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Economic Impacts of the Green Industry in the United States. A new national impact study shows the green industry supplies the nation with $147.8 billion in output, nearly 2 million jobs, $64.3 billion in labor income and $6.9 billion in business taxes. In 2004, the nursery/greenhouse sector accounted for $26 billion in sales, 261,408 jobs and $18.1 billion in value added impacts. The region with the largest impact was the Midwest ($19.2 billion) followed by the Pacific region ($18.4 billion), Northeast ($17.9 billion) and Southeast ($13.5 billion). The study was conducted by Univ. of Tenn. and Univ. of Fla. Click here to view a recent presentation at the 2007 OSU Nursery Shortcourse (569 kb). Economic Impacts of the Turfgrass and Lawncare Industry in the United States. Economic sectors of the industry include sod farms, lawncare services, lawn and garden retail stores, and lawn equipment manufacturing. As defined in this study, the five sectors comprising the U.S. turfgrass industry in 2002 generated total output (revenue) impacts of $57.9 billion (Bn), employment impacts of 822,849 jobs, value added impacts of $35.1 Bn, labor income of $23.0 Bn, and $2.4 Bn in indirect business taxes to local and state governments. If these values are expressed in 2005 dollars, the total output impact was $62.2 Bn and the total value added impact was $37.7 Bn. The value added impact represents total personal and business net income. The U.S. Lawn & Garden Market. Now in its 6th edition, this study by Packaged Facts features numerous tables detailing sales patterns for L&G equipment, supplies, and services, with projections offered to 2009. It also contains profiles of major marketers such as MTD, Toro, Electrolux, Deere, Ames True Temper, Fiskars, Scotts, TruGreen-Chemlawn, and now Briggs & Stratton and Rayovac; provides compete coverage of new product trends; engages in a thorough analysis of distribution and retail sectors; and surveys consumer purchasing patterns for numerous lawn and garden products and services. The Dilemma of Safer and Freer Trade: The Case of the U.S. Nursery Industry by Edward A. Evans and John J. VanSickle. Pressures to open up the U.S. market and facilitate freer trade in nursery stocks and planting material could result in increased imports of damaging pests and diseases. This paper considers issues facing the U.S. nursery industry in the context of the above debate and examines the risks to the industry of trading more freely in planting materials. Trade Flows and Marketing Practices within the United States Nursery Industry: 2003 by John R. Brooker, Charles R. Hall, David Eastwood, and Kirk Morris (University of Tennessee) in cooperation with members of the S-290 Cooperative Research Project. To capture critical information related to some marketing aspects of the green industry, this is the fourth in a series of surveys that tracked the changes in selected variables. Trade Flows and Marketing Practices within the United States Nursery Industry: 1998 by John R. Brooker (University of Tennessee), Roger A. Hinson (Louisiana State University), and Steve C. Turner (University of Georgia) in cooperation with members of the S-290 Cooperative Research Project. In 1989, researchers at land grant universities participating in the project conducted a survey of nursery professionals in 23 states. Five years later, a second survey of nursery professionals was conducted to provide another cross sectional data set regarding their marketing practices and trade flows. This current study follows the general format of the 1989 and 1994 studies. The 22 states surveyed in 1999 represented 69% of the 1998 U.S. grower cash receipts. A total of 44 states were included in the 2003 study. Floriculture and Environmental Horticulture Outlook and Yearbook. ERS has resumed its Floriculture and Environmental Horticulture report, which was last published in 1999. It is now available twice a year, as an electronic outlook report (issued August 28) and a yearbook (issued May 24), both available online. These reports provide current intelligence and forecast the effects of changing conditions in the U.S. floriculture and environmental horticulture sector. Topics include production, consumption, trade, prices received, and more. Nursery Crops. A product of the National Agricultural Statistics Service, Agricultural Statistics Board, U.S. Department of Agriculture. This full-text report presents data on nursery crops including broadleaf evergreens, coniferous evergreens, deciduous shade trees, deciduous flowering trees, deciduous shrubs and other ornamentals, fruit and nut plants, cut and to be cut Christmas trees, transplants for commercial truck crop production, and propagation material or lining-out stock; data includes the number of producers, number of trees and plants sold, gross sales, percent of sales that were wholesale, number of trees and plants on hand, value of those on hand, and percent of inventory expected to sell in 1 year, 2 years, 3 years, and 4 years or later for 17 selected states and growers having $100,000 or more in sales; also number of growers and part-time and full-time hired workers for growers with $10,000 or more in sales. Positioning for the Future of the Nursery Industry by Dr. Charlie Hall of the University of Tennessee-Knoxville discusses the driving forces affecting the greenhouse and nursery industries. The narrative identifies five driving forces categories with impacts and proposed solutions. In addition, there is a brief discussion on how one can benefit from using this information. Establishing
a Wholesale Nursery Business - One of the first questions asked by a budding
(pardon the pun) horticultural entrepreneur is "What is the best way to start
a nursery business and how much will it cost?" The following publications
specifically address this question by providing information regarding site establishment,
determining product mix, cultural practices, and economic considerations of wholesale
nursery production. Click on the links provided below to peruse the latest research-based
guides to entering the nursery business.
