The Glut of 2008 (2009)?

My last post received a comment from JB, who tells what is going on with the wholesale nursery industry in Oregon. He say's, "The nursery business has been easy for the past 8-10 years. The demand for Northwest grown nursery stock ballooned and people from back east were coming out here and knocking on doors to buy plants to ship back east. Mom and dad neighbor and anyone who knew a nurseryman saw this and began to 'be a nurseryman' The quantity of small nurseries here is astounding. They really never had a problem selling their product. They would wait for the faxes to come in and fill the orders. You have no idea how many Emerald Green arbor vitae there are in peoples front yards…red maples, ash, locust, etc all the commodities. There is such a glut of plant material and no sales that many are exiting the business." It's a great example of the contradiction we face during this current economic cycle. One the one hand we feel for the nurseries, and on the other hand we realize that when there is a glut of material it has to be thinned out. I also remember a post from Billy Goodnick in Santa Barbara where he said, "Most everyone took off for a tour of production nurseries that were going to show off all their newest introductions. Not only was I uninterested in seeing plants I have little chance of growing in Santa Barbara, but the idea of using plants that are grown in Oregon, then shipped nationwide on trucks would give me a carbon-footprint guilt trip I couldn't endure. One more reason to use plants provided by local growers - they're not only adapted to my climate, but the impacts of shipping are minuscule." Ouch.

We have here in California over sold plants that really don't perform well in our area. This is not Oregon's fault, but rather a response to demand from well meaning gardeners, who want gardens that look like the pictures of places in other lands where summer rain is the norm. Coral Bark Japanese Maples we're planted in front yards, in full sun, at new development's in the Sacramento Valley. The trees will crisp up and eventually be replaced. Of course the low prices on these things at the box stores certainly goes a long way to encouraging poor planting practices. Rows of Living Christmas trees not suited for our climate, balled and burlaped Japanese Maples with dry root balls, etc. Of course with the glut of merchandise the prices are ridiculously low. So low no independent can touch them.

On another note, I learn so much from the comments here. It's hard for me to get out of the nursery so I depend on the comments from my readers. That's why I can not for the life of me figure out why my comment function on this blog continually changes the mode from "allow comments" to not "allowing comments". Very frustrating. Has anyone else using Wordpress.com experienced this problem? I found out that the comment feature was not working because a reader alerted me to it via e-mail.  It has been my habit to allow all comments, on all posts, going all the way to the beginning. That's why I find this problem so frustrating. In our fast paced lives, if you want to leave a comment you want to do it NOW. Again, I allow comments and if you find a problem, and have the time, drop me a note. I appreciate it.

Fighting commoditization. Who is your customer?

Here are some interesting comments from Sid Raisch, president of Horticultural Advantage. He list's six defining encounters during these defining times. The one that stood out for me is number 4, "Encounter suppliers". Sid say's, "On some level we are what we sell and must vigorously fight commoditization. Is it time to develop a new level of distribution partnership? Some smart breeders, young plant producers, and manufacturers should be creating more controlled distribution to protect their new products (and most deserving resellers) from becoming commodities." Visiting Home Depot the other day I say row upon row of clipped rosemary being sold for prices that an independent can't possibly match. Will they sell them all?  Who cares? They will just return them to the supplier and pay nothing! Who is growing these plants? That's what happened to the 15 gallon tree market in our area. Redwoods, Birch, Flowering Plums, etc. are now commodities being sold for $29.99 ea.

Who is to blame? I don't know if anyone is to blame. As a grower, in the past I would have been thrilled to get a account with Home Depot. Not any more.  I think these days partnering with the chains is going to be a loosing proposition, in the long run. They are constantly working the grower for lower prices, not paying until it sells at the cash register, and other practices that will continue to push profits down.

There seem to be two horticultural industries developing.  One side supplying the chains and boxes, the other the independents. I agree with Sid that we as independents need to partner with growers who want to work with us to preserve our distribution line. We as independents should refuse to buy from suppliers who charge one price to the chains, and one to the independents. We should be partnering with growers who don't fall for the pay by scan scam. I realize in some areas that these growers are the only game in town. As an independent you might be stuck using these growers. In the future that has to change!

It use to be fashionable in our trade to say that Home Depot, while undercutting the local independent at every corner, was at least exposing people to gardening. Once people we're exposed to the fun of gardening at the box stores they would head over to the independents as their interest in gardening increased. I wonder if that's still true?

