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  Your Home Business:   Gift Baskets and Kits
About the Business
To Get You Started:
Not the crafty type?  Not to worry.  You can make a business assembling gift baskets or themed kits for sale!  Select and pack themed items into a pretty basket or decorative box, and market them as unique gifts with a personal touch.  A pretty basket containing decorative soaps, scented bath oils, bath beads and a matching wash cloth would make a good Mother's Day gift item. Or put together kits that will simplify your customer's life.  Children's craft kits, car emergency kits, or kits that contain all the basics for scrapbooking are some examples. Kits and baskets can really sell well during the holidays, if you plan creative products and market them at the right time.  Easter-egg decorating kits, Christmas baskets with holiday items, and kits with the things needed to make a fun Father's day gift are some examples of how you can use holiday themes to increase your business.  When planning your baskets and kits, be creative.  Think of gifts you would love to recieve if someone were ordering for you, and start there.  If you keep the options simple and plan well, there will be little work in packaging up the gifts or kits and shipping them off to your customers. 
What Should I Charge?

The price you set for your gift baskets or kits will vary depending on there contents.  First, you will want to plan out exactly what items will go into your packages, and determine how much it will cost you to purchase them.  Buy the items as well as the baskets, boxes or other packaging, in bulk whenever possible to cut down on costs, and look for good deals on the internet and in your local paper.  When you calculate your costs for the items filling your baskets, be sure the amount you use is the most the items could possibly cost you.  This way, if you were able to get decorative soaps, for example, on sale this month, but you have to pay full price next month, you will not be losing money.  Once you have determined the amount that each basket or kit will cost you to make, mark up the price of each package a fair amount to arrive at your selling price.  Remember, you will need to be sure that you are making enough on each item for your efforts to be worthwhile.  Do a little comparison shopping before setting a price, to see what other products similar to yours are selling for.  When considering how much to charge for shipping, figure out what postage will be on each item (be exact) and what it will cost to package the items for shipping.  The cost of paper, packing materials, and boxes can add up, so be sure to figure these costs into your shipping fee.  Allow a little extra for your time in packaging up the products and taking them to the post office, and set your shipping fees accordingly.
How Do I Sell My Work?

The Internet is a great place to sell gift baskets and themed kits.  The World Wide Web reaches a large number of people, and a growing population of shoppers is going online to buy rather than braving the hassle of crowded malls.   If you set up and promote a business website well, you can reach a large number of people from all over the globe without ever leaving your home!  There are several ways to set up your own business site.  You can build it yourself; we suggest you use Homestead's sitebuilding program to get started.  Or, skip the work and have Mommerce set up a website for you.  We do the building, maintaining, and promoting and put your products online to your specifications.  Check out Mommerce Web Services for more information.

Whether you set up a site by yourself or have Mommerce create one for you, there are several ways you can handle the actual business transactions.  There are many companies that will set up credit card transactions for you.  Your customers use their credit card to pay for your products online, then the company writes you a check.  Mommerce recommends PayPal for credit card transactions.  PayPal is free to you and your customers. By offering credit card payments for your customers, you eliminate worry about bad checks or money orders made out to the wrong party. Very simple, and very safe and very convenient for you and your customers!  If you choose not to accept credit cards, you can bill customers online or through the mail and give them the option of using cash or check.  Mommerce offers printable or online billing forms for your convenience.

You will want to advertise and promote your products offline as well. Get the word out and increase your sales!  Don't be afraid to ask you friends and family to tell others about your terrific products.  More information about advertising your business can be found in our Promote Your Business section.
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Promote Your Business
How to Start a Home-Based Gift Basket Business
by Shirley George Frazier
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