Here at Jay Scotts, we have a keen interest in the state, size, and direction of the landscaping industry as a means to keep our planter products and services relevant and at the optimum value to both those working in the landscaping industry and the end-user.
There are times when our research and development are worth sharing.
We have read the full report so you do not have to!
So if you are a lawn care and gardening business, landscape professional, small business owner, landscaping and groundskeeping worker, or even a customer who wants to keep abreast of the landscaping industry statistics, trends, challenges, and general information, this article is for you.
Though an optimistic outlook persists for the landscaping services industry in North America, and overall confidence in growth remains strong, there are a few insights you must be aware of.
Read on to find out what to expect in the landscaping services market in the year to come.
2022 Overview for the Landscaping Services Industry
By most estimates, 2022 promises to be a great year for the landscaping industry. Landscaping demand is expected to grow unabated.
Federal funding for urban infrastructure raises the commercial landscaping outlook. In fact, the recent Infrastructure Investments and Jobs Act has allocated US$490 million to support urban forests and trees in America.
Likewise, residential landscaping projects are in high demand.
The suburban migration fuelled by liberal ‘work-from-home’ and hybrid working policies and the demand for multi and single-family homes has contributed to the growth of residential landscaping services and maintenance services.
Confidence in growth for the landscaping industry is trending upwards. The ‘State of the Industry Report’ notes that only “3% are not confident the industry will grow in 2021 compared to 10% last year”.
All data suggests positive news for the growth of the landscaping services market size.
But what are the exact trends we should leverage?
3 Trends Important For Landscaping Firms To Know
Whether you are running your own business or are a part of one of the leading landscaping companies, landscaping professionals are perking up as we become more adept at living with COVID-19 globally.
Mandatory lockdowns are starting to look like a thing of the past, and rising health consciousness is not a bad thing to have.
Overall, people are less worried about the virus and the economy is starting the heal. In 2020, 19% more of the State of the Industry Report’s respondents were ‘very concerned about COVID’s effect on the industry’ compared to 2021.
As we are hopefully leaving behind the worst of the pandemic, its effects still linger in the landscaping commercial sector. Be it landscaping for commercial properties or home lawn care and gardening, let’s take a look at the data and trends emerging in the post-pandemic world.
1. Residential Opportunities
As we are all aware, gardening activities rose considerably during 2020 and strongly continued in 2021. Interest in the gardening market is expected to boom for the next forecast period.
Millennial consumers and younger households are coming into their own, household incomes are rising – the Landscaping Business Trends Report 2022 USA tells us that 31.6% of US households are expected to earn more than US$100,000 this year.
82% of American cities saw more outflow to the suburbs in 2021, and a 25% increase in single-family home construction is expected in 2022 compared to 2019.
Working from the garden
In addition, the trend of working from home continues as 87% of large US companies have adopted hybrid working models, meaning people spend more time (and money) on their homes and gardens. The average spending on lawn care and landscape maintenance has gone up.
This is good news for landscape care small businesses that service suburban residential neighbourhoods as well as for major players. We will continue to see interest in lawn care, pest control, landscape maintenance, vegetable gardening, planter gardening and other lawn care activities. Landscaping companies can expect their services to be in demand and for revenue to grow in parallel.
Top Read: Check out the buyers’ guide to large outdoor planters for both residential and commercial needs.
2. Boost in City Landscaping Needs
The State of the Industry Report ranked single-family residential projects as the largest source of income for the industry at 59% in 2020 from the landscaping industry statistics. While commercial/industrial and government/institutional landscaping has a combined revenue of 31%.
Top Read: 10 great ideas on how to elevate outdoor landscaping with commercial planters.
Growth through legislation
The trend of non-residential landscaping projects is projected to grow too. The Infrastructure Investment and Jobs Act passed in the US in 2021 allocates $490 million for multiple programs aimed at stimulating the economy & protecting the environment. The ‘Healthy Streets’ program for example, includes initiatives such as urban forests and increasing the canopies across the nation.
This could result in a rise in grounds maintenance, chemical application, and other landscape services.
3. Sustainability Concerns & Landscape Design
A top theme of the year shared by the National Association of Landscape Professionals is sustainability and climate control.
This trend is coming from all sides, from landscaping companies, from customer wants, and from city initiatives. 65% of landscape architects are recommending sustainable solutions to clients. While 60% of customers have taken it upon themselves to request street-side trees, and over 65% asked for native drought-resistant plants to be used in landscaping.
Average spending by cities on climate-related projects ranges from US$1 to US$10 million.
The top landscape design trends of 2022 include stormwater management, walkability improvements, trails, bike infrastructure, bioswales, rain gardens, and permeable pavers for city projects. While residential clients are looking for solar powered outdoor lighting, drought-resistant plants, and drip irrigation.
Taking note and keeping up with these ideas will be good for major companies and small landscaping companies alike within the competitive landscape of the industry.
Challenges Ahead For The Landscaping Industry
2022 is a year of greater opportunities for the landscaping services industry. Of course, growth and increased demand come with their own set of challenges. Let us take a look at the difficulties facing the landscaping market in the coming year.
1. Labor Shortages
64% of landscaping businesses consider recruitment to be one of the biggest challenges of the year. COVID-19 has affected employment across the board.
Labor statistics show the participation rate in December 2021 was 61.9% in the US, down from 63% in 2019. In the aftermath of the pandemic, there is 10 million vacant positions across America.
