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Economic Impacts of the Green Industry in the - Urban Forest ...

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premises. Besides <strong>of</strong>fer<strong>in</strong>g basic services, many lawncare firms also <strong>of</strong>fer customized programs which <strong>of</strong>ten<br />

<strong>in</strong>clude lawn aeration, dethatch<strong>in</strong>g, resodd<strong>in</strong>g and/or overseed<strong>in</strong>g, and <strong>in</strong>tegrated pest management.<br />

RETAILERS<br />

Retail firms are ano<strong>the</strong>r po<strong>in</strong>t <strong>of</strong> contact with end consumers <strong>of</strong> horticultural products, such as <strong>in</strong>dependent garden<br />

centers, florists, home centers, mass merchants, and o<strong>the</strong>r cha<strong>in</strong> stores. Garden centers are establishments<br />

primarily engaged <strong>in</strong> sell<strong>in</strong>g trees, shrubs, o<strong>the</strong>r plants, seeds, bulbs, mulches, soil conditioners, fertilizers,<br />

pesticides, garden tools, and o<strong>the</strong>r garden supplies to <strong>the</strong> general public. These establishments primarily sell<br />

products purchased from o<strong>the</strong>rs, but may sell some plants which <strong>the</strong>y grow <strong>the</strong>mselves. Garden center consumer<br />

studies <strong>in</strong>dicate customer loyalty and repeat bus<strong>in</strong>ess result from a convenient store location, plant quality,<br />

customer service, and plant selection. Accord<strong>in</strong>g to <strong>the</strong> latest National Garden<strong>in</strong>g Survey, <strong>the</strong> number <strong>of</strong><br />

households that purchased lawn and garden products at selected retail outlets <strong>in</strong> 2003 is outl<strong>in</strong>ed below:<br />

Table 1-1. U.S. Households Purchas<strong>in</strong>g Lawn and Garden Products, By Type <strong>of</strong> Outlet, 2003<br />

Type <strong>of</strong> Retail Outlet<br />

Home Center<br />

Independent Garden Center<br />

Mass Merchandiser<br />

Hardware Store<br />

Supermarket/Drug Store<br />

Feed/Seed Store<br />

Mail Order/Internet<br />

Number <strong>of</strong><br />

Households<br />

(Millions)<br />

45<br />

36<br />

34<br />

25<br />

16<br />

10<br />

6<br />

Share <strong>of</strong><br />

Households<br />

(%)<br />

53 %<br />

43 %<br />

41 %<br />

30 %<br />

19 %<br />

12 %<br />

7 %<br />

END USERS<br />

F<strong>in</strong>al consumers <strong>of</strong> <strong>Green</strong> <strong>Industry</strong> products and services are referred to as end users. While <strong>the</strong> vast majority <strong>of</strong><br />

nursery and turfgrass products used by end users are purchased from <strong>Green</strong> <strong>Industry</strong> bus<strong>in</strong>esses, this is not <strong>the</strong><br />

case for services. A significant amount <strong>of</strong> lawn and landscape services are performed by <strong>the</strong> end users <strong>the</strong>mselves.<br />

However, <strong>the</strong>se services are only for <strong>in</strong>ternal consumption; that is, end users do not ma<strong>in</strong>ta<strong>in</strong> or care for any<br />

landscape plants or green space o<strong>the</strong>r than <strong>the</strong>ir own.<br />

The list <strong>of</strong> end users <strong>in</strong>cludes airports, cemeteries, churches, commercial general bus<strong>in</strong>ess areas, golf courses and<br />

driv<strong>in</strong>g ranges, homeowners, municipalities, private recreation areas, public roadways, schools and universities,<br />

and utilities. "Commercial areas" are comprised <strong>of</strong> restaurants, banks, credit unions, commercial build<strong>in</strong>g<br />

operators, shopp<strong>in</strong>g centers, real estate managers, apartment build<strong>in</strong>gs, o<strong>the</strong>r dwell<strong>in</strong>g operators, mobile home<br />

sites, hotels and motels, medical centers, nurs<strong>in</strong>g care centers, <strong>in</strong>termediate care facilities, general and specialty<br />

hospitals, residential care facilities, retirement communities, community centers, and adult and child day-care<br />

centers. City park districts, arboretums and zoos, city streets, and o<strong>the</strong>r urban public areas are ma<strong>in</strong>ta<strong>in</strong>ed by<br />

municipalities. Public roadways encompass both state and county roadsides and highways.<br />

The National Garden<strong>in</strong>g Association is a well known and widely recognized authority on <strong>the</strong> consumer lawn and<br />

garden market <strong>in</strong> <strong>the</strong> United States. S<strong>in</strong>ce 1973, NGA has worked with <strong>the</strong> Gallup Organization (and now with<br />

Harris Interactive, Inc.) to provide market research <strong>in</strong>formation for <strong>the</strong> lawn, garden, and nursery <strong>in</strong>dustries. Some<br />

highlights <strong>of</strong> <strong>the</strong> latest NGA survey <strong>in</strong>clude:<br />

• Eight out <strong>of</strong> ten U.S. households (78%), or 84 million households, participated <strong>in</strong> one or more types <strong>of</strong><br />

do-it-yourself <strong>in</strong>door and outdoor lawn and garden activities <strong>in</strong> 2003. That is about <strong>the</strong> same number seen<br />

<strong>in</strong> 2002, and one <strong>of</strong> <strong>the</strong> highest levels <strong>of</strong> participation seen <strong>in</strong> <strong>the</strong> past five years.<br />

• Consumers spent an average <strong>of</strong> $457 per household on <strong>the</strong>ir lawns and gardens <strong>in</strong> 2003. Over <strong>the</strong> past<br />

five years, annual spend<strong>in</strong>g has averaged $465. USDA/ERS reports average household expenditures <strong>in</strong><br />

2003 on nursery and floral plants alone at $140 per household.<br />

• Consumers spent a total <strong>of</strong> $38.4 billion on <strong>the</strong>ir lawns and gardens <strong>in</strong> 2003. That was about <strong>the</strong> same<br />

level <strong>of</strong> spend<strong>in</strong>g seen over last three years. Over <strong>the</strong> past five years, total lawn and garden sales have<br />

9

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