Business Daily meets: Balsam Hill's Mac Harman

Summary

Business Daily Meets: Balsam Hill’s Mac Harman

BBC World Service | December 19, 2025 | Host: Ed Butler

---

Overview

In this festive episode of Business Daily Meets, host Ed Butler sits down with Mac Harman, founder and CEO of Balsam Hill—one of the world’s leading artificial Christmas tree companies. As millions decorate their homes for Christmas, Harman shares the journey of Balsam Hill, the evolution of the artificial tree industry, sustainability debates, and how global trade tariffs are dramatically shaping the business. The conversation weaves in personal insights, supply chain realities, environmental questions, and the future of "the business of joy."

---

Key Discussion Points & Insights

1. Personal Roots and Entrepreneurial Beginnings

• Growing up around Christmas trees:
  • Mac reminisces about his Ohio childhood, cutting down real Christmas trees with his dad—a memorable, if messy, tradition.

    "It was kind of a fun experience. But I’m like, I don't think we need to do that twice." (04:44)

• Family influence:
  • He credits his entrepreneurial father for teaching him how to treat people and spot talent.

    "Looking back, it really helped me in what's now been a 25-year career as a CEO." (03:17)

• Early ambitions:
  • As a child, Mac wanted to be an architect, drawn to designing homes and buildings, but later realized his future lay in business.

    "I always thought I would do something in business. I just didn't discover that till later on." (03:54)

2. The Genesis of Balsam Hill

• Side project turns main act:
  • Founded in 2006 as a seasonal side business while planning to start something else, Balsam Hill quickly grew into a multi-million-dollar brand.

    "I went ahead and started Balsam Hill just as a side business...And then the business has just continued to grow and grow and that's become the main show for me." (04:05)

• The problem with old faux trees:
  • The inspiration came from Mac’s in-laws, whose aging artificial tree was lifeless—and necessary due to allergies in the family.

    "It was pretty terrible. It was not realistic looking. And I always looked at it and said, boy, I gotta think we can have artificial trees, faux trees that look better than this." (04:47)

3. Reinventing Artificial Trees

• First to market more realistic trees:
  • Mac explains that in 2006, premium, realistic artificial trees simply didn’t exist—retailers didn’t want to risk higher costs.

    "No one was really thinking holistically about how do you make the whole tree look just like it did if you picked it up at that cute tree lot..." (05:28)

• Applying his scientific background:
  • Leveraging his environmental studies and field experience, he personally designed authentic-looking trees.

    "I actually sometimes go skiing with pruning shears in my jacket and come down the slope and have a bunch of tree branches tucked into a plastic bag inside my coat. And so we really go out of our way to make them realistic." (05:55)

4. Environmental & Sustainability Considerations

• Natural vs. artificial—what’s greener?
  • Mac is pragmatic about the “sustainability contest,” noting both real and artificial trees have environmental pros and cons.

    "The environmental impact of each one is not significant compared to other activities like driving a car as an example." (07:11)

  • The main issue lies with how real trees are disposed of—incineration vs. composting.
  • Balsam Hill’s longevity focus: Their artificial trees now use plant-based plastic, aiming for a ten-year lifespan per tree.

    "All of the trees that we're selling now are made from plant-based plastic...So it has all the advantages...but it's made from plants and not oil." (07:41)

5. Business Model & Economic Volatility

• The one-month-a-year marketplace:
  • Balsam Hill earns 85% of its annual revenue in just six weeks, likened to hosting a major annual sporting event.

    "We spend the whole year getting ready for it and then it all happens very quickly." (08:28)

• Tariff turbulence:
  • U.S. trade policy changes, particularly tariffs (ranging from 19% to 63% on some items), have severely impacted costs and product availability.

    "In our largest market, we've had these very significant trade handwoods to battle against." (08:59, 09:38)

  • The company has had to drop certain products (e.g., snow globes, advanced Christmas lights) due to exorbitant tariffs.

    "Snow globes...we ordered those and then we canceled the orders because the tariffs were so high on those..." (15:19)

• Passing costs to consumers:
  • Despite absorbed expenses and operational cuts—including using AI for efficiency, supplier negotiations, and even eliminating office lunches—U.S. consumers have seen prices rise 10-20%.