The quality labor shortage is plaguing the landscaping industry, regardless if it’s a small business or a large company. This manpower issue will continue to create a backlog in landscape maintenance and services jobs.
Labor shortage solutions
Innovative employee welfare ideas have been taken up by landscape companies.
Dee Larson a small business owner in Minnesota with a team of five said that paying fair wages was essential to keeping her staff happy and productive. She pays US$3-4 more per hour compared to other companies. This has resulted in the shortest tenure on her crew being two years.
Other firms are ramping up training in the off-season and streamlining their crews to handle employment issues.
2. High Fuel Prices
While labor is still a top concern, for the first time in years, fuel costs have emerged as a slightly higher concern for many in the landscape industry.
Fuel prices has been consistently rising in 2022 much to the exasperation of the market. Most private gas and fuel industry experts have estimated the costs to remain the same or be close to US$4 per gallon.
The cost of petrol is worrying especially for smaller businesses. For large companies, fuel costs are a marginal part of their average sales, when the services are billed in the multi-millions.
However, for small business owners, it can be a real issue, particularly in California.
Fuel case studies
A landscaping company in California shared that their fuel bill had almost doubled, straining their revenue. Some businesses are dealing with these unavoidable costs with a fuel surcharge fee.
A Utah-based landscaping company said they have added into their contracts a surcharge if fuel cost rises above a certain amount, and that clients had been ‘surprisingly empathetic’.
Other options are to keep tighter management of equipment that uses fuel and to look into fuel alternatives such as propane or battery-powered equipment.
3. Plant Shortages
The landscaping industry is also being challenged by plant shortages, which in turn is difficult for businesses be it grounds maintenance or gardening activities.
According to data in the ‘Landscaping Business Trends Report 2022 USA’, after the 2009 recession, wholesale nursery inventories never quite recovered.
Supply chain disruptions that we saw in 2021 have exerted the issue, creating a backlog that could see more last-minute cancellations or substitutions.
Plants are not the only thing experiencing delays in the industry. A lot of equipment such as PVC pipes, hydraulic valves, etc, are also affected by supply chain challenges, leading to frustration in the market. A key reason for this is also trucking shortages, which lead to slower deliveries.
Plant shortage solutions
Plant substitutions and ordering in advance will have to become the market norm for this year. The good thing is many lawn care and gardening maintenance services jobs have been booked a year in advance, giving businesses a good idea of what needs to be ordered to keep up their revenue stream.
4. Increasingly Bad Weather
The landscaping services industry is also worried about bad weather. The weather on average is becoming increasingly unpredictable compared to the past decades.
In the past year, Texas saw an uncharacteristic freezing spell, and the hot, dry climates causing problems with low grass seed numbers in Oregon.
Mitigating bad weather
While the market cannot predict the weather, there are ways for landscaping companies to mitigate its effects. This can include a bad weather policy, scheduling around weather patterns, and also using more weatherproof materials, such as frost-proof and UV-resistant containers to meet gardening goals.
2022 and Beyond
As these market reports underscore, the year ahead is forecasted to be promising with market size growth and higher demand for landscape services. We look forward to the fruitful and interesting landscaping developments of the future.
And, while, there are many challenges to take head-on, with forward planning and flexibility, these can be overcome.
How Jay Scotts Helps Landscaping Industry Companies
Here at Jay Scotts, we are committed to supporting the landscaping industry with high-quality composite pots from our extensive collection. Coming in a wide variety of shapes, sizes, colors, and even textures, there is a fiberglass pot for every design style.
1. Jay Scotts Offers Weather Resistant And Durable Plant Pots
Jay Scotts planters are extremely durable, reliable, and weatherproof. This is because they are made from top-grade fiberglass composite materials, with our precise attention to detail and high manufacturing standards.
Our pots are able to withstand diverse weather conditions, from freezing winters to scorching summers, regardless of whether they are in a high-traffic commercial outdoor setting or sitting cosily in a home. This makes Jay Scotts’ pots the ideal choice for both indoor and outdoor installations.
To underscore our high-performance promise, all of our pots come with an industry-leading warranty.
Read more: A comparison of the 7 best planter materials to help you choose.
2. Jay Scotts Planters Are Designed With Your Customers In Mind
We make procurement for specific applications easy. Choose from a variety of 18 stunning colors to suit your design goals or brand profile.
In addition, compared to the average plant pot on the market, our fiberglass pots require little maintenance and care.
In fact, their longevity and professional appearance has earned a strong reputation for performance across the United States Of America and Canada where interior designers, landscape architects, and procurement companies have seen massive success using our products.
3. Jay Scotts Planters Offer Cost Savings
Our fiberglass pots can be used season after season, year after year, which is great cost-saving and is good for your business’ reputation.
The lightweight and durable nature of our pots also translates into a lower shipping cost per unit, reduced handling costs once on-site, and much more longevity than competing products.
All this makes fiberglass pots one of the least expensive plant container options available today.
Take a look at our buyer’s guide to fiberglass plant pots to understand why fiberglass is the top industry choice for many landscaping professionals.
See Jay Scotts Planters In Action!
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The Gates South Beach – Geomantic Designs
The pool area is often the first thing that guests see when they arrive, and the client wanted it to make a good impression. They needed planters and greenery that would make the hotel's pool area more inviting and attractive whilst also being able to tolerate being in close proximity to chlorinated water.View Project
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