Marketing trends and business management practices for the wholesale nursery industry in California

• Published in: HortTechnology (Alexandria, Va.) Va.), 2005-01, Vol.15 (2), p.381-385
• Main Authors: Merhaut, D.J, Pittenger, D
• Format: Article
• Language: English
• Subjects: business management; commercial horticulture; economic trends; horticultural crops; horticultural products industry; plant nurseries; surveys; wholesale marketing
• ISSN: 1063-0198; 1943-7714
• DOI: 10.21273/HORTTECH.15.2.0381

A survey of wholesale nurseries in the United States was conducted in 1999, with 169 of the 806 nurseries surveyed responding from the state of California. The survey, consisting of 29 questions related to production practices, products, sales, and marketing, was sent to a random group of nurseries. Based on these results, over 50% of the new nursery businesses in California have been established within the last two decades. While most of the nurseries have computerized business practices, only 21% have implemented the use of computers or other automation in their production practices. Horticulturally, containerized plant production (80% of the industry) is still the primary method of growing and shipping plants in California, and most (90%) of these products are sold within the state. Nevada, Arizona, Oregon, Washington, and Texas are the primary destinations for plant material that is exported out of state. The factors that nursery owners feel influence sales the most include market demand, weather unpredictability, and water supply, while governmental and environmental regulations are perceived to have the least impact. The factors that influence product price include cost of production, market demand, and product uniqueness.