Juno 2012 Annual Report Download - page 10

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Table of Contents
network products and services, which we refer to as FTD's floral network business. These businesses are complementary, as the majority of floral
orders generated by the consumer business are fulfilled and hand-delivered by the members of the FTD floral network, with the remaining orders
delivered via direct shipment from third-party suppliers. FTD does not currently own or operate any retail locations with the exception of three retail
locations in the U.K. FTD does not maintain significant physical inventory because its floral network members and third-party suppliers maintain
substantially all floral and gift physical inventory and facilities. FTD generally receives payment from consumers before paying florists or other third
parties to fulfill and deliver product orders. For additional information regarding our FTD segment, see Note 3—"Segment Information" of the Notes to
the Consolidated Financial Statements, which appears in Part II, Item 8 of this Annual Report on Form 10-K.
 FTD is a leading marketer of floral, gift and related items to consumers. FTD operates in the U.S. and Canada, primarily
through the  and  websites and the 1-800-SEND-FTD telephone number, and in the U.K. and the Republic of Ireland, primarily
through the , and  websites and
various telephone numbers. FTD also operates mobile websites for these same markets that are optimized for mobile devices with Internet connections.
While floral arrangements and plants are FTD's primary offerings, FTD also markets and sells gift items, including jewelry, sweets, gift baskets, wine,
fruit, and spa products.
Consumers place orders on FTD's websites and, to a much lesser extent, over the telephone. Orders are transmitted to floral network members or
third-party suppliers for processing and delivery. The majority of consumer orders are hand-delivered by FTD's floral network members, who provide
same-day and future delivery services. The other consumer orders are fulfilled and shipped directly to the consumer in an elegant gift box by third
parties, who provide next-day and future delivery services.
 FTD provides a comprehensive suite of products and services that promote revenue growth and enhance the operating
efficiencies of its floral network members, including services that enable such members to send, receive and deliver floral orders. Floral network
members include traditional retail florists, as well as other retail locations offering floral and related products and services, that are located primarily in
the U.S., Canada, the U.K., and the Republic of Ireland. The large networks of floral network members provide an order fulfillment vehicle for our
consumer business and allow FTD to offer same-day delivery capability (subject to certain limitations) to populations throughout the U.S., Canada, the
U.K., and the Republic of Ireland.
FTD products and services available to floral network members include access to the FTD and Interflora brands and the Mercury Man logo,
supported by various marketing campaigns; access to the floral networks; credit card processing services; e-commerce website services; online
advertising tools; clearinghouse services; order transmission services; and system support services, as well as floral-related products, such as fresh
flowers and containers. FTD provides point-of-sale systems and related technology services that enable its floral network members to transmit and
receive orders and manage several back office functions of a floral retailer's business, including accounting, customer relationship management, direct
marketing campaigns, delivery route management, event planning, and mobile applications. FTD also acts as a national wholesaler to its floral network
members, providing branded and non-branded hard goods and cut flowers, as well as packaging, promotional products and a wide variety of other
floral-related supplies. Wholesaling branded vases and other hard goods to floral network members helps to ensure consistency between the consumer
orders fulfilled by floral network members and the product imagery displayed on the FTD and Interflora websites.

Our Content & Media segment provides online nostalgia products and services under the Classmates, schoolFeed, StayFriends, and Trombi
brands. Our Content & Media products consist of
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