3 | Orgill Case Study The lawn and garden category itself is broad, including everything from gardening tools, such as rakes and mauls, to outdoor furniture and flower pots. However, at the heart of any competitive lawn and garden selection lie the fundamental products that drive the category—fertilizers, seeds, soil amendments and more. These products represent the essential items homeowners need to maintain their outdoor spaces. This trend shows no signs of slowing down. In fact, recent research indicates that more than two-thirds of homeowners say they plan to focus even more attention on their outdoor projects as the pandemic winds down (Axiom Market Insights Report 2022). Another factor that makes the lawn and garden category unique is that its associated projects require multiple, regular store visits. When a consumer engages in a paint project, it likely will not be repeated (on the same area) for a number of years. However, a typical lawn and garden project can require multiple applications of a product or additional products to maintain as the season progresses. The repeat-visit nature of lawn and garden projects means its potential impact on a retail operation can be more significant than other categories. Retailers who can create a strong value proposition for customers in their market in the lawn and garden category can often maintain this loyalty and drive multiple store visits and transactions. With consumers’ growing interest in all things outdoors, and the potential positive impact lawn and garden sales can have on a business, competition within the category has also bloomed. Big-box retailers, garden centers, discounters and farm and ranch stores are all vying against independent retailers for the same consumers. All of these outlets are making their cases to earn customers by focusing on prices, the brands they carry, the services they offer and convenience. Despite the crowded competitive field, independent retailers have managed to maintain a strong position within the category for a number of reasons. About the Same Over the past year, which categories are performing better than last year? What category do you feel represents your greatest growth opportunity? How much time will you spend on outdoor home improvement projects in 2022 compared to 2021? 55% 42% 48% 25% 47% 21% 42% 66.7% 25.3% 8% Source: Axios Market Insights Report 2022 Source: NHPA Mid-Year Review 2021 Source: NHPA Lawn & Garden Lawn & Garden Paint & Sundries Paint & Sundries Plumbing Plumbing Hardware More Less
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