Abstract
Green is certainly the new black when it comes to the leading garden products retailers. There may appear to be natural synergies between gardening and the environmental movement, but for consumers this has to be delivered in a credible manner. In a sense the consumer is making their own moves here with a rising interest in growing vegetables and environmental tasks such as recycling.
However, retailing garden products is about much more than this, and retailers in this sector are also embracing the concept of outdoor life. But this wider concept allows more non-specialist retailers to take a share of the market and the battle to retain a sense of purpose as a specialist retailer is definitely on.
Key themes of the report:
- How are garden centres offsetting the effects of the weather by entering a wider variety of new product areas?
- Scope for further developing the strong relationship between gardens and food in garden centres.
- Whether consolidation and the backing of the two leading chains - Wyevale and Dobbies - by Baugur and Tesco - is going to change the local nature of the sector.
- How far can the internet grow its presence in a market that is very much about the shopping experience?
- Likely impact of the economic downturn on the buying of products for the garden.
Table of Contents
- Issues in the Market
- Key themes
- Definitions
- Abbreviations
- Market in Brief
- Challenging performance
- Weather and seasonality
- Mixed picture
- Changing hands
- Garden centres' appeal endures
- Green revolution
- More gardens should be an opportunity
- Garden products and a strong supporting cast
- Challenge of striking a good balance
- Investment in buildings
- Powerful pensioners
- Young pretenders
- Product confusion
- Media cool
- The future' s bright, the future' s green
- Industry Insights
- Key points
- Bloom or doom?
- Growing importance of a supporting cast of extras
- Grow your own on the up or over-inflated?
- Getting them young
- Green-fingered gardening has a new meaning
- Enter the big guns
- Building leisure appeal
- Celebrity attraction
- Gardening is about lifestyle
- Netting more sales
- Future growth
- Internal Market Environment
- Key points
- Weather a perennial issue
- Garden products and beyond
- Alluring allotments
- Garden ownership
- Figure 1: Proportion of adults with garden/allotment, 2003-07
- Figure 2: Proportion of adults with garden/allotment and size, 2003-07
- Growing habits
- Figure 3: Contents of the garden, 2003-07
- The new modern gardener
- Gardening hits the streets
- Green garden habits
- Growing things online
- Changing the law
- Investment in buildings
- Broader Market Environment
- Key points
- The great 2007 divide
- Figure 4: PDI and consumer expenditure, at current and constant 2003
prices, 2003-13
- Figure 5: GfK NOP consumer confidence index: 12 months August
2007-August 2008
- Demographic factors
- Ageing population a real boost
- Figure 6: Trends and projections in UK population (' 000s), by age group,
2003-13
- Rising long-term affluence
- Figure 7: Population, by socio-economic group, 2003-13
- Housing market undermining confidence levels
- Figure 8: Annual average house prices, 2003-13
- Housing equity withdrawal
- More smaller households
- Figure 9: UK households as a percentage of the popualtion, 2003-13
- Weather, climate and seasonality
- Market in Context
- Key points
- Considered expenditure
- Figure 10: Changing shares of main categories of spend, at current
prices, 1997 and 2007
- Figure 11: Changing shares of individual categories of spend, at current
prices, 1997 and 2007
- Figure 12: Top ten expenditure priorities, 2007 and 2008
- Competitive areas of spend
- Figure 13: Estimated household spend on other areas versus garden
products, 2002-07
- Strengths and Weaknesses in the Market
- Strengths
- Weaknesses
- Market Size and Forecast
- Key points
- Disappointing developments
- Figure 14: Estimated household spend on garden products, 2003-13
- Current performance
- Slow growth at real prices due to delayed spending plans
- Statistical projections -- a best estimate
- The future
- Factors used in the forecast
- Segment Trends
- Key points
- Growing stock
- Garden furniture and barbecues
- Garden buildings and other structures
- Enhancement features and sundries
- Garden equipment and tools
- Garden chemicals and growing media
- Where They Shop and What They Buy
- Key points
- Purchasing trends and visits to garden centres
- Growing stock purchases
- Figure 15: Growing stock purchases in the last 12 months, 2003-07
- Figure 16: Amount spent on seeds, bulbs, plants, trees or shrubs in the
last 12 months, 2003-07
- Figure 17: Amount spent on fertilisers and weedkillers in the last 12
months, 2003-07
- Visits to garden centres
- Figure 18: Consumers visiting and buying from garden centres in the last
12 months, 2003-07
- Purchases from garden centres
- Gardens still central
- Figure 19: Products purchased from a specialist garden centre or nursery
in the last 12 months, 2004-08
- Changes over time
- Women like the finer things
- Pots make purchases with the young
- Not all things for all men and women
- Empty nest but a full patio
- Cafe society
- Practical applications
- Purchases from DIY stores
- Plants plus practical purchases
- Figure 20: Garden products purchased from a DIY store in the last 12
months, 2006 and 2008
- Changes over time
- Starters but not finishers
- Branded price appeal
- It' s a family affair
- All outlets used for buying garden products
- DIY stands out
- Figure 21: Outlets used for garden products in the last 12 months, 2006
and 2008
- Supermarket creep
- Is Wyevale missing out on the ladies?
- Dobbies dominates in Scotland, but can this be replicated?
