Global demand for power lawn and garden equipment is forecast to grow 2.5 percent per year to $24.2 billion in 2021. Demand for power lawn and garden equipment will remain heavily concentrated in the United States, Canada and Western Europe, which will together account for 75 percent of the total global increase in sales between 2016 and 2021. These and other trends are presented in “Global Power Lawn & Garden Equipment, 6th Edition,” a new study from The Freedonia Group, a Cleveland-based industry research firm.
According to The Freedonia Group, demand for power lawn and garden equipment in the United States is forecast to rise 2.7 percent per year, in line with global average growth. Continued recovery in the construction sector will contribute to increased sales. However, an expected decline in the number of golf courses in the country will have an adverse impact on demand.
Demand for power lawn and garden equipment in Canada totaled U.S. $1.1 billion in 2016, making Canada the world’s fourth largest national market for these products behind the U.S., France and Germany. Similar to the U.S., Canada is an intensive user of power lawn and garden equipment (on a per household basis), reflecting large yard sizes and high levels of disposable income.
Western Europe accounts for a large share of the global power lawn and garden equipment market relative to its population size, reflecting the importance of cultural preferences for lawn maintenance in supporting demand. Most countries in Western Europe have mature power lawn and garden equipment markets, and growth will be sluggish by global standards through 2021. A regionwide emphasis on environmental friendliness will contribute to rapid growth in demand for battery-powered products, which already have high rates of penetration by global standards.
For additional insight into “Global Power Lawn & Garden Equipment, 6th Edition,” Outdoor Power Equipment (OPE) magazine recently asked Jennifer Christ – manager of consumer and commercial products at The Freedonia Group – about the report.
OPE: Can you tell us a little bit about your methodology for the analysis, and how you arrive at the growth being forecast?
Christ: We examine reported government sources for production and trade, where available, as well as trends from sources such as key manufacturers, industry associations, trade news, and primary research contacts. We examine the industry forward and backward, considering technology innovations and regulatory developments, as well as demographic changes and end-user needs and preferences.
OPE: At 326 pages, the 6th Edition appears to be a robust analysis of the market. Please give us an overview of the types of data and areas of analysis in the report?
Christ: This study examines the global power lawn and garden industry. Power lawn and garden equipment is segmented into:
- Turf and grounds equipment
- Chain saws
- Trimmers and edgers
- Other equipment, such as snow throwers, blowers, garden tractors, and hedge trimmers
- Parts and attachments, which does not include engines, since the vast majority of engines for power lawn and garden equipment are used in OEM capacities
Demand totals are also presented by power source (engine-driven and electric). Electric power lawn and garden equipment is further segmented into corded electric and battery-powered at the regional and global level.
Power lawn and garden equipment demand by market is presented for residential and commercial markets. All figures are provided in U.S. dollar terms. These figures are available for six major geographic regions and 21 individual countries.
OPE: Do you examine only specific manufacturers or the market as a whole?
Christ: We analyze the market as a whole. As part of our process, we consider the current and projected sales for a variety of manufacturers. This helps us examine trends by product, by end-user market, and by geographic market.
OPE: This is the 6th Edition of the “Global Power Lawn & Garden Equipment” study, and each edition is forecasting the market several years in advance. Did anything you found out while researching this edition surprise you when compared with what you had forecast for the market in earlier editions? Or does anything regarding the state of the market jump out at you in comparison to the previous edition?
- Improvements in battery technology will make it easier for these products to compete on performance with engine-driven products while remaining cost-competitive. As a result, battery-powered equipment will increasingly penetrate commercial markets.
- Robotic mowers is another area having increasing impact on the global power lawn and garden equipment industry compared to previous editions.
OPE: What do you forecast for the growth of the battery-powered equipment market during the next few years?
Christ: Battery-powered equipment will achieve increased market share in all global regions, as technological advances make these products increasingly competitive with engine-driven equipment. Global demand for battery-powered lawn and garden equipment is forecast to increase 5.5 percent per year to $3.3 billion in 2021.
OPE: What do you forecast in terms of growth for individual product segments?
Christ: Lawnmowers will continue to account for the largest portion of sales, owing primarily to the number of homeowners who possess and maintain their own lawns in the U.S., Canada, and Western Europe.
Chain saws are expected to post the fastest growth through 2021, in part because these are less concentrated in mature developed markets than other product types. Economic advances in developing nations will spur strong growth for chain saws outside of the core lawn care market, as these products find use in applications such as forestry, roadside maintenance, and clearing land for construction.
OPE: What would you say are the biggest takeaways from your analysis that our readers could get more in-depth information about if they read the full report?
- Cultural preferences and housing trends will result in demand for power lawn and garden equipment remaining heavily concentrated in the U.S., Canada, and Western Europe. These areas will together account for 75 percent of the total global increase in sales between 2016 and 2021.
- China is the world’s second largest exporter of power lawn and garden equipment behind the U.S. and is forecast to account for an increasing share of global production through 2021.
- Improvements in battery technology will propel sales of battery-powered lawn and garden equipment to rise at a fast rate through 2021, taking market share from both engine-driven and corded electric products.
”Global Power Lawn & Garden Equipment, 6th Edition” (published 12/2017, 326 pages) is available for $6,200 from The Freedonia Group, www.freedoniagroup.com.