Starting a Gift Basket Business

Job Duties

When starting a gift basket business your job duty will be to create appealing gift baskets for your clients. You will have to work within a budget and time limit to provide gift baskets for certain occasions and holidays. When starting a gift basket business you can choose to concentrate on a specific type of gift basket such as holiday gift baskets, food gift baskets or personalized gift baskets. Your gift basket business can choose to provide personalized gift baskets which will be customized for each client or you can have standard choices.

starting a gift basket business

When starting a gift basket business consider if you will be targeting corporate clients. Corporate clients can prove to be valuable clients as they often need to give gifts to business partners, employees, customers and more. For corporate gift baskets you may be asked to create a basket to promote a new product or service.

Where will you work?

When starting a gift basket business you can choose to work from home or get a storefront. Starting a gift basket business from home can save you money but in the future it may limit the growth of your business due to lack of space. You can decide to start your gift basket business from home and then move to another location as your business begins to grows.

Basic Costs

When starting a gift basket business you can decide to work from home or get a separate location. It is a good idea to buy your products wholesale so you can price them at retail price. When starting a gift basket business basic costs includes: basket, bows, wrap, tissue, ribbons and products to put in the basket.


Find out the interests and likes of your target market– Who is your target market? Do they have any specific interests and likes. For example are they big soccer fans? Go to local stores and inquire about the most popular and fast selling products. Get to know your target market. Use this information to create gift baskets that will appeal to them.


  • Word-of-Mouth – When starting a basket business word of mouth can be a very effective advertising strategy. Tell everyone you know about your services. Make sure your customers are happy and satisfied with your product. Happy customers will recommend your product to their friends and family.
  • Flyers– Determine if you can put up flyers in local grocery stores, bakeries, gift shops, party supply stores and locations where you shop for supplies. It is best to ask the owner of these businesses for permission first. Also hand out flyers to passer byes on the street.
  • Business Cards– Create business cards and hand them whenever an opportunity appears. It is also a good idea to insert a business card in each basket.
  • Brochures– Create brochures that illustrate your gift baskets. Hand them out on the street and at locations where your target market are likely to be. If you have a store also have some brochures available there.
  • Having a listing at can help people that are searching for your service or product locally find you.
  • Yellow Pages– Consider buying an advertisement in the yellow pages of your local phone book. You can also include your business in the online version:
  • Yahoo Local Searches– If you include your business in the Yahoo Local Searches, when people search for your service in your local area your business will appear in the list. To add your business to Yahoo local search, enter the term “add business to yahoo local search” in and click on the first link.
  • Google Local Searches– Google has a local search as well. To add your business to Google local search, enter the term “add business to google search” in and click on the first link.
  • Website– You can decide to develop a website to provide clients with access to information and pictures of your gift baskets.
  • Newspaper classified ads– Newspaper ads in your local newspaper can be very effective in advertising your gift basket business.
  • Direct mail Advertising– Ask customers if they would like to join your mailing list and receive updates about your gift baskets. You can offer incentives or small free giveaways if they decide to join. If they agree you add them to your mailing list and mail them brochures or post cards of popular or new baskets for the season.

Pricing your Gift Basket

When starting a gift basket business you may question and debate over pricing. This is a perfectly normal process when starting a business. When deciding on a price for your gift baskets you must make sure you cover the costs of making the gift baskets in order to make a profit. Sum up the costs of the basket, tissue, wrap, bow, products in the basket, overhead costs and cost of labor. Your price should be greater than this sum in order to gain a profit. Personalized gift baskets should be charged more than standard gift baskets.

If you discover that the price you come up with is much higher than what your competitors are charging, analyze your expenses and see if there is a way for you to reduce costs by choosing cheaper alternatives. For example instead of buying a product for your basket individually at retail, buy them wholesale so you can get more quantity at a cheaper price. Also know your target market. Are you targeting wealthy individuals who are willing to pay more for better quality or are you targeting the average budget conscious consumer? Price your gift basket in order to appeal to your target market while also making a good amount of profit.

Different Types of Baskets

  • food basket
  • candy basket
  • newborn baby baskets
  • personalized gift basket
  • Holiday baskets
  • Anniversary Basket
  • Birthday Basket
  • Cheese Basket
  • Graduation Basket
  • Get Well Soon Basket
  • puppy basket
  • corporate basket
  • I’m Sorry
  • Thank You
  • Welcome Home

Not sure about starting a gift-basket business? See a list of small business ideas

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2 thoughts on “Starting a Gift Basket Business”

  1. yes this page is very helpful to me. Thank you a lot. Now im trying to get a business loann to stock up on my products, our do you have a suggestion.

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