There is no denying in my book that it is going to be grim for a while and landscaping and gardening contracts will be leaner and fewer and far between. I have this morning written a post on the Landscape Juice blog titled 'The storm before the storm' in an attempt to persuade landscape and gardening businesses that it is not too late to prepare for what I believe will be a fairly dark period. I am an optimist by nature and extremely positive, but I am also a realist and I will not put my head under the carpet and pretend that life is the same as two years ago. The economy has changed forever and I believe we will never see a return to the sickening depravity of greed that encircled daily lives. The banking system, I hope, will be never again be allowed to dictate how we conduct ourselves. There is no way in this world that any individual should receive the ludicrous sums by the way of salary and bonuses that the previous culture brought with it. I care about our members here and I want you all to prosper and take the opportunities that will come out of this catastrophe and at least be prepared for the up-turn. There is one slight obstacle to preparing for the upturn and that is getting past the crash first. To be prepared for the crash, you have to prepare for certain challenges and if you have not already done so, think about a few things now. Let us get one things straight first. The crash is needed to enable the slate to be wiped clean. Some will say that ''the crash happened this week with the stock markets reaction to the US failed £700 billion bale out plan. I would disagree, I think we are at the start of the crash as the realisation dawned that something is dangerously wrong. It was a wakeup call to those who were not too clear that the worlds economies are really on the edge of a disaster. This banking crash has yet to filter fully into daily life and by that I mean the working man who has a mortgage to pay, kids to cloth and a car to run. It took Japan ten years to overcome their slump from a period of over excess and it could take five years for the housing market to recover some kind of normality. However, the emphasis will be on working to live rather than living to work. I believe that people will start to consider a house to be a home rather than a possession and financial instrument. The garden will be re-established as a haven and a family room where importance will be applied to the natural things in life, rather than excess and the material trappings. It is time to give certain things in life back to the man in the street and take away the sickening profit related to excess. Professional footballers is the first area to target. Strip them of their £100,000 pay packets; they can easily live on £5,000 per week. Some gardeners and landscapers do not get that in two months. Turnstile prices should be slashed to £10.00 a ticket. We are in the best profession for the future. Lifestyle will be about freedom and open space with the 'good' things in life becoming important. To benefit from the opportunities after this current crisis your business needs to be in the right position to move. Her are my tips on what a business should have done or look to be doing quickly. Reduce business costs to an absolute minimum - chasing profit and over trading to maintain margins is not advisable. Stay local to your base and avoid costly travel - oil is coming down in price but still high so avoid costly haulage and travel where possible. Adapt garden designs to suit the client and do not try to make them self indulgent and expensive. Increase advertising but make it targeted to your audience. Expensive magazines that want you to sign up for a twelve months that have diminishing readerships are not cost effective. Certainly blog regularly here - it is FREE and highly visible. Think about your existing machinery and its service history. Can you make a mower last another season? Do you need that crew cab Nissan when a second hand tipper will do? I am going to end this post by asking for feedback: What are you concerns, if any, for the next twelve months and is your business ready?
