Nurseries, Garden Centers & Farm Supply

Industry Profile Report

Dive Deep into the industry with a 25+ page industry report (pdf format) including the following chapters

Industry Overview Current Conditions, Industry Structure, How Firms Operate, Industry Trends, Credit Underwriting & Risks, and Industry Forecast.

Call Preparation Call Prep Questions, Industry Terms, and Weblinks.

Financial Insights Working Capital, Capital Financing, Business Valuation, and Financial Benchmarks.

Industry Profile Excerpts

Industry Overview

The 9,400 nurseries, garden centers, and farm supply stores in the US sell lawn and garden products and farm supplies. Major product categories include grain and animal feed; fertilizer, lime, chemicals, and other soil treatments; outdoor nursery stock; pet supplies; and hardware, tools, and plumbing and electrical supplies. Companies may also sell fuel (oil, LP gas, wood, charcoal), automotive products and supplies, lawn and garden tools, and indoor plants. Services include equipment rental and repair and consulting services (landscape design, agronomy). Companies may offer delivery services for large orders (fertilizer, sod, dirt).

Competition from Alternative Sources

Nurseries, garden centers, and farm supply stores compete with a variety of alternative retailers, including home improvement and hardware stores and general merchandise retailers.

Highly Seasonal Sales

Sales for farm supply retailers are highly seasonal, with peaks during the spring and fall to support crop schedules.

Industry size & Structure

The average nursery, garden center, or farm supply retailer operates out of a single location, employs 16 workers, and generates $3-4 million annually.

    • The nursery, garden center, and farm supply retailing industry consists of about 9,400 companies operating 13,400 stores that employ about 157,000 workers and generate about $35 billion annually.
    • The industry is highly fragmented; the top 50 firms account for about 41% of industry sales.
    • Tractor Supply is the largest farm supply retailer in the US with over 2,200 stores. Large nursery and garden centers, such as Armstrong Garden Centers and Stein Garden Centers, have multiple locations but typically operate in one or two states. Most companies are small, independent operations.
                                  Industry Forecast
                                  Nurseries, Garden Centers & Farm Supply Industry Growth
                                  Source: Vertical IQ and Inforum

                                  Recent Developments

                                  Nov 19, 2024 - Falling Inflation, Flat Employment
                                  • Producer inflation for nursery, garden, and farm supply retailers declined 0.7% in September 2024 year over year while employment was flat during the period, according to data from the US Bureau of Labor Statistics. Leading industry indicators showed improvement in August 2024, with consumer spending up 2.9% compared to a year ago and single home sales up 9.8% year over year. Sales for building material and garden equipment and supplies dealers were up 5.3% in July 2024 compared to a year ago and were up 0.6% from the previous month, according to the US Census Bureau.
                                  • “Green” services providers – including the lawn care and landscaping industries - saw some mixed results in the third quarter of 2024, according to the Home Service Economic Report released in November 2024 by Jobber, a job tracking and customer management software firm. New work scheduled slowed down in Q3 2024 with the exception of July, after seeing growth early in 2024. However, Q3 2024 median revenue remained stable compared to Q3 2023. According to the report, “Although consumers are cutting back on large renovations, they still prioritize outdoor maintenance, aligning with the broader trends of maintenance.” Lawn care and landscaping activity levels are a demand indicator for nurseries and garden centers, which count landscaping firms as customers.
                                  • The latest gardening industry trends include lived-in gardens, living fences, music components, a focus on foraging, and social retreats, according to the 2025 Garden Trends Report by Garden Media. Garden centers can embrace gardeners' love of music by introducing music to their functions, enhancing the connection between sound and nature with events like “Bring Your Own Vinyl” nights. Gardening retailers can also use the social component of gardening by collaborating with niche influencers, developing authentic and engaging content for platforms, and hosting workshops based on popular niches. The “lived-in” garden look emphasizes a dense, established look while foraging gardens allow gardeners to use their plantings to create floral patterns and arrangements. Living fences use a mix of layered plants instead of traditional hedges.
                                  • Consumer confidence levels increased in October 2024, improving in all five components of the Consumer Confidence Index, according to The Conference Board. The index was 108.7 in October 2024 from 99.2 in September 2024. Dana Peterson, chief economist at The Conference Board, noted that confidence was the highest among those between the ages of 35 to 54 and those in the income category of over $100,000. Per Peterson, “Consumer confidence recorded the strongest monthly gain since March 2021, but still did not break free of the narrow range that has prevailed over the past two years.” Plans to purchase homes and new cars rose on a six-month average basis.
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