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The Man Who Makes $1M/Year Selling Christmas Trees

Discover the hidden, ruthless business of Christmas tree sales in New York City and how it has evolved over the years.

My First MillionMy First MillionDecember 21, 2024

This article was AI-generated based on this episode

What is the New York Christmas tree mafia?

In New York, the Christmas tree market hides a surprising underworld. Known as the Christmas tree mafia, a few tycoons dominate this festive business. These individuals are not just regular sellers. They are often referred to as "tree men" and control almost every tree sold in the city.

The system is ruthless. These tycoons are said to be eccentric and obsessed with holiday profits. Each year, they meticulously prepare for the Christmas rush, viewing it as a lucrative 30-day sprint. Stories circulate about these tree men, adding to their mysterious reputation.

One such tale describes a man rumored to own half of the tree stands in Manhattan. Legend has it he lives on a yacht and appears in New York only during Christmas, staying in a midtown hotel amidst piles of cash. The lore surrounding these figures adds an intriguing layer to the holiday business.

How do tree men operate in New York?

  • Territory division: The city is divided into territories, each managed by a different "tree man." One may control Harlem, another Manhattan, and others various city sections.

  • Unique monikers: With names like George Nash and Kevin Hammer, these figures often come with colorful backgrounds. For example, Hammer is known as a Brooklyn-born Scientologist influencing the business.

  • Strategic preparation: Preparation for the holiday season spans 11 months. This period is used to strategize and coordinate efforts for maximum profit during the 30-day Christmas rush.

  • Ruthless competition: The market is fiercely competitive. These sellers treat the holiday season as a sprint, aiming to generate substantial earnings in a short time.

  • Eccentric lifestyles: Some live extravagant lifestyles, with rumors of lavish living arrangements like yachts or hotel rooms packed with cash, contributing to their intriguing reputations.

What is the history of Christmas tree sales in Manhattan?

The tradition of Christmas tree sales in Manhattan began in 1851. A Dutchman named Mark Carr is credited as the pioneer.

Before this time, the idea of having a tree indoors was unusual. People associated trees with the outdoors, not the coziness of home.

Carr saw an opportunity. Out of work and desperate, he decided to bring trees from the forest to the city. He convinced city dwellers to buy them as symbols of the Christmas spirit.

Securing a permit for $1, he started selling trees at Washington Market, a wholesale bazaar. Initially met with skepticism, his venture gradually took off, marking the beginning of a lasting holiday tradition.

Carr's story, though lacking in detailed records, reflects an entrepreneurial spirit that transformed Christmas in Manhattan. The practice evolved over the years, becoming a lucrative seasonal market, now intricately tied to New York’s holiday charm.

How profitable is the Christmas tree business in NYC?

The Christmas tree business in New York City can be immensely profitable during the holiday season.

In just one month, tree men can rake in impressive amounts of cash. It's reported that some manage sales exceeding a million dollars.

Potential earnings come from dominating key locations and maximizing sales during the short but bustling Christmas period.

Expenses can be significant, covering costs like permits, transport, and logistics.

Profit margins, however, are potentially high. Some speculate a range of 50%, yielding substantial income after covering operational costs.

Despite tales of luxury lifestyles, like living on yachts, reality suggests tighter margins.

Sellers are more likely to have comfortable, but not excessively lavish, profits.

Engaging in this seasonal business with strategy and insight can bring lucrative returns, yet it's crucial to balance expectations with the myths surrounding extraordinary wealth.

What are some other seasonal businesses with high stakes?

  1. Fireworks Sales: The fireworks business thrives around July 4th in the United States. Most sales occur the day before Independence Day. This creates immense pressure to maximize revenue in a tight timeframe. Sellers prepare months in advance, navigating regulations and securing prime locations.

  2. Halloween Pumpkins: Pumpkin sales peak in October, just before Halloween. Farmers and sellers must grow, harvest, and distribute pumpkins timely. The seasonal nature requires careful planning to meet demand without excess waste.

  3. Valentine’s Day Flowers: The flower industry sees a surge in February. Valentine's Day demands fresh blooms, sparking fierce competition among florists. Success depends on efficient logistics and appealing displays to attract last-minute shoppers.

These businesses, like Christmas tree sales, revolve around short, intense periods. The stakes are high, with success hinging on precise timing and efficient operations.

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