Lawn and Garden - US - February 2014

SCOPE AND THEMES
What you need to know
Definition
Data sources
Sales data
Consumer survey data
Abbreviations and terms
Abbreviations
Terms
EXECUTIVE SUMMARY
The market
Upward growth in the lawn and garden market
Figure 1: Total US sales and fan-chart forecast of lawn and garden products, equipment, and services, 2008-18
Lawn and garden products market share dominates but services see most growth
Figure 2: Share of lawn and garden sales on products, equipment, and services, at current prices, 2013
Market factors
Housing recovery boosts homeowners’ confidence to contract out lawn/garden services
Figure 3: Key demographic groups of homeownership and rentership rates in the US, 2012
Recovery in remodeling activity, improvement to lawn and garden
Figure 4: Remodeling market index, seasonally adjusted, by current market conditions, 2009-13
Lawn and garden TV shows motivating force behind home improvement
Popularity of at-home cooking
The consumer
Economic recovery may lead to more lawn care professional hires
Figure 5: Types of lawn and garden activities as DIY versus professional projects, December 2013
Younger demographics are most engaged DIYers
Figure 6: DIY lawn versus garden activities done and planned, by age, December 2013
Renters more likely than owners to do DIY gardening, hire professional gardening services in the next 12 months
Figure 7: Lawn versus garden activities as DIY versus paid projects planned in the next 12 months, by own or rent primary residence, December 2013
Young people prefer national lawn care service providers over locals
Figure 8: Professional care services plan to hire in the next 12 months, local versus national, by gender and age, December 2013
Social media users more likely than average to hire professional lawn care
Figure 9: Intention to hire professional care services (local versus national company) in the next 12 months, by social media usage, December 2013
In-store shopping dominates online
Figure 10: Retailers and channels shopped for lawn and garden supplies in the last 12 months, in-store versus online, December 2013
Online, mobile channels crucial to connecting with younger DIYers
Figure 11: Attitudes toward lawn and garden shopping – In-store browsing, asking for help and app usage, by gender and age, December 2013
Factors driving lawn and garden projects
Renters hampered by inability to make major changes, homeowners see lawn and garden as a chore
Figure 12: Frustrations and dissatisfactions in lawn care and gardening, by own versus rent primary residence, December 2013
Social influence in lawn and gardening for young demographics
Figure 13: Attitudes toward lawn/garden clubs, workshops, and social media, by age, December 2013
Barriers to lawn care/gardening most likely associated with time, money, skill, and chore
Figure 14: Attitudes toward lawn and garden, skills, and financing, December 2013
The need for greater efforts in incentivizing community garden participation
Figure 15: Attitudes toward community gardening, by key demographics, December 2013
What we think
ISSUES AND INSIGHTS
Understanding the motivations to engage in lawn care and gardening
Issues
Implications
How does digital technology influence which types of lawn/garden projects are undertaken?
Issues
Implications
How does urbanization influence people’s attitudes and behaviors toward lawn and garden?
Issues
Implications
TREND APPLICATIONS
Inspire Trend: Switch Off
Inspire Trend: Rebirth of Cities
Mintel Futures: Human
MARKET SIZE AND FORECAST
Key points
Cautious optimism for the lawn and care market
Figure 16: Total US sales and forecast of lawn and garden products, equipment, and services, at current prices, 2008-18
Figure 17: Total US sales and forecast of lawn and garden products, equipment, and services, at inflation-adjusted prices, 2008-18
Fan chart forecast of lawn and garden product sales
Figure 18: Total US sales and fan-chart forecast of lawn and garden products, equipment, and services, 2008-18
MARKET DRIVERS
Key points
The shift of housing to rentals in the US
Housing recovery boosts homeowners’ confidence to contract out lawn/garden services
Figure 19: Incidence of homeowners and renting in the US, by key demographics, 2012
Rebound in remodeling activity translates to a near-term boost to lawn and garden
Figure 20: Remodeling Market Index, seasonally adjusted, by current market conditions, 2009-13
Lawn and garden TV shows motivating force behind home improvement
Popularity of at-home cooking
SEGMENT PERFORMANCE
Key points
Lawn and garden products continue to dominate but most growth seen in services
Figure 21: Total US sales and forecast of lawn and garden products, equipment, and services, by segment, at current prices, 2008-13
Figure 22: Share of lawn and garden sales on products, equipment, and services, by segment, at current prices, 2008-13
Sales of products still not back to pre-recession levels
Figure 23: Total US retail sales of lawn and garden products, at current prices, 2008-13
Services segment growing though remains smaller than products
Figure 24: Total US sales of lawn and garden services, at current prices, 2008-13
Equipment segment shows a stable growth
Figure 25: Total US retail sales of lawn and garden equipment, at current prices, 2008-13
RETAILER OVERVIEW
Home centers leading lawn and garden products
The Home Depot
Lowe’s
Menards
Local and specialty nurseries leverage their regional market presence
American Plant
Plant Delights Nursery Inc.
