Annual Report 2009 - Husqvarna Group

Consumer Products Husqvarna Annual Report 2009 19
In order to map consumer trends, drivers and attitudes in
terms of gardening, Husqvarna has commissioned independent
research institutes to survey and prepare the reports The
Future of Gardening (2009) and The Global Garden Report
2010.
Among other things, in The Future of Gardening Report,
three future trends were identified – the increased importance
of the garden for organic cultivation, the increased integration
of green areas in urban environments, and greater automation
of gardening chores.
The Global Garden Report 2010 shows a trend among leading
gardeners toward more individually configured gardens,
and also confirms the trend to increased cultivation of fruit and
vegetables.
Competitors
Most of Husqvarna’s competitors sell products for both consumers
and professional users. The most important competitors
are the US companies John Deere, Modern Tool and Die
Company (MTD) and Toro, and the European companies
Global Garden Products (GGP) and Stihl.
John Deere and Toro are the only competitors that are listed
companies.
Husqvarna competes with John Deere and MTD primarily
within lawn mowers and garden tractors. Toro is also a competitor
in the US within lawn mowers and trimmers for the
consumer market.
GGP has a leading position within lawn mowers and riders in
the European consumer market under brands such as Stiga.
Bosch of Germany is a competitor mainly within electrically and
battery-powered products, while the British company Hozelock
has a strong position within garden irrigation and garden
ponds, primarily in the UK.
Stihl is a competitor within several product categories, in
particular petrol-powered handheld products such as chainsaws
and trimmers for the high-end segment.
Considerable seasonal variations
Husqvarna’s operations show considerable seasonal variations,
with the majority of sales during the first half of the year, see
graph on page 17.
The season for gardening equipment peaks during the
second quarter and is essentially over by the end of the third
quarter. The season for irrigation products is normally shorter
and usually ends after the second quarter. Production and
inventory-buildups for the coming season normally start in the
fourth quarter.
Consumer Products North America
In 2009, the North American operation accounted for somewhat
more than half of sales within Consumer Products. Sales
were higher than in 2008, in both SEK and USD.
In North America, the greater share of sales is through massmarket
channels under the Poulan and WeedEater brands, as
well as to Sears under its Craftsman brand. The share of highend
Husqvarna-branded products has been increasing steadily
in recent years.
Market position
The Group has strong market positions, particularly for lawn
mowers, garden tractors, trimmers and chainsaws. Husqvarna
captured additional market shares for garden tractors, lawn
mowers and leaf blowers in North America during the year.
Product offering
• Petrol-powered wheeled products such as lawn mowers,
garden tractors and snow throwers.
• Petrol-powered handheld products such as chainsaws,
trimmers and leaf blowers.
• Electrically powered handheld products such as
hedge trimmers and leaf blowers.
• Electrically powered lawn mowers and different models
of the robotic lawn mower, Automower ® .
• Products for irrigation and garden ponds, as well as
gardening equipment such as pruning shears, rakes
and shovels.
Brands, production and competitors
North America
Rest of the World
Major brands Husqvarna ® , Poulan ® , Husqvarna ® , Gardena ® ,
WeedEater ® Flymo ® , Partner ® ,
McCulloch ®
Major plants USA Germany, Czech
Republic, Great Britain
Major
competitors
John Deere, MTD
Stihl, Toro
Bosch, GGP, Hozelock,
Stihl, TTI