No doubt we are in a defining time! The key is Sid's defining encounter #3, "Encounter the customer as a person, not just as a consumer." This is what will differentiate the independent from the box store. Box stores treat you as a consumer. Independents can treat the customer as a friend. We need to work with our customers. We need to find out more about their wants and needs. The best way to do that is truly get to know who it is walking into the store. Home Depot is trying. They jump out of all the corners now, asking if you are finding everything o.k. There must of been some memos sent down telling everyone to start paying attention. Something to do with falling stock prices.

The seeds of change are happening as we speak. I have noticed more and more blog posts from garden blogger's talking about this very issue. Who are garden blogger's? A very small, but very influential group of people. I have always thought that the internet, and it's ability to put like minded people together, would work better for the small business than the larger corporations. While garden bloggers are a small percentage of people who garden, they are very influential. As more and more people become internet savvy they will be exposed to these "experts" who are generally singing the prasies of worthy independents, or at least having an honest discussion about us. Let the chains spend all their money on large ad campaigns designed for the masses. It's through the internet, and other community building areas that we will see the fruit of our efforts realized.

Time to simplify

I got an invitation to join another professional forum today. They are great people. I want to be a part of this exciting group, yet I don't think I am going to join. Well maybe I should join, but just stand over here in the corner, where no one will notice me. Why do that? If I am not going to be an active member, why join? The horticulture industry has discovered the power of the internet to connect people.  The problem is, do we need more sites to be connected than we already have. I have accounts at Facebook, LinkedIn, Myspace, Twitter, Society for Word of Mouth, TBD, Tribes, Blotanical, etc... How can I keep up with all this? Sure it's o.k. to start a new social or business site. It's just going to be harder and harder to get people to join if they don't see a real value. Joining to join is going to be looked at the same way as someone at a party that tries to hold a conversation with you, all the while scanning the room for the next conversation to jump into.

We have reached the point of over saturation. I have three blogs, a web page, LinkedIn group, and e-news that I am responsible for. That's enough to keep me busy. In addition I receive unsolicited e-mail from well meaning people who think I might enjoy their offering, whether its a new plant, fertilizer, or garden art. We have talked about this before. What I don't want to be is a social butterfly flitting from from place to another, yet never really getting involved.

It's time to simplify. Everywhere you look people are making decisions about what's really important in life. Whether it's money orientated, or just a feeling of be overwhelmed, there is a huge desire to carve out a more simple lifestyle(huge implications for the garden center business!). I need to do that with my online presence. Today is my day off, (from the nursery). I am going to close down a number of the accounts. It will be a bit weird to leave these places, though I think it will be like cleaning out the garage. You just have to bit the bullet and launch the stuff that clutters your life.

There is another problem with having too many accounts. How do you reach me? Is it through this blog, e-mail, Facebook, LinkedIn, etc. Which one is the real me? Gee, I wrote him at Facebook a week ago and he hasn't answered. It's not that I don't care, it's just I didn't notice that closed envelope at the top of the page. So, in the upcoming week if you notice my Facebook, Myspace, or SWOM accounts closed, it's not that I'm  climbing into a hole and hiding out. I'm just simplifying my online life. Many others will be doing this soon, and it has implications for all of us who are marketers. How important are you in your customers life? Were going to find out.

To reach me you can leave a comment here at this blog, e-mail me at trey@thegoldengecko.com, call 530.333.2394, or e-mail me through my LinkedIn account.  I want to hear from you! This will make it easier.

Gardening without shopping?

Amy at Garden Rant has put up a poll called, "Gardening without Shopping". She say's, "I miss it, buying stuff.  New stuff inspires me to do cool things in the garden.  But even a truckload of mulch is a luxury I'm doing without right now. What about you?" Head over and take the poll. One thing Amy and the others at Garden Rant have done over the years is promote shopping at the garden center. To hear that she will not be spending as much this season is not a good sign for her local garden centers. Multiply her feeling across the country and you can get an idea what we are up against this year and next.

So you find yourself in a business where the product you sell is looked at by many as a luxury. Something that can be curtailed for more important things, like that morning cappuccino. That's the crux of the problem for our industry. It's no longer looked upon by the vast majority of people as a necessity.

The way I see it, identifying the people like Amy, who really want to shop at the garden center is now our priority. Once you know who these people are you can focus your energy on them, rather than trying to reach a larger market. Specials, free workshops, direct e-mail news, and acknowledgment of how important they are to our business is what's called for.