Sunscapes Rare Plant Nursery
Contrary Mary’s Plants and Designs
Hardware retailers excel through small-store formats
Other retailers in the lawn and garden product market
Leading lawn care service providers
TruGreen
Scotts LawnService
INNOVATIONS AND INNOVATORS
Small-space garden
Garden kits for children
Lawn and garden equipment, tools, and accessories
Digital technology in lawn and garden
Mobile apps in lawn and garden
Figure 26: The Suntory® Collection, Virtual Garden and Patio Planting Designer, 2014
Abbey Parks Farms’ iGrow field-to-fork virtual gardening
The concept of being green
Eco-friendly lawn and garden products
Gardening on public transport
Figure 27: Phytokinetic, urban transport vehicles, 2013
Gardening for eco-friendly advertising
Figure 28: Urban Air, bamboo billboard gardens, 2012
SOCIAL MEDIA – LAWN AND GARDEN
Key points
 KEY SOCIAL MEDIA METRICS
Figure 29: Key social media metrics, January 2014
Market overview
Brand usage and awareness
Figure 30: Brand usage and awareness levels, January 2014
Interactions with lawn and garden retailers
Figure 31: Interactions with lawn and garden retailers, Jan. 2014
Online conversations
Figure 32: Online conversations around selected lawn and garden retailers, by month, Jan. 1- Dec. 31, 2013
Where are people talking about lawn and garden retailers?
Figure 33: Online conversations around selected lawn and garden retailers, by page type, Jan. 1- Dec. 31, 2013
What are people talking about?
Figure 34: Topics of discussion among the selected lawn and garden retailers, Jan. 1- Dec. 31, 2013
 ANALYSIS BY BRAND
Home Depot
Figure 35: Social media metrics – Home Depot, January 2014
Key online campaigns
What we think
Lowe’s
Figure 36: Social media metrics – Lowe’s, January 2014
Key online campaigns
What we think
TruGreen
Figure 37: Social media metrics – TruGreen, January 2014
Key online campaigns
What we think
Ace Hardware
Figure 38: Social media metrics – Ace Hardware, January 2014
Key online campaigns
What we think
Menards
What we think
Scotts LawnService
Figure 39: Social media metrics – Scotts LawnService, January 2014
Key online campaigns
What we think
MARKETING STRATEGIES
TV advertising
Strategy: Familiarity breeds…neighborly advice
Figure 40: Ace Hardware, “Nicknames” TV ad, April 2013
Strategy: Promote convenience and simplicity, while inspiring creativity
Figure 41: Lowe’s, My Lowe’s “String Trimmer” TV ad, July 2013
Strategy: Less time spent on chores translates to more time for friends/family
Strategy: Highlight a simpler, faster way to patch and care for lawn
Figure 42: Pennington Seed, “Pennington® 1 Step Complete” TV ad, June 2013
Figure 43: Pennington Seed, “Pennington® Smart Seed®” TV ad, June 2013
Social media engagement
Strategy: Implementing proper amount of active social presence
Figure 44: Lowe’s, social media ad, May 2013
Figure 45: Scotts LawnService, “The Opinions Next Door” social media ad, April 2013
Strategy: Creating shopping events
Figure 46: Home Depot, “#DigIn – Spring 2013” social media promo ad, May 2013
Figure 47: Ace Hardware, “Show Your Lawn Some Love” social media promo ad, April 2013
Strategy: Maintaining interactive communications to engage social media audience
Figure 48: Scotts, “January Lawn of the Month” social media promo ad, January 2014
Strategy: Providing value-added benefits via social sites
Figure 49: Lowe’s, social media ad, December 2013
Figure 50: TruGreen, social media ad, February 2014
Figure 51: EarthBox, “Indian Shores Community Garden Opening” social media ad, August 2012
Email and online advertising
Strategy: Emphasis on better overall value as exclusive members
Figure 52: The Home Depot, Garden Club email promotion, February 2014
Strategy: Offering rewards through a photo contest
Figure 53: EarthBox, “Photo of The Month Contest” online ad, January 2014
Print advertising
Strategy: Targeted marketing to garden enthusiasts
Figure 54: High Caliper Growing, The Smart Pot® print ad, January 2014
CHARACTERISTICS OF OUTDOOR VERSUS INDOOR GARDEN OWNERS
Key points
Outdoor space most popular; indoor gardening often an extension of outdoor, particularly for affluent homeowners
Figure 55: Ownership/engagement in indoor versus outdoor space for lawn and garden, December 2013
