Lawn & Garden Consumables

As Quoted In Garden Center

A recovery in residential construction activity, coupled with a demand for fertilizer used in conjunction with new lawn installations and rehabilitating vacant property lawns, will spur growth.

US demand to reach $8.8 billion in 2016

US demand for packaged lawn and garden consumables is projected to rise 3.3 percent annually to $8.8 billion in 2016. Advances will be boosted by the ongoing recovery in residential construction activity, following a decline of historic proportions. Moreover, although the popularity of gardening is not expected to reach the levels seen in the middle years of the last decade, the participation rate for lawn and garden activities is projected to grow following a downturn precipitated by the 2007-2009 recession and the subsequent slow recovery.

Pesticides, fertilizer to remain major product types

Pesticides and fertilizer will remain the largest types of lawn and garden consumables products. Volume increases for fertilizer will be driven by the recovery of the housing market, which will create demand for fertilizer used in conjunction with new lawn installations, as well as in rehabilitating lawns in properties that have long been vacant. Price growth for fertilizer is expected to moderate following the noteworthy increases in recent years. Gains will be slower for pesticides, in part because the leading products in the lawn and garden market are off-patent, which limits price gains; and because many consumers will seek to reduce pesticide usage due to concerns about user safety and long term environmental impact. Such concerns will contribute to across-the-board faster growth for natural and organic lawn and garden products.

Consumer applications to outpace professional

Consumer applications are expected to post faster gains than the professional segment through 2016. This is largely due to slower than average growth anticipated for the golf course market, the largest nonresidential outlet for lawn and garden consumables. The number of golf courses is expected to remain about the same as it is now. Moreover, in order to contain costs and reduce environmental impact, course superintendents are opting to reduce the amount of land on the course that is maintained at the most aggressive level.

West, South regions to exhibit healthy growth

Growth in each census region is expected to improve over the market’s performance in the 2006-2011 period, during which both a recession and a collapse of the US housing market occurred. The South is projected to post above average gains, due to faster population growth created in part by in-migration from elsewhere in the US, a somewhat stronger economic performance, and a less developed professional market. The West will remain by far the largest regional market for lawn and garden consumables, due to similar demographic advantages as those in the South, as well as the large number of golf courses in California and other Western states.

Study Scope

This study analyzes the $7.5 billion US lawn and garden consumables industry. It presents historical demand data for the years 2001, 2006 and 2011, with forecasts for 2016 and 2021 by product (e.g., pesticides, fertilizer, seeds, growing media, mulch), formulation, market (e.g., residential, golf courses), application (e.g., lawn and turf care, gardens and borders), end user (consumer/DIY, professional) and US region.

The study also considers market environment factors, details industry structure, evaluates company market shares and profiles 39 industry players, including Scotts Miracle-Gro, Central Garden & Pet and Spectrum Brands.