You have to reach your taget market, which in our case is very small, but loyal. If we don't remind them of us, and the importance of the garden in these times, they just might not think of us. There is just so much to think about. We had a tin art workshop over the weekend that was well attended. People looking for something fun to do, in a refreshing environment. Didn't make a lot of money that day, but we had the parking lot full and anytime you can get people into the store it's a good thing.

If you in a garden business what's it going to take to get them into your store this season?  If you a gardener what's it going to take to get you into the garden center this season?

Later is here!

We have been working our tales off the last few weeks. Getting Monica's Day Care up and running involves installing another bathroom in the building, fencing, playground, etc. Meanwhile we decided to move our event tent so that it fits right up next to the store. I just increased the store space by 100%. All the while the leaves are falling off our trees leaving huge piles to deal with. Oh, and there are customers that need help, too. So much to do, little time to think about the economy. That's the way I like it. What can I do about the economy anyway? Nothing. The fact of the matter is, all times are challenging for the small business owner. Even when the economy is firing on all cylinders we have our share of challenges. Big box competition, declining interest in gardening, vendors going out of business, etc.  Recession? Get in line. One of the benefits of being a small garden center is we can change on a dime. Where as larger companies have to go through a series of procedures just to change focus, we can do it now.

Here is what we have done. We have no staff to cut. The couple of people that work for us in the spring and summer are off for the winter. Being in the foothills and mountains winter gardening drops off more than in the valley. Monica and I can handle the business for now. We are staying stocked with seasonal items through some generous spring dating we receive from key suppliers. Buy now, pay in April. Our foray into Hydroponics, and indoor gardening is starting to pay off with people coming in to get started with gardening in the winter. We have increased our advertising via e-news from twice a week to every week! I figured out how to put the e-news together myself so I don't need the help of my webmaster. Savings in the thousands of dollars a year! When is the last time you heard of increasing advertising while decreasing the cost? We started staying open 7 days a week this last spring. We use to close on Mondays. Moving the event tent next to the store will provide more indoor space for winter shopping. We are starting a new business, "Miss Monica's Preschool and Daycare" in front of the garden center. This will provide a more steady income during the year, to balance the seasonal ups and downs of the garden center business.

We have heard about some other garden center businesses  in our general area that are reducing their hours of operations. One is reducing the open hours while another is closing down one or two extra days a week. This is not good. We decided to expanded our hours of operation. Some of these businesses are reducing spending on advertising. We have doubled our advertising while cutting costs. I am concerned that these businesses are hunkering down when they should be looking for new avenues of revenue, like our hydroponics or Miss Monica's Daycare.

The natural response for all of us when times are tough is to hunker down until the storm blows over. You have to fight that feeling and redouble your efforts to become innovative when everyone else is running scared.  It's not easy. If the economists are right and the recession lasts for a couple years, you can't wait out the storm. You have to sail right into it, and deal with it. Besides, that's where the action is. It's counter intuitive, but that's why so many never take the first step.

My feeling is that over the next year or so we are going to see a lot of changes in the garden center business. More than we have imagined! Lot's of closings, reorganizations, layoffs, etc. It is not going to be pretty. Never the less, I am reminded that it's during these tough economic times that ideas emerge that will transform our industry. You either innovate, or go out of business. Tough times force decisions that we might have been able to put off for later.

Later is here!

Change!

Are your celebrating, or licking your wounds this morning? The election of our new president certainly proves the point that change is here. Change is neither good or bad. It's just change. As a business owner we look for some constants to base our decisions on. "People will always garden", or "there will always be a place for independent garden centers" are two ideas that we have based our decisions on. Now its seems that those constants may not be so constant. Who know what's going to happen tomorrow? This is our chance to embrace change for the better. It's also a chance for us to provide a sense of place or "roots". Most people find change frightening. Those of us who embrace change are frightened at times, too. Our garden centers can be a place where people can get back in touch with the "constants" that are so important.

It's the little things that count. Listening to the customer. Carrying out the soil to the car. Noticing the new hair cut of one of your customers. Asking how someones parents are doing. Returning phone calls or e-mails. All these things are small, but add up to a better place to shop and connect. I am amazed how many business start up only to fail. We have a drive through coffee shop near here that has been through three or more owners over the last year or two. What's up? The last owner put up a sign that said, "closed due to the economy". Really, or was it the little things? Like not opening before 6:00 am to get the commuter traffic, or the coffee just wasn't that good, or the entrance is poorly designed. Not the BIG thing, the economy, but the little things. Maybe the new owners will improve on that, although the sign in the window did say, "open Nov.1st" and it's not open yet! Little sign, big promise, no action.

