping cart has been overhauled. Easier navigation and advanced search capabilities enhance the customer experience.
The site has proven to be a good testing ground for products before they appear in the catalog. It will be the inspiration for spinoff sites like Gourmetmeals.com, which will appear this year and offer upscale entrées.
DelightfulDeliveries.com markets the products of 30 retail partners such as Mrs. Beasley's, Shari's Berries and Miss Grace Cakes. Gift items include baked goods, chocolates, snacks and fruit. Orders are sent to the partners, who then ship deliveries directly to customers. The only products picked and packed by Delightful Deliveries are coffees.
Most of the advertising is done online, using keyword searches and partnerships with America Online, Google and Overture.
Lituchy and Ezratty met while working at the Young & Rubicam advertising agency in New York. They started the Ale in the Mail club, then launched Delightful Deliveries with a $20,000 investment, relying on their advertising expertise to develop the business.
The pair still dabble in “item-of-the-month” clubs: Customers can order regular deliveries of cookies, cakes, chocolates, fruit, coffee, tea, cigars, pies and meals.
“We wanted to build a store that made shopping for gifts not just simple, but delightful,” Lituchy said.