Pot-in-pot Nursery Production Systems - An alternative to traditional containerized production is the use of pot-in-pot systems where a container is placed permanently in the ground (socket pot) and a second container, with the desired plant, is placed into the socket pot. This system offers many advantages including root ball temperature reduction, in-place overwintering, reduced water usage, etc. The following publications specifically address this relatively new production system and its associated advantages and disadvantages culturally and economically.
Determining Costs of Production - The most important factor affecting the success of wholesale nursery businesses is the associated costs of producing and marketing landscape plants. The economic tool for determining costs of production is referred to as enterprise budgeting. The following publications specifically address typical costs faced by nursery operators today.
Risk Management for Specialty Crops - Risk is an inherent factor in the production and marketing of specialty crops. The following resources provide excellent information regarding the proper management of production, marketing, financial, legal, environmental, and human resource risks.
Software for Nursery Growers - One of the questions most often asked is "What software alternatives are out there for the nursery industry?" While the list below is not meant to be all-inclusive, it is a good point from which to start in analyzing which software may be best suited for your firm:
E-commerce applications in the green industry. Although e-commerce performance in the green industry has been mixed to date, opportunities do exist to apply information technologies to the marketing of green industry products and services. An excellent overview of B2B and B2C e-commerce strategies recently appeared in CIO magazine. A recent presentation also provides an introduction to applications in the green industry. While appropriate B2C models are still being evaluated, B2B models/portals have been highly touted as useful tools for e-procurement and online exchange. A few of the most popular B2B green industry sites (provided only as examples of this latest trend - not an endorsement) include Plantfind.com, Growit.com, NurseryNetwork.com, PlantsAvailable.com, Plant and Supply Locator, LMI Trees, PlantSearchOnline.com and PlantAmerica.com. TnNursery.com's marketplace type website has information for locating Tennessee-grown nursery products and supplies specifically.
Spectrum Net Designs offers services to the Green Industry including internet access, website registration, website hosting, website design, and website marketing. Focal Point Communications has been producing creative brochures, newsletters and sales aids for the green industry since 1987. Landscape companies, lawn care companies, trade associations and suppliers use Focal Point for solutions to their marketing challenges. Horticultural Management & Marketing is a website developed by Drs. Alan Hodges and John Haydu at the University of Florida. This site is an excellent source of horticultural business-related information for Florida and the entire Southeastern region. Pay particular attention to the publications stemming from the Business Analysis Program in Florida. These series of reports provide financial benchmarks on which to conduct cross-sectional financial analyses compared to other industry participants. Horticultural Business Management & Marketing is a website developed by Wen-fei Uva at Cornell University. Information includes selection of products and quality control measures needed to meet large volume, graded and temporal needs of large buyers, assisting in developing innovative management mechanisms applicable to horticultural businesses, and identifying marketing opportunities suitable for different size horticultural operations. Integrating finance, marketing and human resource management into producers' decisions regarding adoption of technology is an important element of the program. The Landscape/Horticulture Page at Auburn University is a compilation of publications that address specific topics that range from issues that concern commercial growers, urban foresters, landscape professionals and home gardeners. New cultivars and old standards are also discussed along with the issues that confront anyone who works with plants such as irrigation, fertilization, insect control and many others. Best Management Practices for horticultural firms are also addressed. Turfgrass Production, Marketing, and Management. The following list of publications are vital to those competing in the turfgrass industry:
The 2001 US National Arboretum "Web Version" of the USDA Plant Hardiness Zone Map (USDA Miscellaneous Publication No. 1475, Issued January 1990) is a useful resource in determining the suitability of plant materials for other regions. Click on any area within the United States to go to a close-up of that region. The U.S. Lawn and Garden Market - Featuring numerous sales tables and definitive marketer lists, and containing profiles of industry leaders such as Deere, Toro, MTD, Echo, Ames, Fiskars, Scotts, Pursell-Bayer, and TruGreen-ChemLawn, this study thoroughly examines competitive and new product trends, evolving regulatory issues, the shifting retail environment, the emergence of e-commerce, advertising/promotion expenditures and positioning, and consumer attitudes and purchasing patterns. It is a must-read for anyone interested in the lawn and garden market. Industry
Profile - Nurseries - First Research's Industry Profiles are designed
to provide subscribers quick, easy-to-use, up-to-date information. Each Industry
Profile relates how companies in the industry operate, the major challenges they
face, and on the opportunities they have.These market reports
are provided on a fee basis. The Greenbeam.com website is the "on-line channel for horticulture business solutions." Links to classifieds, weather, articles, relevant news briefs, plants, calculator, idea exchange, and a cyber conference can be found on this site. Tax Information for Businesses. This website, provided by the IRS, is a good source of information for tax rules and regulations. The Small Business/Self-Employed webpage, also provided by the IRS, offers information and links for starting a business, employee records, employer id numbers, and many other aspects of owning and operating a small business. Greenhouse
and Nursery Industry Trade Magazines
(and other commercial publications):
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Green
Industry Yellow Pages, Inc. - www.GIYP.com is a powerful search directory
serving both the retail and wholesale sides of the green industry. Customers worldwide
are searching GIYP for green industry products and services. As a buyer, GIYP
allows you to research the products that satisfy your needs. As a seller, GIYP
is a marketing medium that promotes your brand and marketing message. GIYP also
offers website development and direct mail services.