Ownership of a lawn/garden or engagement in lawn and garden activities correlates strongly with homeownership
Figure 56: Profile of outdoor and indoor garden owners/participants, December 2013
Older people likely keen on outdoor lawn and garden
Figure 57: Ownership/engagement in indoor versus outdoor space for lawn and garden, by gender and age, December 2013
Higher-income households’ higher engagement in lawn and garden activity
Figure 58: Ownership/engagement in indoor versus outdoor space for lawn and garden, by household income, December 2013
Homeowners’ lawn care work will increasingly be done by service providers in the next 12 months
Figure 59: Lawn and garden activities undertaken, DIY versus professional, by indoor versus outdoor lawn and garden, December 2013
ATTITUDES TOWARD COMMUNITY GARDENING AND GREEN SPACES
Key points
The need for greater efforts in incentivizing community garden participation
Figure 60: Attitudes toward community gardening, by key demographics, December 2013
Presence of children plays a significant role in more public green space for gardening
Figure 61: Attitudes toward community gardening, by key demographics of parents, December 2013
Social media likely influential in drawing attention to community gardening
Figure 62: Attitudes toward community gardening, by social media usage, December 2013
TYPES OF LAWN AND GARDEN PROJECTS UNDERTAKEN AND PLANNED
Key points
Lawn and garden projects: DIY versus hiring a professional
Uptick in consumer confidence likely to boost demand for lawn maintenance services
Figure 63: Types of lawn and garden activities as DIY versus professional projects, December 2013
Men more engaged lawn and garden DIYers, but projects largely maintenance-related
Younger DIYers the most enthusiastic
Figure 64: Types of DIY lawn and garden done or planned in the past 12 months/next 12 months, by gender and age, December 2013
Men and those aged 18-44 more likely to hire lawn and garden service
Figure 65: Types of lawn and garden projects expected to be hired to professionals in the next 12 months, by gender and age, December 2013
Seeds, bulbs, and fertilizers most popular purchases
Figure 66: Purchases of seeds, bulbs, and fertilizers in the last 12 months, July 2008-September 2013
PROFESSIONAL LAWN CARE SERVICES
Key points
Aged 18-34 favor national lawn care service providers over locals
Figure 67: Intention to hire professional care services (local versus national company) in the next 12 months, by gender and age, December 2013
Social media users more likely than average to use professional lawn care
Figure 68: Intention to hire professional care services (local versus national company) in the next 12 months, by social media usage, December 2013
CHANNELS SHOPPED FOR LAWN AND GARDEN
Key points
In-store shopping still trumps online
Most lawn and garden supplies purchased at large home stores
Figure 69: Retailers and channels shopped for lawn and garden supplies in the last 12 months, in-store versus online, December 2013
Millennials likely to shop at multiple channels and keen to online shopping
Figure 70: Retailers and channels shopped for lawn and garden supplies in the last 12 months (in-store and online), by age, December 2013
HOMEOWNERS VERSUS RENTERS
Key points
Property renters likelier than owners to do DIY gardening in the next 12 months and to seek professional gardening services
Figure 71: Types of DIY lawn and garden activities in the past and in the next 12 months, by own versus rent primary residence, December 2013
Figure 72: Plan to hire lawn and garden professionals in the next 12 months, by own versus rent primary residence, December 2013
Homeowners most likely shop at Home Depot and Lowe’s for lawn and garden; renters main patrons for mass merchandisers
Figure 73: Retailers and channels shopped for lawn and garden supplies in the last 12 months, by own versus rent primary residence, December 2012
Limited ability to make changes a major barrier to property renters; homeowners overcoming lawn and garden as a chore
Figure 74: Frustrations and dissatisfactions in lawn care and gardening, by own versus rent primary residence, December 2013
Differing motivations necessitate more targeted marketing toward homeowners versus renters
