Wednesday 1 January 2020

Industry Snapshot

According to the Professional Landcare Network (PLANET), an international association serving lawn care professionals, exterior maintenance contractors, installation/design/building professionals, and interiorscapers, there are an estimated 10,000 individual lawn care service providers and approximately 12,000 landscapers in the United States. These run the gamut from independent operations to franchises and divisions of large corporate chains. It's believed that the number of businesses ET Lawn Care LLC could actually be significantly higher because there are so many people doing lawn and landscape maintenance informally and on a cash basis. What is known for sure, according to the Occupational Outlook Handbook, 2006-2007 (U.S. Department of Labor), is that almost 1 out of every 4 landscaping, groundskeeping, nursery, greenhouse and lawn service workers is self-employed and provides maintenance services directly to customers on a contract basis. Of these, about 1 out of every 6 works part time.
The market they serve is huge. A 2005 survey by Irrigation and Green Industry magazine concluded that the U.S. green industry, which includes lawn and landscape maintenance, landscape contractors, landscape architects, irrigation contractors, and lawn and landscape product suppliers, generates $67 billion to $69 billion annually. Additionally, PLANET estimates that the landscaping services sector alone generates 704,000 jobs and $35.6 million in value-added services annually.
Who Are the Customers?
Who's driving this industry? The 77 million aging baby boomers, many of whom are affluent homeowners. They recognize the value of a well-kept lawn and beautifully designed and landscaped yard, but they often don't have the time or the inclination to do the maintenance themselves.
Of course, baby boomers aren't the only ones whose fingers do the walking online or through the phone book to find a reputable lawn or landscape professional. Other potential customers include:
Landscaping:
  • Homeowners who don't have the vision, skill or tools to design their own landscaping
  • New homeowners who wish to update the existing landscaping
  • Homeowners who plan to put their home on the market and want to improve its curb appeal with fresh or updated landscaping
  • Builders of both residential and commercial properties who don't already have their own landscaper on staff
Lawn maintenance:
  • Homeowners who are frequently out of town on business
  • Retirees who don't care to do their own maintenance any longer
  • "Snowbirds" with winter homes in warmer climates
  • Golf course managers who may need help with maintenance
  • Rental property or condominium association managers who are personnel-impaired
  • Facilities managers for botanical gardens, historic buildings, municipalities and other government entities, universities, cemeteries and other public places with green spaces
Types of Green Industry Service Businesses
There are numerous ways to get into the lawn and landscaping industry. The basic types of lawn and landscaping businesses include:
  • Lawn mowing/maintenance
  • Sod installation/hydroseeding
  • Weeding or fertilizer and/or pest control application
  • Landscape care/maintenance services
  • Landscape design/contracting services
  • Landscape architecture services
Earnings
Exactly how much can you earn? The sky's truly the limit. The lawn care and landscaping business owners we interviewed for this book earned anywhere from $5,000 to $50,000 in their first year, and as much as $160,000 to $250,000 once they were in business a few years. They offer services ranging from basic mowing and trimming to landscape design, installation and maintenance, and chemical application

Lawn & Landscape magazine's 2005 State of the Industry Report offers additional insight into how much a lawn and landscaping company owner can earn. In a survey of Lawn & Landscape readers who own companies of all sizes, the average salary of the owner/president whose company revenues were less than $200,000 during 2005 was $31,273. Owners/presidents in companies with revenues above $200,000 earned $68,859 on average.

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