    "Across all U.S. retailers, Christmas tree prices are up 10 to 20%. We track this very closely, and that's just a real significant cost." (13:22)

6. Global Supply Chain Realities

• Why are trees made in Asia?
  • Pre-lit trees have never been made in the U.S., largely because stringing lights is labor-intensive—American workers simply won’t do it for 40 hours a week.

    "The American workers who were making unlit Christmas trees said, you know what, thank you, I'm going to go get a job somewhere else." (14:06)

  • Virtually all pre-lit artificial trees come from Southeast Asia, due to cost and labor dynamics.

7. Trade Politics and Christmas Spirit

• Meeting at the White House:
  • Mac attended the White House tree lighting, where Balsam Hill’s decorations were featured, and briefly met the president.
• Impact of U.S. trade policy:
  • Mac is actively engaging with policymakers, hoping for relief, and distinguishes between strategic goods and products like Christmas trees.

    "We just don't think that non strategic goods like Christmas trees make sense to bring to the US..." (17:35)

  • He remains optimistic, expressing faith that presidential attention will help "save Christmas" for the American consumer in the future.

    "I am optimistic that he will do something to really save Christmas for next Christmas..." (17:58)

8. Looking Ahead: Expansion & Resilience

• Future growth:
  • The company aims to extend into Latin America, Asia, and the Middle East.

    "We’re very excited about getting to Asia and the Middle East..." (18:40)

• Irrepressible holiday joy:
  • Despite geopolitics and logistical snags, Mac believes Christmas will always find a way.

    "Christmas is such a universally appreciated holiday...I just don't think that a trade war or trade realignments or a decrease in globalization...can slow down Christmas. It didn't slow it down in Bethlehem 2,000 years ago. I don't think it's going to stop it now." (18:49)

---

Notable Quotes & Memorable Moments

• On the industry’s beginnings:

  "I was really the first person that put that together...how do you make the whole tree look just like it did if you picked it up at that cute tree lot..."
  — Mac Harman, (05:28)

• On balancing environmental concerns:

  "Celebrate Christmas with whichever tree brings you the most joy."
  — Mac Harman, (07:12)

• On the impact of tariffs:

  "The biggest amount of my time this year has been working with the administration in Washington, D.C. and sharing our story and asking President Trump to save Christmas."
  — Mac Harman, (11:58)

• On what trade wars can’t stop:

  "It didn’t slow it down in Bethlehem 2,000 years ago. I don’t think it’s going to stop it now."
  — Mac Harman, (18:53)

---

Key Timestamps

• 01:32: Introduction to Mac Harman and Balsam Hill
• 03:22: Early childhood, family, and the spark of entrepreneurship
• 04:05: Founding of Balsam Hill
• 04:32: The inspiration from Mac’s wife’s family and faux tree challenge
• 05:28: Designing realistic faux trees and Balsam Hill’s innovation
• 07:03: Environmental debates: natural vs. artificial trees
• 08:24: Managing the “six-week business” and annual business cycle
• 08:50: Impact of U.S. tariffs and trade policy
• 13:47: Why artificial trees (especially pre-lit) are produced in Asia
• 15:19: Canceled products due to tariffs
• 17:35: Trade policies: strategic goods vs. Christmas trees
• 18:40: Future plans for global expansion
• 18:49: The enduring spirit of Christmas

---

Tone

The episode balances warm nostalgia, business pragmatism, and optimism. Mac Harman is honest about the challenges but invokes the universal, unbreakable joy of Christmas. The conversation remains accessible, blending technical specifics with lighthearted anecdotes, making for an engaging holiday episode.

---

For more deep dives on work and money, catch new episodes of Business Daily on the BBC World Service.

Transcript

[Narrator/Advertiser]

This BBC podcast is supported by ads outside the uk.

[Margaret]

Hey, Ryan, that was a fast trip. It was like you teleported.

[Mac Harmon]

Yeah, just got in. I'll get all my expenses logged, I promise.

[Margaret]

Oh, no, you're okay. SAP Concur uses advanced AI so your expense report will practically write itself. Quite the breakthrough. It's like we've been teleported into the future. All right, so just curious, would you give us written permission to convert your matter into energy patterns and reassemble you at, say, random travel destinations?

[Mac Harmon]

Margaret, are you building a teleporter?

[Margaret]

No.