Our customers and neighbors will remember how we acted during tough times. That's the measure of a person, and business. Not just smiles and friendly service when times are good, but smiles and friendly service when the economic times are bad. Our customers don't come to our store to hear our laundry list of complaints. They come to have their spirits lifted, and to embrace the outside world where some things are constant. They are counting on a smile, a positive word, friendly advice, and a "yes you can" attitude. Sure, they want quality plants at a fair price, but that's not enough for the independent garden center.  You can just about get that at the box stores, decent quality at a low price. Our survival as independents depends on the little things, done over and over again.

Smile, have a "yes we can" attitude, and do what you say you will do. Repeat as often as necessary.

It's about community

I like this post from Tom Peters blog. Its about the election and community spirit. It's not about a particular party or candidate, but rather a call to arms for more community involvement. One thing we have learned during this election cycle is the power of the internet to connect like minded people. Whether you candidate wins or looses the results are clear, TV is the big looser and the internet the big winner. TV addresses the masses, while the internet addresses the the many different "tribes" that exist. Combine enough of theses different tribes with like minded goals and your candidate wins! The same is true with our businesses. Find and connect your "tribe" and they will help build your business. It goes both ways of course. You have to give your tribe something to believe in, and it may be more than just building your business. How are you truly benefiting your community?  You might say that just being in the nursery business, and providing plants that make our world a better place is enough. It's not enough!

We need to make our garden centers a center of community activity. I, like a lot of you don't like to mix politics and business together.  We provide a place for everyone who wants to garden. Community activity does not have to be about one party or another. Rather it's about providing a space for community activity, like our picnic area. It might be about trying to get two new stop signs put in at Marshall and Black Oak Mine Road. People drive too fast there and have crashed into our fence before. Sure it will keep people from ruining our fence, but it will also prevent accidents, and maybe save a life.

I hear from all sorts of business people who lament the current state of affairs. Customers that ask questions and then head to Home Depot to buy supplies. Customers that open packages, use products, then return them. The complaining that I hear from business owners about the community indicates a disconnect. How can we complain about our customers going elsewhere? What have we done to connect with them? What have we done to make ourselves indispensable in their lives?  How can we connect so they will tell their friend about us? I love it when someone forwards our e-news to a friend. People will tend to listen to a friend, and we couldn't ask for a better advertisement for our business.

This is one of the reasons why Monica and I are opening our daycare and preschool. One reason is an attempt to have steady income flow year round, taking the pressure off the garden center in the winter. Another reason is the community has indicated another preschool is needed. We have been hearing from all sorts of people who are quite excited about this new venture. How did they find out what we're up to? Word of mouth! They are excited and so are we. I may even start calling the garden center "the nursery behind the nursery".

Once we have opened "Miss Monica's" Daycare nursery we will become even more of a center of community activity. Young families counting on our child care services to give them the opportunity to work where and when they want. People looking to us for their gardening and outside living needs. People using our picnic area for events. What we can do for the community, while still making a profit is exciting for us. We are business people, looking to make a profit. We are also community members working to make a difference in our community.

I think the future for the small independent garden center is quite bright! Use the power of the internet to help connect the people who also want to make a difference in your community.  It's time to speak up, and let people know what it is that you would like to accomplish.  We need  to be about more than just selling plants! Start building your community today.

October sales, attitude, and our LinkedIn group

October has been a good month for sales. Up from last year. We did have some deep discounting with some of our plants. People are shopping for plants, but it seems right now you have to offer them at reduced prices just to get them in the door. Sometimes that leads to sales of other items not on sale, sometimes they just want the sale plant. Either way it's cash flow during what is a very slow time in retail. I heard about a well known nursery approx. 15 miles from here that is reducing their operating hours from 7 days to 4 days a week! This place has (had) large landscape crews that helped landscape the lower foothills, while the housing market boomed. People paying for their landscapes with home equity. Now all that is gone, including  most of the landscape crew. I think the nursery was funded with the landscape operations, and with that revenue dried up they are depending on the nursery to pick up the slack, yet they are reducing the store operating hours. Ouch. This was a award winning, very popular garden center for the last 10 years. The manager say's tongue and check that they are doing their best to drive business to another garden center, which seems to be doing much better. I can't see how reducing the hours will help the business.