Figure 75: Attitudes toward motivations and innovations in lawn and garden, by own versus rent primary residence, December 2013
Realistic guidance needed, particularly for homeowners
Lack of money likely drives renters’ desire for lawn and garden club or DIY workshops
Figure 76: Attitudes toward lawn and garden skills, financing, and social influence, by own versus rent primary residence, December 2013
FACTORS DRIVING LAWN AND GARDEN INITIATIVES
Key points
Motivating factors to carry out lawn and garden projects
Got dirt?
“Farm-on-table”
Green lifestyle
Figure 77: Motivations to undertake lawn and garden projects, by gender and age, December 2013
Quality time for family
Figure 78: Motivations to undertake lawn and garden projects, by parents with children and age, December 2013
Attitudes toward lawn and garden shopping
In-store shopping experience particularly important for women and older participants
Online, mobile channels critical when targeting younger DIYers
Figure 79: Attitudes toward lawn and garden shopping, by gender and age, December 2013
Frustrations and dissatisfactions in lawn care and gardening
Younger individuals and parents with young children likely discouraged by time and money constraints
Figure 80: Frustrations and dissatisfactions in lawn care and gardening, by age, December 2013
Figure 81: Frustrations and dissatisfactions in lawn care and gardening, by presence of children and age, December 2013
SOURCES OF LAWN AND GARDEN IDEAS AND INSPIRATIONS
Key points
Sources of ideas and inspirations for lawn and garden projects
“My own original ideas” and family/friends key source for lawn and garden inspirations
Women as gardeners and caretakers
Figure 82: Sources of ideas and inspirations for lawn and garden projects, by age and gender, December 2013
Ideas and inspirations from lawn and garden retailers/channels
Figure 83: Sources of ideas and inspirations for lawn and garden projects, by (select) retails shopped in-store for lawn and garden in the past 12 months, December 2013
Figure 84: Sources of ideas and inspirations for lawn and garden projects, by channels shopped in-store for lawn and garden in the past 12 months, December 2013
ATTITUDES TOWARD LAWN AND GARDEN
Key points
Americans’ affinity toward more green public spaces for gardening
Figure 85: Attitudes toward communities creating more green spaces for gardening, December 2013
Attitudes, skills, and financial motivations
Time, money, skill constrain DIY lawn care
18-44s keen to take on DIY lawn/garden, but likely constrained by lack of time and skill
Imminent role in “social” lawn and gardening among the young
Figure 86: Attitudes toward lawn and garden skills, financing, and social influence, by gender and age, December 2013
IMPACT OF RACE AND HISPANIC ORIGIN
Key points
Hispanics lawn and garden DIY enthusiasts
Figure 87: Lawn and garden activities undertaken, DIY versus professional, by race/Hispanic origin, December 2013
Blacks and Hispanics most likely to hire lawn and garden service providers
Substantial influence of “community” among Blacks and Hispanics
Hispanics’ strong emphasis on “masculine” lawn care
Figure 88: Professional care services plan to hire in the next 12 months, by race/Hispanic origin, December 2013
Figure 89: Attitudes toward lawn and garden skills, financing, and social influence, by race/Hispanic origin, December 2013
Bonding with family and friends appeals to Hispanics and Blacks
Figure 90: Motivations to undertake lawn and garden projects, by race/Hispanic origin, December 2013
CLUSTER ANALYSIS
Figure 91: Target clusters, December 2013
Lawn and Garden Aficionados
Demographics
Characteristics
Opportunity
Novice Horticulturists
Demographics
Characteristics
Opportunity
Leveraged Spectators
Demographics
Characteristics
Opportunity
Pragmatic Greenskeepers
Demographics
Characteristics
Opportunity
Cluster characteristics
Figure 92: Lawn and garden clusters, December 2013
Figure 93: Ownership/engagement in indoor versus outdoor space for lawn and garden, by lawn and garden clusters, December 2013
Figure 94: Types of DIY lawn and garden done or planned in the past 12 months/next 12 months, by lawn and garden clusters, December 2013
Figure 95: Types of lawn and garden projects expected to be hired to professionals in the next 12 months, by lawn and garden clusters, December 2013