[Mac Harmon]

Yes.

[Ed Butler]

SAP Concur helps your business move forward faster.

[Narrator/Advertiser]

Learn [e-mail] the pressure never lets up. Deadlines. Payroll strategy. You're expected to see everything, know everything, and act fast. You need intuit QuickBooks Payroll. The all in one team management solution. With QuickBooks Payroll, time tracking payroll and accounting work together. Automated, integrated and effortless. See every dollar, every hour and every job cost in one place. QuickBooks Payroll gives you freedom, control and confidence so you can focus on what matters most. Quick growing your business. Learn [e-mail] payroll that's quickbooks.com payroll.

[Ed Butler]

Hi there. I'm Ed Butler. Welcome to Business Daily meets on the BBC World Service today as millions of households around the world are putting up their trees to celebrate the joy of Christmas.

[Mac Harmon]

I grew up celebrating Christmas with real trees. Sometimes we'd cut them down.

[Ed Butler]

Yep. We're hearing from Mac Harmon. He's the founder and CEO of Balsam Hill. It's one of the leading artificial Christmas tree companies in the world.

[Mac Harmon]

They had bought an artificial tree probably in 1975 or something like that. And I always looked at it and said, I've got to think. We can have artificial trees, faux trees that look better than this.

[Ed Butler]

This year, the company's biggest market has been facing a very modern Christmas crisis.

[Mac Harmon]

Almost everything we sell in these Western markets is made somewhere else and imported. But so many of those goods came into the United States with these tariffs of 19, 20%, 30% and 50% battling.

[Ed Butler]

For Christmas this year. That's Mac Harmon on Business Daily from the BBC World Service.

[Mac Harmon]

We like to think of ourselves as the leading brand of Christmas decor in the Western world. We do hundreds of millions in revenue for Mac.

[Ed Butler]

The business of Christmas trees began early as a kid growing up in Ohio with an entrepreneurial dad running a series of small businesses there.

[Mac Harmon]

I grew up celebrating Christmas with real trees. Sometimes we'd cut them down, I guess. Actually once we cut it down. And I remember thinking as a Kid, that was kind of a neat experience. I mean, my dad was in the snow on his knees and his hands with a saw and it was kind of a fun experience. But I'm like, I don't think we need to do that twice. And I grew up around that, watching him make decisions and watching and learning how to treat people well and honor.

Them and look for talent. And it was a inspiring childhood. I don't think I realized it at.

The time, but looking back, it really.

Helped me in what's now been a.

25 year career as a CEO.

[Ed Butler]

What was your dream as a kid?

[Mac Harmon]

Well, my dream I remember was that when I was around 10, I really wanted to be an architect. And I really love designing things, specifically buildings. It could be a home, it could.

Be an office building.

I found that so fascinating. But I put that dream aside because I felt like I wasn't sure that the kind of architecture I'd be most likely able to do would end up being as interesting as I hoped. But I always thought I would do something in business. I just didn't discover that till later on.

[Ed Butler]

The company itself began after Mac went to university and grad school. He knew that he wanted to start a business. He just hadn't figured out what in yet this was.

[Mac Harmon]

In 2006, I went ahead and started Balsam Hill just as a side business to generate some income to help fund this other business that I thought I was going to start. And I thought that I would just be able to do this seasonally. And then the business has just continued to grow and grow and that's become the main show for me.

[Ed Butler]

I mean, this began because your wife's family had bought an artificial tree and it just didn't look like the real deal.

[Mac Harmon]

When I started dating my wife and ultimately married my wife, her brother has allergies and Christmas trees that grow on farms naturally have mold spores. And my brother in law couldn't deal with that from an allergy standpoint. And so they had bought an artificial tree probably in 1975 or something like that. And it was pretty terrible. It was not realistic looking. And I always looked at it and said, boy, I gotta think we can have artificial trees, faux trees that look better than this.

[Ed Butler]

The nature of the artificial Christmas tree industry then in 2006 was pretty weak. I mean, it wasn't possible to get a good looking fake tree.

[Mac Harmon]

That's correct. You know, it's interesting and really in any country there weren't realistic faux trees yet because they were so much more expensive. The John Lewis's the Home Depots, the Obies, the B and Qs of the world. Just didn't want to take the economic risk to bring these much more realistic but much more expensive trees.