It's just so easy to keep cutting expenses, since it seems at times that's the only thing you can do.  Trying to increase revenue sometimes seems like a loosing situation. Self fulfilling prophecy. You get in a funk, customers pick up on the vibe, and it just goes down hill from there. Attitude is so important. A positive outlook is so needed right now. People are migrating towards positive messages with all the negative news these days. I believe that you can change the world with your attitude. It will be those businesses that maintain a positive outlook, a upbeat attitude, and work to spread that message, that will emerge better off when the economy finally turns around.

Our Linkedin group has grown to  94 members! There are numerous discussions going on including, "What's been your most Successful Advertising Campaign?", "What point of sale and back office accounting systems are you using?", and "Homeowners online experience-interaction with your website". Once you have joined the group you can start you own discussions. Most important, in my mind, is we now have a place for those who see the need for change in our industry to meet. Not everyone agrees how we need to change, but most agree we need change.

Since the group has grown to 94 members I thought that the 100th member should be profiled here. Of course being the 100th member is mostly luck, but it might be nice to find out more about that person and their reason for joining.  I find it quite interesting to read the backgrounds of the people involved. Presidents of companies, managers of garden centers, media representatives, television personalities, nurserymen and women, garden bloggers, and others who share a love of gardening, garden centers, and the use of new media to get the word out.

What I would like to do is introduce some of the people in the group after we introduce the 100th member. You might learn more about our garden businesses, our motivations, and hopes for our common gardening future. No one has to be profiled if they wish, but if I think most of us are dying to tell our story. We have all been through so much change during the last few years, it will be an invaluable resource for us, and those interested in pursuing a future in horticulture.

Speaking of our LinkedIn group I started a new discussion. "Monrovia, Proven Winners, and Hort Couture are examples of branding in the garden center world. Brands are seen as a way to inspire customer loyalty, and create easily recognizable attributes in a crowded market place.

During a downturn in the economy do branded plants appear too 'expensive', or a 'luxury' to be skipped by the public in favor of 'seemingly' less expensive alternatives? Alternatives like eating out, shopping at the 'cheaper' box stores, taking that vacation, or just not spending at all?" If your a LinkedIn member or not your comment here, or at the group is appreciated.

Open yourself to the possibilities

We are working on our new project, "Miss Monica's Garden Valley Pre-School and Daycare". I have had to move my vegetable garden to make way for a playground for the kids. Over all the nursery will shrink by about 10 to 20% in size. Still plenty of space for what I need to do. We also started a webpage for the daycare. Starting a web page or blog is so easy that it was one of the first things we did. I want a place for potential customers to go and find out more about the new business. One of the things I realized over the last few weeks is I have had "nurseryman" blinders on. Everything we have done over the last decade has been through the prism of being nursery people. Rather than see the big picture of possibilities that are out there, we looked at the possibilities only if they advanced our garden center business. I had always thought that the rental units we have in front would be part of the nursery one day. Turns out it will be nursery, just not plant nursery. Why didn't we see this before?

The reason we didn't see the possibilities is what I think is holding back a lot of small businesses.  Not seeing the BIG picture. Lately economic events have forced a lot of us to really dig into what's important. As a garden center owner I read about how we need to re-invent our business to better reflect the the current trends. One such trend is putting a coffee shop in the garden center. Or perhaps a pet center. Maybe a wine bar. Another nursery sells jewelry. So I, like you think, "would this work here."

What we came up with is most likely the only such operation in existence. The businesses will operated separately, so it's not quite like putting a wine bar in the nursery. Never the less we are likely some of the only people who will own and operate two nurseries each raising different things all together. Plants and kids. I have found it liberating! For years we have been building our garden center business. It's fun and challenging. But now we see just how needed daycare is in our area. Monica has already signed up a couple of customers, even before we open. It's quite possible that the kid nursery will one day be as profitable or more so than the garden center.

Look out upon the scene and think like the entrepreneur you are. Not as a nursery man or woman, but as a person who looks out and see's a need, then builds a answer. Is the nursery failing? No. Here in the mountains winter time is very slow, and we need a more steady cash flow, which the kid nursery will provide. This will take the pressure off the nursery to supply us with our sole income.