Figure 96: Intention to hire professional care services (local versus national company) in the next 12 months, by lawn and garden clusters, December 2013
Figure 97: Retailers and channels shopped for lawn and garden supplies in the last 12 months (in-store and online), by lawn and garden clusters, December 2013
Figure 98: Retailers and channels shopped for lawn and garden supplies in the last 12 months (in-store), by lawn and garden clusters, December 2013
Figure 99: Retailers and channels shopped for lawn and garden supplies in the last 12 months (online), by lawn and garden clusters, December 2013
Figure 100: Frustrations and dissatisfactions in lawn care and gardening, by lawn and garden clusters, December 2013
Figure 101: Sources of ideas and inspiration for lawn and garden projects, by lawn and garden clusters, December 2013
Figure 102: Attitudes toward lawn and garden skills, financing, and social influence, by lawn and garden clusters, December 2013
Cluster demographics
Figure 103: Key demographics, by lawn and garden clusters, December 2013
Cluster methodology
APPENDIX – OTHER USEFUL CONSUMER TABLES
Characteristics of outdoor versus indoor garden owners
Figure 104: Ownership/engagement in indoor versus outdoor space for lawn and garden, by gender and age, December 2013
Figure 105: Ownership/engagement in indoor versus outdoor space for lawn and garden, by household income, December 2013
Figure 106: Engagement in/ownership of indoor versus outdoor garden/yard, by own or rent primary residence, December 2013
Types of lawn and garden projects
Figure 107: Types of lawn and garden activities done or planned in the past 12 months/next 12 months, December 2013
DIY lawn and garden activities
Figure 108: Types of DIY lawn and garden activities done or planned in the past 12 months/next 12 months, by household income, December 2013
Lawn and garden professional services
Figure 109: Lawn and garden projects done by professional service providers in the next 12 months, by household income, December 2013
Channels shopped for lawn and garden
In-store/online
Figure 110: Retailers and channels shopped for lawn and garden supplies in the last 12 months (in-store/online), by household income, December 2013
Figure 111: Retailers and channels shopped for lawn and garden supplies in the last 12 months (in-store/online), by region, December 2013
In-store
Figure 112: Retailers and channels shopped for lawn and garden supplies in the last 12 months (in-store), by household income, December 2013
Figure 113: Retailers and channels shopped for lawn and garden supplies in the last 12 months (in-store), by region, December 2013
Online
Figure 114: Retailers and channels shopped for lawn and garden supplies in the last 12 months (online), by household income, December 2013
Figure 115: Retailers and channels shopped for lawn and garden supplies in the last 12 months (online), by region, December 2013
Factors driving lawn and garden initiatives
Figure 116: Motivations to undertake lawn and garden projects, by household income, December 2013
Figure 117: Frustrations and dissatisfactions in lawn care and gardening, by household income, December 2013
Ideas and inspirations for lawn and garden projects
Figure 118: Sources of ideas and inspirations for lawn and garden projects, by gender, December 2013
Figure 119: Sources of ideas and inspirations for lawn and garden projects, by age, December 2013
Figure 120: Sources of ideas and inspirations for lawn and garden projects, by household income, December 2013
Figure 121: Sources of ideas and inspirations for lawn and garden projects, by age and household income, December 2013
Figure 122: Sources of ideas and inspirations for lawn and garden projects, by race/Hispanic origin, December 2013
Figure 123: Sources of ideas and inspirations for lawn and garden projects, by Hispanic origin and household income, December 2013
Figure 124: Sources of ideas and inspirations for lawn and garden projects, by region, December 2013
Figure 125: Sources of ideas and inspirations for lawn and garden projects, by parent/guardian with children living in household, December 2013