[Ed Butler]

Reason.

[Mac Harmon]

And at the same time, no one was really thinking holistically about how do you make the whole tree look just like it did if you picked it up that cute tree lot or you went to a tree farm and cut down a Christmas tree? And so I was really the first person that put that together. And I leveraged my background. I spent a lot of time in the woods. My university studies included geosciences and environmental studies. It turned out I was okay at designing Christmas trees. And I mean, I actually sometimes go skiing with pruning shears in my jacket and come down the slope and have a bunch of tree branches tucked into a plastic bag inside my coat. And so we really go out of our way to make them realistic. And I was able to take my firsthand knowledge and really create trees that looked just like the real thing.

All right, here we are in Ala Moana center, one of the largest malls in the United States, in Oahu, Hawaii, the island of Oahu.

[Ed Butler]

Today, in maximum stores you can find rows of Christmas trees, their branches thick and lush with needles that gleam like freshly fallen snow. Luxurious ornaments glint in the glow. Glass baubles, sparkling ribbons, delicate handcrafted stars. Balsam Hill has become a giant, one of the biggest premium Christmas brands in the western world. The nature of these artificial trees, though creating an entire tree built largely out of plastics and does raise environmental concerns for some people. A natural tree is, after all, renewable.

[Mac Harmon]

There's so many different viewpoints on whether a farm grown tree or a faux.

Plastic tree is better for the environment.

And at the end of the day, what I would say is you should celebrate Christmas with whichever tree brings you the most joy because the environmental impact of each one is not significant compared to other activities like driving a car as an example. That all being said, what it comes down to for the farm grown tree is how it's disposed of. In many municipalities, they're incinerated. And if that energy is not captured and put back into the electric grid, it's not as good as, say, composting the tree. On the faux tree side, we expect that our trees are all used for 10 years or more, so we actually view that they've always been somewhat sustainable. And all of the trees that we're selling now are made from plant based plastic. And to your question, Ed, you can literally buy a faux tree that was made from plants. So it has all the advantages of the longevity and the pre lit lights on the tree. Then you don't have to deal with SAP and needles falling off and all those kinds of things, but it's made from plants and not oil.

[Ed Butler]

While the trees themselves may be more sustainable, the business of getting them into homes is anything but simple for Mac. And the business model is pretty odd with all the profits focused on just one month of the year.

[Mac Harmon]

It's a very unusual business. We do about 85% of our revenue in six weeks. And actually across our different geographies, there's slight differences to when the peak weeks are. And you know, I often talk about it's like producing an annual sports event. We spend the whole year getting ready for it and then it all happens very quickly.

[Ed Butler]

And this year's sports event has been different from many in the past.

[Mac Harmon]

You know, really the biggest reason for us this year is that in the US Market, which is our largest market, we have had the tariffs from the trade adjustments that President Trump is working to make. And so that has dramatically impacted our business because almost everything we sell in these western markets is made somewhere else and imported. We actually do import from Europe to the US but the vast majority of the goods that we're sending to the UK or the United States come from countries like China and Southeast Asia, India, the Philippines, and they have all been hit with these tariffs of 19, 20%, 30% and 50%. So in our largest market, we've had these very significant trade handwoods to battle against.

[Ed Butler]

You're listening to Business Daily on the BBC World Service. I love ravioli.

[Mac Harmon]

Since when do you speak Italian?

[Margaret]

Since we partnered with SAP Concur. Their integrated travel and expense platform and breakthrough solutions with AI gave me time back back to dive into our financial future. We expand into Europe in 2027. So I'm getting ready.

[Ed Butler]

Well, you can predict the future.

[Margaret]

I can predict you'll like that message.

[Mac Harmon]

What message? Oh, hey, we all got bonuses you.

[Margaret]

Can save for college now.

[Ed Butler]

I don't have kids.

[Narrator/Advertiser]

You don't say SAP Concur.

[Ed Butler]

Helps your business move forward faster.

[Ulta Beauty Advertiser]

Learn [e-mail] Ulta Beauty's big holiday beauty sale is back with up to 50 off. Must have gifts shop irresistible deals like the Shark Beauty Flex Style and Benefit cosmetics Travel size masc with new offers weekly same day pickup or delivery. And our trusted associates. We make holiday shopping effortless. Head into Ulta Beauty today. Ulta Beauty gifting happens here.