These days with the slowdown in the economy it would be a great time to re-evaluate who you are, and what you expect to accomplish with your business. Look beyond your industry to see if there are any other possibilities for you.  Maybe you can connect the other possibilities with your garden center business, maybe not. Just don't be so tied to one idea that you don't see all the wonderful possibilities that are available in these most interesting times.

The not so victorious "Victory Garden"

Here is an update on The Victory Garden in San Francisco. We read about it at Garden Rant, where Amy rightly said it was a publicity stunt as opposed to a real attempt to encourage sustainability. She said, "Any Friends of Rant in San Francisco want to keep an eye on that garden for us? I can't wait to see what $180,000 worth of produce looks like come September." Well Amy, I can't report on what $180,000 in vegetables look like but here is a report. It appears the cost keep rising. According to SF Gate "San Francisco Mayor Gavin Newsom is paying thousands of dollars a week in city money for private security guards to play scarecrow over the 'Victory Garden' growing in Civic Center Plaza." It seems that The  Mayor decided that the garden shouldn't come down until December, at the cost of $2,200 a week in security.Very sustainable. Why? What purpose is there in keeping the garden up? What an incredible waste of taxpayers money. Where is the outrage? What do the volunteers who kept the garden going think of this?

What's next for the Victory Garden space. Not a vegetable garden. That was to0 much trouble. Instead,  "Newsom's new acting Rec and Park director, Jared Blumenthal, has been asked to work up plans to give the plaza a bit more European flair - possibly with a Parisian-style cafe, a flower stand, a travel kiosk or other amenities." Gee, I thought The Plaza already had a European flair.

So we went from growing vegetables on concrete, in soil trucked from 40 miles away, and protected by security guards to a European style plaza. Where is the sustainability in any of this?

The moral of the story. Keep politicians out of the garden.

The passionate few

We have a e-newsletter that we send out to just over 900 e-mail addresses. You sign up for the e-mail either at our web page, a forwarded e-news, or at the nursery by writing your e-mail down, which we then enter. Now a lot of those e-news go to people who may never visit the nursery. They live outside the area and are just interested in what we have to say. Out of those 900+ e-news about 39% on average open the e-news. This is a good rate as far as e-news campaigns go! Now out of those 39% of people who open the e-news how many react to our message? 29% of the 39% click on links in the e-news. So about 250+ people on average are interested enough to read more information on what we have sent. How many of those come into the store and actually spend money? I don't know how many people actually respond to the e-mail by spending money at the nursery.  It's a small number of people, but a very important group of people. What we are finding is a certain small group of people consistantly respond to our message. They just don't delete the e-news when it shows up in the in-box. We all know how easy it is to delete e-mail that seems to be spam. Why such a large group of people sign up for a e-news and then don't bother to read it is a mystery? The fact is it happens and that's the nature of e-news. What's more important are those few people who do read it and respond.

It seems  more and more that our business success is because of a small group of powerfully influential people. People who open the e-news, forward the e-news to friends, and bring friends into the store. This is one reason I beleive that mass media advertising is not the way to go for small garden centers. Better to find the people who like what we do, and allow them the means to spread the word.

My guess is that most nurseries have a core group of people who support the business and spread the word. This is where the small and medium sized garden stores have it over the giants in the industry. Scotts Miracle-Gro tried it with their customer written blogs.  While the blogs are still there but many are written by Scotts and the rest are just kind of there. No passion. How passionate can one person get about spreading the word about Scotts?

The future of our business involve being passionate about what we do, find others who share our passion, and give them the means to spread the word.  It's not easy being passionate about running a business during an economic slowdown! Yet, it is the key to making it through the current economic cycle. The passion you show for your business is a direct result of the passion for life that you have. People want to hear a positive message, and we have the ability to provide that message. Let's take this opportunity between all the negative news people hear each day and insert our positive message. Gardens and gardening can change the (your) world.

Small is cool, again.

The other day Seth Godin ran an post titled, "Maybe you can't make money doing what you love." He say's, "That blog you've built, the one with a lot of traffic... perhaps it can't be monetized. That non-profit you work with, the one where you are able to change lives... perhaps turning it into a career will ruin it. That passion you have for art... perhaps making your painting commercial enough to sell will squeeze the joy out of it." So many of us start in the nursery business because we love the work. It seems that if you do what you love the money will follow. Not always. The nursery business is no longer what it use to be. The days of people waiting outside the gates on a Saturday morning are all but gone. I know some places that may still exist but not here in northern California. It's not that the nursery business really did anything wrong, but rather the times have changed. Maybe we didn't change fast enough along with the consumer. We just assumed that gardening would always be Americans number one hobby. Now we have an infinite choices of where to spend our time and money. Some people just don't think gardening is all that cool.

