Profile: Harry and David Holdings Inc (HARR.PK)
10 Dec 2013
Harry & David Holdings, Inc., incorporated in March 2004, is a holding company. The Company is a multi-channel speciality retailer and producer of branded premium gift-quality fruit, gourmet food products and other gifts marketed under the Harry & David, Wolferman’s and Cushman’s brands. The Company’s signature Harry & David products include its Royal Riviera pears, its Fruit-of-the-Month Club products, its Tower of Treats gifts and Moose Munch caramel and chocolate popcorn snacks. Its Wolferman’s products include specialty English muffins and other breakfast products and its Cushman’s product line includes Cushman HoneyBells citrus, among other products. Its marketing channels include direct marketing through catalog, phone, Internet, mail/fax and telemarketing; business-to-business; its Harry and David stores, seasonal Cushman’s stores, and wholesale distribution through select retailers. The Company’s sales are derived from its Direct Marketing, Stores and Wholesale segments. Its other segment includes the business units that support its operations, including orchards, product supply, distribution, customer operations, facilities, information technology services and administrative and marketing support functions.
The Company’s Direct Marketing segment offers a range of gift-quality fruit and specialty foods and other gifts through its Harry and David, Wolferman’s and Cushman’s catalogs, the Internet, and its business-to-business and consumer telemarketing. Its catalogs are its marketing tool for both existing and new customers and help to generate orders and sales in each of its direct marketing channels. During the fiscal year ended June 26, 2010 (fiscal 2010), it circulated approximately 67.2 million Harry and David, Wolferman’s and Cushman’s catalogs. Its Harry and David Website, at www.harryanddavid.com, its Wolferman’s Website, at www.wolfermans.com, and its Cushman’s Website, at www.honeybell.com, provide channels that enable customer access and convenience to its catalog business and enable timely communication through e-mail. During fiscal 2010, nearly 62% of all direct marketing orders were placed over the Internet. It offers business-to-business sales of its products for corporate gift-giving, incentive and consumer promotional programs throughout the year.
The Company competes with Wine Country Gift Baskets, Liberty Media Corporation, 1-800 Flowers, FTD.com, Williams Sonoma and Omaha Steaks.
The Company’s Stores segment provides a platform to capture consumer demand for year-round gifts, self-consumption, as well as entertaining needs. Its outlet stores focus on products for self-use along with selections from its core gift product line. Its specialty stores focus on its core product line, gift-ready packaging, selected tabletop, home decor accessory and entertainment products. Its Country Village store in Medford, Oregon, offers the full selection of Harry and David retail products, as well as expanded offerings consisting of fresh fruit, vegetables and produce, gourmet specialty foods and wine selections. It operates stores in outlet and lifestyle centers, specialty malls and other shopping areas throughout the United States. During fiscal 2010, the Company operated one Country Village store, 87 Factory outlet center stores and 37 Specialty stores. During fiscal 2010, it had two Cushman’s seasonal stores. Its Store segment customers purchase primarily for self-use and entertaining purposes.
The Company competes with See’s Candies, Lindt & Sprungli, Godiva, Rocky Mountain Chocolate Factory, Liberty Media Corporation, Williams-Sonoma, Kitchen Connection and Le Gourmet Chef.
The Company’s Wholesale segment focuses on building relationships with retailers, including select club channel retailers, mass merchants, department stores, specialty retailers and grocery accounts. All of the products that it sells through the wholesale channel are branded and packaged for retail customers. Harry and David products sold through the wholesale channel include chocolates and confections, such as Moose Munch caramel and chocolate popcorn confection and Moose Munch bars, as well as channel-appropriate gift baskets and other food gifts. Wolferman’s products sold through the wholesale channel include English muffins and scones. Cushman’s products sold through the wholesale channel include Honeybell citrus and other fresh fruit.
The Company competes with Houdini Inc., Lindt & Sprungli and Godiva.
Harry and David Holdings Inc
2500 South Pacific Highway
MEDFORD OR 97501