There is no denying in my book that it is going to be grim for a while and landscaping and gardening contracts will be leaner and fewer and far between. I have this morning written a post on the Landscape Juice blog titled 'The storm before the storm' in an attempt to persuade landscape and gardening businesses that it is not too late to prepare for what I believe will be a fairly dark period. I am an optimist by nature and extremely positive, but I am also a realist and I will not put my head under the carpet and pretend that life is the same as two years ago. The economy has changed forever and I believe we will never see a return to the sickening depravity of greed that encircled daily lives. The banking system, I hope, will be never again be allowed to dictate how we conduct ourselves. There is no way in this world that any individual should receive the ludicrous sums by the way of salary and bonuses that the previous culture brought with it. I care about our members here and I want you all to prosper and take the opportunities that will come out of this catastrophe and at least be prepared for the up-turn. There is one slight obstacle to preparing for the upturn and that is getting past the crash first. To be prepared for the crash, you have to prepare for certain challenges and if you have not already done so, think about a few things now. Let us get one things straight first. The crash is needed to enable the slate to be wiped clean. Some will say that ''the crash happened this week with the stock markets reaction to the US failed £700 billion bale out plan. I would disagree, I think we are at the start of the crash as the realisation dawned that something is dangerously wrong. It was a wakeup call to those who were not too clear that the worlds economies are really on the edge of a disaster. This banking crash has yet to filter fully into daily life and by that I mean the working man who has a mortgage to pay, kids to cloth and a car to run. It took Japan ten years to overcome their slump from a period of over excess and it could take five years for the housing market to recover some kind of normality. However, the emphasis will be on working to live rather than living to work. I believe that people will start to consider a house to be a home rather than a possession and financial instrument. The garden will be re-established as a haven and a family room where importance will be applied to the natural things in life, rather than excess and the material trappings. It is time to give certain things in life back to the man in the street and take away the sickening profit related to excess. Professional footballers is the first area to target. Strip them of their £100,000 pay packets; they can easily live on £5,000 per week. Some gardeners and landscapers do not get that in two months. Turnstile prices should be slashed to £10.00 a ticket. We are in the best profession for the future. Lifestyle will be about freedom and open space with the 'good' things in life becoming important. To benefit from the opportunities after this current crisis your business needs to be in the right position to move. Her are my tips on what a business should have done or look to be doing quickly. Reduce business costs to an absolute minimum - chasing profit and over trading to maintain margins is not advisable. Stay local to your base and avoid costly travel - oil is coming down in price but still high so avoid costly haulage and travel where possible. Adapt garden designs to suit the client and do not try to make them self indulgent and expensive. Increase advertising but make it targeted to your audience. Expensive magazines that want you to sign up for a twelve months that have diminishing readerships are not cost effective. Certainly blog regularly here - it is FREE and highly visible. Think about your existing machinery and its service history. Can you make a mower last another season? Do you need that crew cab Nissan when a second hand tipper will do? I am going to end this post by asking for feedback: What are you concerns, if any, for the next twelve months and is your business ready?
Comments
There has been a huge influx of builders who are out of work trying there hand at landscaping in our area, and i know its hit the landscaping side hard.
Work is drying up for them and the greedy over inflated quotes that some of them gave have now come down to near normal levels.
My business which is garden contracts only has so far not seen any slump. We are getting an awful lot of contracts from flats who have got rid of there gardeners due to the fact that they charged vat and this worries me as iam near vat limit.
The way i see it lawns will always need to be cut shrubs made tidy and weeds pulled out no matter what.
I have been undercut by other companies in recent weeks. I have asked my clients how much by. in some cases, the amount of the undercutting, can only mean that the work is not being done to a proper standard.
It is high time the vat threshold was made higher, to help small companies expand without the fear of loosing existing customer bases, that have taken years to build up.
I feel a bit like a small fish adding a post to the fabulous persons above, as last year I was lucky to clear what was 1/2 my 'working life' salary!! But I do feel that builders are out there now, where they weren't last year, undercutting my design quotes. They do none of the proper preparation, and I know their gardens will not flourish, but unfortunately this prep work is the first thing to go, from a customer's pont of view it isn't essential. It isn't my place to dissuade them. But do I stop adding this expensive part of the job to my quote? There's no way I can reduce my prices any more - labour is the biggest cost, and it takes timeto fully prepare for a brand new garden. It is a worry, cos all my clients are retired and living on pensions, many dictated by the stock market. 'Wish me luck as you wave me goodbye'......
Two years ago, I trod on a few feet too early and got a name for being a bit aggressive. However, I have changed my style but never the less, I have set the ball rolling in an attempt to shift the balance away from the institutionalised policy makers that are constantly letting down the horticultural trade industries.
You and me 'are' the bread and butter of landscaping, gardening and designing and it is important that some kind of standards are put in place that are a guide and in some cases a life line to help the small businesses.