Figure 126: Sources of ideas and inspirations for lawn and garden projects, by parents with children and children’s age, December 2013
Figure 127: Sources of ideas and inspirations for lawn and garden projects, by primary residency, December 2013
Figure 128: Sources of ideas and inspirations for lawn and garden projects, by frequency of visiting social media websites, December 2013
Figure 129: Sources of ideas and inspirations for lawn and garden projects, by indoor versus outdoor space, December 2013
Figure 130: Sources of ideas and inspirations for lawn and garden projects, by types of DIY lawn and garden projects, December 2013
Attitudes toward lawn and garden
Figure 131: Attitudes toward lawn and garden, by household income, December 2013
Figure 132: Attitudes toward lawn and garden, by region, December 2013
Figure 133: Attitudes toward lawn and garden, by characteristics of outdoor versus indoor gardening, December 2013
APPENDIX – SOCIAL MEDIA – LAWN AND GARDEN
Brand usage or awareness
Figure 134: Brand usage or awareness, January 2014
Figure 135: Home Depot usage or awareness, by demographics, January 2014
Figure 136: Lowe’s usage or awareness, by demographics, January 2014
Figure 137: Menards usage or awareness, by demographics, January 2014
Figure 138: Ace Hardware usage or awareness, by demographics, January 2014
Figure 139: TruGreen usage or awareness, by demographics, January 2014
Figure 140: Scotts LawnService usage or awareness, by demographics, January 2014
Activities done
Figure 141: Activities done, January 2014
Figure 142: Home Depot – Activities done – I have looked up/talked about this brand online on social media…, by demographics, January 2014
Figure 143: Home Depot – Activities done – I have contacted/interacted with the brand online on social media to…, by demographics, January 2014
Figure 144: Home Depot – Activities done – I follow/like the brand on social media because…., by demographics, January 2014
Figure 145: Home Depot – Activities done – I have researched the brand on social media to…., by demographics, January 2014
Figure 146: Lowe's – Activities done – I have looked up/talked about this brand online on social media…, by demographics, January 2014
Figure 147: Lowe's – Activities done – I have contacted/interacted with the brand online on social media to…, by demographics, January 2014
Figure 148: Lowe's – Activities done – I follow/like the brand on social media because…., by demographics, January 2014
Figure 149: Lowe's – Activities done – I have researched the brand on social media to…., by demographics, January 2014
Figure 150: Menards – Activities done – I have looked up/talked about this brand online on social media…, by demographics, January 2014
Figure 151: Menards – Activities done – I have researched the brand on social media to…., by demographics, January 2014
Figure 152: Ace Hardware – Activities done – I have looked up/talked about this brand online on social media…, by demographics, January 2014
Figure 153: Ace Hardware – Activities done – I have contacted/interacted with the brand online on social media to…, by demographics, January 2014
Figure 154: Ace Hardware – Activities done – I follow/like the brand on social media because…., by demographics, January 2014
Figure 155: Ace Hardware – Activities done – I have researched the brand on social media to…., by demographics, January 2014
Figure 156: TruGreen – Activities done – I have looked up/talked about this brand online on social media…, by demographics, January 2014
Figure 157: TruGreen – Activities done – I have contacted/interacted with the brand online on social media to…, by demographics, January 2014
Figure 158: TruGreen – Activities done – I have researched the brand on social media to…., by demographics, January 2014
Figure 159: Scotts LawnService – activities done – I have looked up/talked about this brand online on social media…, by demographics, January 2014
Online conversations
Figure 160: Online conversations around selected lawn and garden retailers, by month, Jan. 1- Dec. 31, 2013
Figure 161: Online conversations around selected lawn and garden retailers, by page type, Jan. 1- Dec. 31, 2013
Figure 162: Topics of discussion among the selected lawn and garden retailers, Jan. 1- Dec. 31, 2013
APPENDIX – TRADE ASSOCIATIONS