[Ed Butler]

I'm Ed Butler and I'm speaking today to Mac Harmon. He's the founder and CEO of Balsam Hill, one of the world's leading artificial Christmas tree companies. One which, as he says, depends heavily on products imported from Asia. 5, 4, 3, 2, 1. This was the annual Christmas tree lighting at the White House just a couple of weeks ago. Mac Harmon was there to see his company, Balsam Hills Christmas decorations hung on the presidential tree itself. President Trump used the occasion to hail his administration's economic achievements. Our economy is thriving, Inflation has stopped. Our nation is strong, and America is back, bigger and better, stronger, better than ever before. Well, since nearby was the CEO of a company dealing with huge additional import costs, was he having different thoughts, I wonder?

[Mac Harmon]

I was literally had a chance to briefly talk with the president last week.

[Ed Butler]

Yeah, I was going to say you were lighting his Christmas tree, right? I mean, did you step in? Did you exchange a word on this?

[Mac Harmon]

It was just an introduction, so I did not petition the president at this time, but I've certainly talked to many people around the administration about it. The biggest amount of my time this year has been working with the administration in Washington, D.C. and sharing our story and asking President Trump to save Christmas. It has been a big challenge for us. It's really big.

A big.

Been a big challenge this year for smaller companies.

[Ed Butler]

So to the extent that you are a US Business, these tariffs have really.

[Mac Harmon]

Hurt the US they really have, mainly because we've done everything we can to absorb the cost of the tariffs. We negotiated with our suppliers and they took on some of that cost. We cut our expenses. AI has actually helped us do more with fewer people. And so that's one of the ways we absorbed it. We used to serve lunch in the office, and we stopped that. Any way we could absorb costs to have the money to pay the tariffs, we've done. But at the end of the day, that just wasn't enough for such a significant change in cost. And so we have had to pass that on. And it's just difficult for the consumer because now something costs 10, 15, 20% more. Across all U.S. retailers, Christmas tree prices are up 10 to 20%. We track this very closely, and that's just a real significant cost. At the same time, if you have a child, it's really hard to tell them that you're not getting a Christmas tree this year if you've moved or don't have a Christmas tree from last year to use the kids. First question is, where is Santa going to put the presents? So you really need to have the tree. Maybe you don't need to have as many presents under it or the decorations or whatever it is, but you've got to have that tree and it just makes it more expensive to enjoy and celebrate the holiday together.

[Ed Butler]

Oh, you just get an American tree.

[Mac Harmon]

Well, that could be in the future. I mean, if you're referring to manufacturing.

Trees in the U.S. you know, it's interesting. Pre lit Christmas trees for the US Market, they've never been made in the US and the reason for that is because stringing those fairy lights on the trees, it's a lot of work. And while people love setting up Christmas trees and decorating, generally they don't like putting the lights on. And so back in the early 1990s when someone had the bright idea to pre light the trees to do all that work in a factory, the American workers who were making unlit Christmas trees said, you know what, thank you, I'm going to go get a job somewhere else. I am not getting paid 40 hours a week to string lights on trees. And so that industry actually moved to Southeast Asia, specifically to Thailand back in the early 90s, eventually moved to China and other places. But it's so tedious that American factory workers are like, nope, I'm going to.

Go get a different job.

So I don't think that we're going to ever see pre lit Christmas trees made in the United States or made in Western Europe or the uk. There are actually a couple factories in Eastern Europe that do produce a small amount. We recently found one in Colombia, in South America. So there's a little bit of production outside of Southeast Asia. But 99.9% of all pre lit Christmas trees are all made in Southeast Asia.

[Ed Butler]

So Southeast Asia, China, these are all places facing 20%, perhaps higher tariffs. That's an awful lot more cost on your products. Are you charging more this year?

[Mac Harmon]

We are in the US market, so we're not in other markets, but in the US market, we've had to raise our prices at least 10%. It kind of depends on the category because some of these categories actually had tariffs that have been in place for longer. So as an example, snow globes, you know, a wonderful holiday treat. We just didn't order those this year. Or we ordered those and then we canceled the orders because the tariffs were so high on those that we just decided it didn't make sense to bring in Christmas lights, fairy lights that you hang all over your house. All the advanced ones are generally manufactured in China and those for most of this year had a 63% tariff. And we looked at that category. And we said these prices are just too high for consumers orders. And so we also canceled those orders and just don't have those this year. And so as a company for whom our purpose is to create joy together, it's saddening. But at the same time, we were doing this to adapt so that we can bring joy through the products that we do have to retail this year.