Market forces will dictate market prices and I would urge you and everyone else to stay resolute. Set you prices that reflect your needs and deliver your services to the best of your ability and to the limit that your experience allows and you will prosper in what you do - I am convinced of that.
Weve even started doing a free gutter check as living in forested enviroment its another arm of revenue. All i can say is, cut costs where you can, spend more on targeted advertising and if possible, look at alternative ways of supplementing your income.
Market Wire, December, 2008
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While few commodities are truly recession-proof, the nature of the landscape services industry lends itself well to the label: In residential and commercial markets both, responsible landscaping is viewed as a financially and environmentally sound investment. The market is expected to grow 10 percent in the next five years. Win-Win-Win!
"Landscape Services Market in the U.S.," a new report just released by leading industrial market research publisher SBI, provides an in-depth treatment of this under-investigated market. Drawing from nearly two dozen sources, data presented includes:
-- Market Size and Value 2004-2008
-- Professional Standing: Education, Certification, Employment,
Opportunity
-- Major Trends Driving Industry Growth
-- International Aspects: "Export" of U.S. landscape services in billion
dollars!
-- Projected Market Forecast 2009-2013
-- End-User Demographics
Increased awareness in both the public and private sectors of environmental issues is a major driver of landscape installations, making landscaping a source of aesthetic, ecological, and financial improvements.
Major trends reported in "Landscape Services Market in the U.S." as critical growth factors include green landscape designs and installations that can reduce costs of heating, cooling, electric, and water costs by as much as 50 percent. Green roofs are an aspect of this trend that are seeing increased residential demand.
The 'nesting' trend that evolved in the aftermath of 9/11 and resurged following the housing downturn is still strong. Only landscape professionals have the expertise necessary in a trend that is blurring the indoor/outdoor line. Homeowners are building luxury kitchen, dining, and entertainment areas into meticulously designed, natural looking outdoor settings that enhance home values and function.
The growing trend of xeriscaping -- the newest gardening approach that utilizes native vegetation, conserves water and is low-maintenance -- is also covered in this report.
"Landscape Services Market in the U.S." makes well-considered predictions and recommendations regarding the future of this market, and identifies ways firms and individuals can capitalize on current trends and be at the forefront of new ones. Extensive data have been compiled and analyzed by SBI and are presented in easy-to-read and practical tables and figures.
"Landscape services is a growing industry with a lot of buzz about it right now," said Shelley Carr, associate publisher for SBI. "The need for professionals to meet the demand in the next five years and all the opportunities in this market makes this an exciting industry to grow with."
"Landscape Services Market in the U.S." contains comprehensive data on the U.S. market for landscaping services. The report covers market size in revenues, establishments, and employment. It also includes international aspects of U.S. landscaping services as well as the drivers and market trends in the industry. The report identifies major marketers, describes strategies for maximizing growth and profitability, and profiles end users.
About SBI
SBI (Specialists in Business Information) publishes research reports in the industrial, energy, building/construction, automotive/transportation and packaging markets. SBI also offers a full range of custom research services. For more information visit http://www.sbireports.com , or contact Jenn Tekin at (240) 747-3015 or jtekin@marketresearch.com .
Contact: Jenn Tekin www.SBIreports.com (240) 747-3015 jtekin@marketresearch.com 11200 Rockville Pike Suite 504 Rockville, Maryland 20852 800.298.5294 240.747.3004 f www.SBIreports.com
Obama's address yesterday underlined the need for everyone to pull together now because this really is the only chance to avoid the world entering a depression.
The stock markets have been volatile all day but they are finishing with a flourish and we have quite possibly seen a bottom.
There is still an awful lot to get right - especially stopping the banks capitulating - and we are not out of the woods but there now seem to be some tentative green shoots.
Let us know what maight have changed for you and how you are feeling inside about your prospects?
This winter will be tough and I expect business failures but you can all get through this with careful planning, sticking together and talking. Do not suffer in silence because it will only serve to compound those feelings of despair.
I speak to many of you privately for various reasons so if you just need to talk then pick up the phone.
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