Are you depressed yet? I'm not. Sure I remember "the good all days". Gone. We are entering an era where really none of us know what tomorrow brings. The only thing for certain is change, and more rapid than ever. So what's a small garden center to do? Roll with the punches. That's one of the benifits of being a small business. You can change on a dime. What takes large corporations months and years to do we can do in a few days or weeks. We have been making changes here at our nursery.

We talked about how my wife Monica is opening up a day care in two of the rental units we own in front of the nursery. We made the decision because the reality of these days points out that in our area day care is needed. Monica went to a meeting last night with the other day care business in the area. They are full! They, the competition, said more daycare is needed in our area. The comment Angela made at one of my last posts said it all, " I think your instincts are right-on on this one. Every time I peruse the Classifieds for 'nursery' jobs these days, virtually the only companies hiring are the ones that take care of kidlings, not plantlings. If Monica has the credentials, hey, why not?!"

Are we closing the nursery? No. Are we readjusting what we do with our property. Yes. The nursery is a seasonal business, and here in the mountains winters are pretty slow. By opening the day care we will be able to take some of the presuure off the nursery to "do it all". We are entruprenus. And that's my message to you. Sometimes we define ourselves by what we do. "I am a nurseryman" was the way I thought of myself before. What ever I did was looked through the lens of being a nurseryman. Come "hell or high water" a nurseryman was what I'll always be.  Well something changed recently. It has a lot to do with the economy, but also the times we live in. If your going to be nimble and fluid in your life don't be so focused on one tree that you don't see the forest all around you.

The nursery industries are involved in some of the biggest changes they have seen in a long time. Many nurseries are going to be gone by next year, and the year after. They remain too focused on trying to do business the old way. What's the new way? Heck if I know. Every business and owner has a unique set of circumstances to deal with. Each will respond differently to the challenges. What's that crazy idea you have?

Staring a new business, part two.

I wanted to fill you in on our latest venture, the daycare preschool we are opening. My friend Sid worries about burn out and the stress of running a child care center. Monica ran a day care for two years, and was a child care teacher for eight years. For a number of years she worked at a day care called Happy Kids while I worked at a nursery called Happy Frog. We always found it interesting that we both worked at nurseries with "happy" in the name. Both of us are aware of the stress and tensions that are involved in daycare. It's a lot like the stress in the nursery during spring. The difference is the stress at the daycare is year round. Of course that's why we are interested in it. Year round income as opposed to the up's and down's of the nursery. There comes a time when cutting back on expenses just doesn't cut it. You have to increase revenue. While normally the Fall would be a boost to sales, this year it's a mild boost. Here in California the housing price decline has affected sales more than the banking problems. I talked to a fellow the other day who is walking away from a $600,000 house in The Bay Area. They cannot sell it!

We decided that starting a new business that seems to be needed here was a smart move.  Sid is concerned that we are getting involved in a business we don't know enough about. Don't worry Sid, we have been through this before. The long hours and wild kids. I will say though that in the dark of winter I will do a dance of joy when I see the daycare filled with light and kids, while the plant nursery is covered in frost. Monica is excited about the possibilities and we are no strangers to long hours and repetitive tasks.

Shirley's comment's are right on when it comes to what we are trying to achieve. We are serious about the need for educating kids about the environment and gardening. The parents of the children we will care for are from Generation X and Y. These are the generations we in the nursery industry worry about being non-gardeners. I believe Gen. X and Y feel they didn't get a chance to learn about, and enjoy the garden. They will be excited that their children are learning about nature and will want us to continue the process as the kids get older. Get the children interested and they will drag the parents to "their nursery".

There is also the case of plant nursery burn-out. I would say it's just as easy to become burned out at the garden center as the day care.  It all comes down to attitude. We are all having to make decisions that we wish we didn't have to make. The times call for it. The difference between those that will weather the storm and those that won't is "attitude". You cannot wait around and hope next year will be the magic spring. What happens if California goes into a serious drought next year, which is quite possible? Sure, we will do our best to maximize the possibilities, but having all our eggs in one basket makes it harder. Some garden centers have maintenance accounts that are more or less steady. Others do landscaping. We are opening another nursery. For some reason we are good at raising young things. My youngest daughter will be helping mom full time in the day care. She was raised by Monica at the day care where she worked. We go forward with our eyes wide open.