- The young are DIY gardeners
- Supermarkets may win price battles
- Time to decide
- Number of outlets used
- No promiscuity in the mixed beds
- Figure 22: Numbers of outlets where garden products purchased, June 2008
- B&Q attracts more loyalists
- Figure 23: Outlets, by degree of loyalty, June 2008
- Channels of Distribution
- Key points
- Market shares
- Figure 32: Retail market shares of types of outlet selling garden
products, 2002-07
- Retailer Competitor Analysis
- Key points
- Retailer comparison
- Figure 33: Leading specialist retailers and DIY chains compared, 2008
- Retailer Profiles
- Key points
- Outlet numbers
- Figure 34: Leading garden products retailers, by number of outlets,
2004-08
- Wyevale
- Strategic evaluation
- Background
- Financial performance
- Figure 35: Wyevale, financial performance, 2002-06
- Store portfolio
- Retail offering
- Marketing and operational issues
- E-commerce and home shopping
- Dobbies Garden Centres plc (Tesco)
- Strategic evaluation
- Background
- Financial performance
- Figure 36: Dobbies Garden Centres plc, financial performance, 2003-07
- Retail offering
- Marketing and operational issues
- E-commerce and home shopping
- Klondyke Group Ltd
- Strategic evaluation
- Background
- Financial performance
- Figure 37: Klondyke Group Ltd, financial performance, 2003-07
- Store portfolio
- Retail offering
- Marketing and operational issues
- E-commerce and home shopping
- Strategic evaluation
- Background
- Financial performance
- Figure 38: Blue Diamond, financial performance, 2003-07
- Store portfolio
- Retail offering
- Marketing and operational issues
- E-commerce and home shopping
- Country Homes and Gardens Plc
- Strategic evaluation
- Background
- Financial performance
- Figure 39: Country Homes and Gardens, financial performance, 2003-07
- Store portfolio
- Retail offering
- Marketing and operational issues
- E-commerce and home shopping
- Hillier Nurseries Group Ltd
- Strategic evaluation
- Background
- Financial performance
- Figure 40: Hillier Nurseries Group Ltd, financial performance, 2003-07
- Store portfolio
- Retail offering
- Marketing and operational issues
- E-commerce and home shopping
- Notcutts
- Strategic evaluation
- Background
- Financial performance
- Figure 41: Notcutts nurseries, financial performance, 2003-07
- Store portfolio
- Retail offering
- Marketing and operational issues
- E-commerce and home shopping
- Squires
- Strategic evaluation
- Background
- Financial performance
- Figure 42: DJ Squire & Co Ltd, financial performance, 2003-07
- Store portfolio
- Retail offering
- Marketing and operational issues
- E-commerce and home shopping
- The Garden & Leisure Group Ltd
- Strategic evaluation
- Background
- Financial performance
- Figure 43: The Garden & Leisure Group Ltd, financial performance, 2003-07
- Store portfolio
- Retail offering
- Marketing and operational issues
- E-commerce and home shopping
- Haskins
- Hurrans
- Capital Gardens
- Non-specialists
- B&Q
- Company overview
- Garden products offering
- Recent developments
- Homebase
- Company overview
- Garden products offering
- Recent developments
- Focus (DIY) Ltd
- Company overview
- Garden products offering
- Recent developments
- Argos
- Company overview
- Garden products offering
- Recent developments
- John Lewis
- Company overview
- Garden products offering
- Recent developments
- Wilkinsons
- Company overview
- Garden products offering
- Recent developments
- Woolworths
- Company overview
- Garden products offering
- Recent developments
- Robert Dyas
- Company overview
- Garden products offering
- Recent developments
- Tesco
- Company overview
- Garden products offering
- Recent developments
- Asda
- Company overview
- Garden products offering
- Recent developments
- Direct selling
- Other retailers
- Retailer Advertising and Promotion
- Key points
- Advertising spend versus sales
- Figure 44: Advertising spend versus garden products sales, 2004-07
- Figure 45: Top 30 main monitored media advertising expenditure by garden
centres, 2004-07
- Appendix -- Where They Shop and What They Buy
- Figure 46: Products purchased from a specialist garden centre or nursery
in the last 12 months, by gender, age, socio-economic group, lifestage,
presence of children, Mintel' s Special Groups, working status, tenure,
region, ACORN category, media usage, supermarket usage, household size and
car ownership, June 2008
- Figure 47: Products purchased from a specialist garden centre or nursery
in the last 12 months, by gender, age, socio-economic group, lifestage,
presence of children, Mintel' s Special Groups, working status, tenure,
region, ACORN category, media usage, supermarket usage, household size and
car ownership, June 2008
- Figure 48: Products purchased from a specialist garden centre or nursery
in the last 12 months, by gender, age, socio-economic group, lifestage,
presence of children, Mintel' s Special Groups, working status, tenure,
region, ACORN category, media usage, supermarket usage, household size and
car ownership, June 2008
- Figure 49: Garden products purchased from a DIY store in the last 12
months, by gender, age, socio-economic group, lifestage, presence of
children, Mintel' s Special Groups, working status, tenure, region, ACORN
category, media usage, supermarket usage, household size and car ownership,
June 2008
- Figure 50: Garden products purchased from a DIY store in the last 12
months, by gender, age, socio-economic group, lifestage, presence of
children, Mintel' s Special Groups, working status, tenure, region, ACORN
category, media usage, supermarket usage, household size and car ownership,
June 2008
- Figure 51: Outlets used for garden products in the last 12 months, by
gender, age, socio-economic group, lifestage, presence of children, Mintel' s
Special Groups, working status, tenure, region, ACORN category, media usage,
supermarket usage, household size and car ownership, June 2008
- Figure 52: Outlets used for garden products in the last 12 months, by
gender, age, socio-economic group, lifestage, presence of children, Mintel' s
Special Groups, working status, tenure, region, ACORN category, media usage,
supermarket usage, household size and car ownership, June 2008
- Figure 53: Number of different outlets used for buying garden products
in the last 12 months, by gender, age, socio-economic group, lifestage,
working status, tenure, ACORN category, commercial TV viewing, region, media
usage, supermarket usage, presence of children and Mintel' s Special Groups,
June 2008
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