[Ed Butler]

No snow globes in the US this year.

[Mac Harmon]

Not from Balsam Hill, maybe from elsewhere.

But not from us.

[Ed Butler]

You seem to be implying that Donald Trump is the president who deprived Americans of their Christmas. I mean, that was seemed to be what you were hinting there. That's going. It's an extreme position to take, isn't it?

[Mac Harmon]

I do think that's an extreme position to take. I mean, look, President Trump campaigned about bringing Merry Christmas back. He talked about how, you know, some people don't say Merry Christmas anymore or Happy Christmas in the UK in the US It's Merry Christmas and instead people say Happy Holidays. And so he literally campaigned on bringing Merry Christmas, Christmas back and even said once you're going to feel even merry or something like that when you're shopping at Christmas. And so we know he loves Christmas. So we actually think President Trump will step in ultimately and do something to help Christmas. And look, I mean, what, what he's trying to do to rebalance America's trade deficits, we understand what he's trying to do. And I think it's really important that strategic goods like cell phones or computers or routers, things like that, shipbuilding, you know, drone manufacture, anything for kind of national security, national defense, those are great things to bring to the US for national security reasons. We just don't think that non strategic goods like Christmas trees make sense to bring to the US So in all honesty, yes, the President's trade policies have made Christmas a little bit more challenging so far. But everything takes time to work out. And I am optimistic that he will do something to really save Christmas for next Christmas when, you know, we start importing again just months from now to get ready for Christmas. 26.

[Ed Butler]

Despite the challenges, Mac remains fittingly optimistic.

[Mac Harmon]

It's like I'm on the pitch right now in the final, like right now we are so focused on delivering joy this year. To be really honest, it's hard to say what the dream is.

We have our, you know, a strategy.

Off site on January 5th that we start getting ready for next year and the future. But very much I think the big.

Picture vision of Balsam hasn't changed.

We want to continue expand.

We just met with a major retailer in Latin America last week to talk about a partnership with them.

We're very excited about getting to Asia.

And the Middle east and so the.

Trade wars and tariffs can stop Christmas. I mean, Christmas is such a universally appreciated holiday.

It's something that's so deeply meaningful to.

So many of us. I just don't think that a trade war or trade realignments or a decrease in globalization or whatever it might be, I just don't think those things can slow down Christmas. It didn't slow it down in Bethlehem 2,000 years ago. I don't think it's going to stop it now.

[Ed Butler]

That was Mack Harman, founder and CEO of Balsam Hill, Navigating sustainability, global supply chains and geopolitics, all in the hope of keeping the Christmas tree alight. Thanks for listening to this edition of Business Daily on the BBC World Service. I'm Ed Butler. The producer was David. Can you can hear more episodes just search for Business Daily wherever you get your podcasts.

[Kelly Clarkson]

Hey y'. All, it's Kelly Clarkson with Wayfair. My favorite thing about the holidays, Decking out my whole house. And it's not a competition. But like, if it was, I would totally win the season with Wayfair. Giant outdoor inflatable Santa. Got it on Wayfair. Trees, lights and ornaments in every style and color. Yep, got those on Wayfair. Garland, accent pillows, cozy throws, nutcrackers. Wayfair, Wayfair, Wayfair. When it comes to hosting, Wayfair's got me covered there, too. I got a brand new dining table set that fits the whole family, sheets and towels for extra guests, and even the cutest holiday bed sheets for the kiddos. All thanks to Wayfair. And the best part, I got it all shipped fast and free. It's a Wayfair holiday miracle, y'.

[Mac Harmon]

All.

[Kelly Clarkson]

I'm not saying there's a champion of Christmas or anything, but if there was, it'd be the lady with the year round Christmas village who shops at Wayfair. That would be me. For everything festive and just your style. All delivered with fast and free shipping. Visit Wayfair.com or download the Wayfair app to totally win this season. But again, it's not a competition. Wayfair every style, every home.