Our last venture, The Happy Frog Garden Center was started in the middle of the last recession. No one was opening anything and I thought it was a good sign that we we're boldly starting a new business then. It grew to become one of Northern California's leading garden centers. Remember that Google was started during the dot com crash. What about garden centers with Cafes? Who would have thought that would work? Garden Centers that sell wine? Garden Centers with a grocery store attached? Garden Centers that have pet centers (Bone Bar)? Garden Centers that sell high end jewelry? All those are being done as we speak. Why not a Garden Center with a kid nursery?

Those of us that keep a steady hand on the wheel, chart a good course, and have fun all the while, will weather the storm and find safe harbor.

Open a nursery now?

We have been getting ready for our 4th Annual Scarecrow Contest and Pleasure Faire. We have local vendors and artists as well as the scarecrow contest. I'll cook hamburgers and hot dogs on the grill. It's suppose to be about 70 degrees and breezy, perfect fall weather. It's a way to showcase the local community and gives people a reason to come to the garden center. You can't just open the gates and expect people to come anymore. Too many priorities for their time and money. You have to have something going on that sparks their intrest. I think being the venue for all things local is a great way for us to show our community spirit. These are the day's to focus on local! Weekends have been o.k. as sales go. Weekdays can go either way depending on just who walks through the doors. Never before has it been so important to realize who your best customers are, and treat them as such. It's so important to have a positive outlook while all around you people are playing the blues. I believe people migrate toward a positive outlook, and if we are that positive place, they will come. People want to feel good and connect with others in the community. Let's be that place.

Monica and I are opening a new nursery! A nursery for kids. "Miss Monica's Garden Valley Preschool and Daycare". Monica was for years a day care provider. We own a small retail mall in front of the nursery. There are six units, most of which are leased out. We have a masseuse, photographer, and video store. There are now two units, 1000 sq. ft. available. That's where Monica will open her business. The nearest daycare to here is five miles away and the next one is 12 miles away. Both are filled to capacity. There is a need for daycare in our area! Our great location is on the way "down the hill" to jobs in Placerville, Folsom, and Sacramento.

How did this come about? We are trying to figure out what business will stay busy in a down economy. Daycare is something that people will sacrifice for since usually both couples have to work.  So it's a new venture for Monica, and I'll have to run the garden center. That's o.k. because we need to do something. Winter is closing in and the garden center business is seasonal, even here in California. Daycare is a year round business.

We came to this decision because these days you have to "think out of the box". Actually we have always tried to think out of the box, but this year and next it will be those who implement the changes necessary that will be in business next year.  We have the commercial space available, we have great landlords (us), a need for daycare in the area, and Monica has the experience and requirements necessary. Plus my daughter Sheala will be an aide, making it a family business. A desire for a more steady cash flow is a major portion of our thinking. Sure I'll miss Monica in the nursery, but she will only be 100 yards away and I can hire help for the nursery next year.

I like the idea of starting a new business now! It goes against the "pull back and hunker down" mentality that I think stifles business, at a time when bold action and ideas need to come into play. Now is the time to prepare for the eventual rebound in the economy. It will come, it just might be awhile. So pull out all the stops. Think about it. Everyone wonders how to appeal to Generation X and Y. We are going to the source, the children of generation X and Y! We will have a learning garden at the preschool. Nature and gardening will be taught to the children as part of the curriculum. If we can't get Gen. X and Y to embrace gardening will get their kids to drag them in.

Recession proof?

You have heard in the past how the garden center business is recession proof? Is that true today? I certainly don't think so, but we are here and the circumstances we face may be different than other garden centers face. I will say this last week has been one of the slowest I have seen when it wasn't raining. To be fair it's been quite hot here as of late. Temperatures in the high eighties does not make one think of fall planting. Never the less you can almost taste the fear out there. People are pulling back and making important financial decisions. Is this what's happening in the rest of the country? What is your take on what's going on and what the future has in store? What are you doing to stand out and get people to think of the garden center?

We have found that you have to give people a reason to come to the nursery. It's easy to say, "no, I don't have the extra money to spend, why go there?" We know that we are like a candy shop, once your in you can't resist. How do you get them in? And is it working?