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The total UK
Landscaping market is currently estimated to be valued at over £3
billion when including specialist sectors such as golf courses, grounds
maintenance, tree surgery, motorway projects etc.
This report focuses primarily on the domestic
landscaping materials market, which is estimated to be worth around
£890m at manufacturers selling prices.
Market performance
in recent years has been subdued when compared to performance in the
late 1990s and early in this decade with a number of factors causing a
slowdown. The poor weather witnessed over key trading periods over the
last two years has had a significant effect in most sectors, with sales
of horticultural products in particular being badly hit.
A number of
economic issues have also affected the market, with factors such as a
weakening UK economy, rising interest rates, lower levels of consumer
confidence and a slowing housing market, all contributing to a weaker
performance in the overall landscaping market in recent years. In times
of economic uncertainty, the installation or purchase of “big ticket”
items is often postponed or delayed, and has affected sales in the hard
landscaping market in particular.
Consumer and media
trends have also changed over the last 2-3 years. The number of media
programmes/magazines etc focusing on home design and makeovers has
dwindled considerably, while consumer interest in DIY projects has also
diminished, with many now employing a tradesman to undertake DIY
projects for them, or not undertaking DIY projects at all.
However, with
consumers spending less time undertaking garden projects, the trend for
“instant effect” gardening has continued, providing some buoyancy to the
market. In addition, a trend which has seen consumers using their garden
as a place of entertaining and leisure has provided growth to some
sectors.
The decking market
has continued to outperform the overall landscaping market in terms of
growth rate, and is witnessing a period of polarisation, with a number
of higher value decking systems being introduced towards the premium end
of the sector using a range of new materials. However, other hard
landscaping products, such as paving, have seen lower rates of
installation as consumers have moved towards softer landscaping options
or postponed installation of products due to economic factors.
Distribution of
domestic landscaping products is dominated by the DIY multiples, Garden
Centres and Builders Merchants. Other channels such as mail
order/internet, high street stores etc., are also involved in the
distribution of landscaping products in the domestic sector, but not for
‘heavy’ materials. In addition, grocery multiples have made inroads in
recent years into the supply chain, although this has been witnessed to
a greater extent in the overall garden products market and is less
prominent in the landscaping sector.
There is a degree
of cautious optimism from suppliers and manufacturers regarding the
future performance of the landscaping market. However, due to the effect
the weather has on the overall decking and landscaping market,
forecasting future levels of growth is extremely difficult. It is
likely, however, that for the foreseeable future growth levels will not
return to those witnessed in the late 1990s and early in this decade
when the DIY/RMI market was experiencing a boom period, but should
achieve underlying annual rates of growth of 2-3%. | 
