L&G Demand To Exceed $9 Billion
U.S. demand for packaged lawn and garden consumables, which includes fertilizers, pesticides, growing media, seeds, mulch and other related products, is forecasted to increase nearly 5 percent per year to $9.1 billion in 2010. Growth will be driven by the continued introduction of new (especially “premium”) products and expanding marketing programs, stated The Freedonia Group, Inc., a Cleveland-based industry market research firm. These and other trends are presented in Lawn & Garden Consumables, a new study from The Freedonia Group, Inc.
Further promoting growth will be a general increase in landscaping activities as well as an increase in first-time homebuyers. Gains will also result from acceleration in nonresidential building construction spending, where the installation of lawns and landscaped areas is commonly included in the construction of new buildings.
Limiting gains, however, will be increased concerns over chemical (e.g., fertilizers and pesticides) use on lawns and gardens, particularly in regard to how these chemicals affect bodies of water and the health of individuals and animals.
Best opportunities are anticipated for new products that offer convenience and good performance while also meeting health and safety standards. Growth will be led by fertilizers, growing media and mulch, all of which will continue to post annual gains of more than 6 percent. Sales of organics will grow nearly twice as fast as conventional products but will remain a small percentage of the entire market. Sales will be sluggish for pesticides, which make up almost 30 percent of the market.
The residential market will account for more than three-quarters of total demand in 2010 and post above-average growth, driven by solid gains in both the “do-it-yourself” and “do-it-for-me” segments. Home gardening activity, including lawn care, has been steadily increasing over the past decade as the Baby Boom generation has entered the 55- to 64-year-old age segment – the demographic that is most likely to be or become gardeners.
Lawn & Garden Consumables is available for $4,300 from The Freedonia Group, Inc. For further details, please contact Corinne Gangloff at [email protected] or (440) 684-9600. You can also visit www.freedoniagroup.com.
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