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- Jim McCann – A blueprint for being resolute with vision and flexible with the methods
Jim McCann – A blueprint for being resolute with vision and flexible with the methods
Those who harness change enjoy the flowers…
I attended a family office event a few weeks ago where Jim McCann, the founder and CEO of 1-800-Flowers.com spoke on a panel discussing how founders can successfully navigate obstacles of their entrepreneurial journey. I found Jim’s take, inspired by his journey, to be incredibly insightful. I wanted to share some of my notes with founders who read this publication. I didn’t receive Jim’s direct input for this note and I hope to sit down with him for a longer conversation.
Jim grew up in a modest Irish family in Queens as the oldest of five siblings before beginning his career as a social worker and part time bartender after college. His entrepreneurial journey commenced when he purchased a flower shop for $10,000 and the rest is history.
The philosophy
Companies that find outsized success have a strong command of their vision, but rarely achieve success with the economic models they initially set out to execute. Instead, by skillfully executing a dynamic operating landscape, they consistently innovate and reinvent themselves. Jim’s vision for 1-800-Flowers is to meet humans’ universal need for meaningful social connection and interaction. However, it’s his flexibility–––the ability to embrace and exploit new technology–––over the last half century, that has positioned the company as a leading innovator in its industry.
A timeline for harnessing technology to drive innovation
Phase 1 – Building a foundation through aggregation: After acquiring his first flower shop in 1976, Jim began buying several other shops, creating a strong base for distribution, starting in New York. The ability to incubate and acquire new businesses became a core pillar for 1-800-Flowers’ growth strategy.
Phase 2 – Dial 1-800 from anywhere to order your flowers: Regulation change in the early 80s transferred permanent ownership of phone numbers from telecoms to individuals. This change presented Jim with an opportunity to buy the nearly bankrupt 1-800-Flowers in 1986. This move unlocked a powerful distribution channel as customers could now phone in their orders from anywhere in the US.
Phase 3 – Advertising on cable news for broad reach: Jim met Ted Turner when cable news advertising was beginning to take off in a meaningful manner. Through his ability to develop an authentic relationship with Ted, Jim positioned 1-800-Flowers to receive a many discounted prime advertising slots on CNN when other advertisers were wary of advertising on cable tv during a war. Relationship building, embracing advertising on cable TV, and taking risk with the timing, positioned the company to leverage its distribution asset to drive a new phase of high growth.
Phase 4 – Embracing the internet and e-commerce: In the early 90s, Jim signed deals with online pioneers CompuServe and AOL, making his company one of the first retailers to establish an online presence. Then in 1995, the company launched www.1800flowers.com, becoming one of the first retailers with a web presence. These moves positioned the company to benefit tremendously from the social commerce revolution that started in the mid 2000s.
Phase 5 – Mastering social marketing: The advent of social media allowed 1-800-Flowers to layer on capabilities of social commerce onto its online platforms. The company executed creative brand and performance marketing to drive awareness and purchases of its growing product portfolio to its customer base.
Phase 6 – Leveraging AI to power community: In its current phase, the company is adding a deeper dimension to social commerce. It has embraced AI to further execute its vision by developing and distributing compelling content to serve its customer community with greater effectiveness. The content addresses important topics impacting relationships, such as mental health, Mother’s Day, and grief.
Navigating entrepreneurial obstacles is the proactive exercise of making change work in your favor
The key to navigating entrepreneurial obstacles lies in maintaining integrity to the vision and embracing, or even better, exploiting change. Jim’s grand vision of bringing smiles to people through helping them create more meaningful relationships started with the purchase of one small flower shop for a modest sum. Over his entrepreneurial journey, Jim has remained focused on the end goal, but combined a strategy of embracing technological change to unlock distribution, capability, and scale. The business we celebrate today is an excellent accomplishment of a vision achieved through clarity, patience, and the superior execution of change—primarily technology—to remain competitive in a dynamic marketplace.