Progress 10/01/05 to 09/30/10
Outputs OUTPUTS: Over the life of the project, we conducted several consumer surveys and auctions as well as several industry surveys. We presented results at in-state and national conferences as well as two international conferences. More than 15 peer-reviewed publications were made and more than 50 trade articles were published. PARTICIPANTS: The regional project committee is comprised of individuals from > 15 states, but the primary collaborators on most projects included Charlie Hall (Texas A and M University), Ben Campbell (Vineland Research Center), Jennifer Dennis and Roberto Lopez (Purdue University), Alan Hodges (University of Florida), Robin Brumfield (Rutgers University), and Chengyan Yue (University of Minnesota). Collaborators from Michigan State University include Rich Spreng and Tom Page (College of Business) and Tom Fernandez (Horticulture). TARGET AUDIENCES: The target audiences for this project are producers, wholesalers, and retailers of green plants and input suppliers to those firms. PROJECT MODIFICATIONS: Nothing significant to report during this reporting period.
Impacts The results of the third national nursery survey showed that changes in production and marketing green goods is occurring to a different extent in different regions of the country. In a separate study of consumer preferences for biodegradable containers, we demonstrated that findings from on-line surveys do, in fact, reflect behavior in consumer auctions. This finding was important in that some scientists believe the findings are inconsistent from on line to in person. Yet another survey showed the importance of age and ethnicity on consumer gardening purchases and activities, with higher income reducing the effects of those two variables. The extent of gardening activities by renters was documented; still homeowners comprise the majority of gardeners. Lastly, the role of the Internet on consumer searches and purchases of gardening related information and products was documented for the first time.
Publications
- Yue, Chengyan, Charles R. Hall, Bridget K. Behe, Benjamin L. Campbell, Jennifer H. Dennis, and Roberto G. Lopez. 2010. Are consumers willing to pay more for biodegradable containers that for plastic ones J. of Ag. and Applied Economics 42(4):757-772.
- Hall, Charles, Benjamin Campbell, Bridget Behe, Chengyan Yue, Jennifer Dennis, and Roberto Lopez. 2010. The appeal of biodegradable packaging to floral consumers. HortScience 45(4):583-591.
- Lopez, Roberto, Jennifer Dennis, Bridget Behe, Charles Hall, Chengyan Yue, and Benjamin Campbell. 2010. Sustainable production practices adopted by greenhouse and nursery plant growers. HortScience 45(8):1232-1237.
- Yue, Chengyan, Charles R. Hall, Bridget K. Behe, Benjamin L. Campbell, Jennifer H. Dennis, and Roberto G. Lopez. 2010. Investigating consumer preference for biodegradable containers. J. of Env. Horticulture 28(4):239-243.
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Progress 01/01/09 to 12/31/09
Outputs OUTPUTS: Using 2003 data the S-1021 committee collected for the National Nursery Survey with 2485 firms from 44 states, several researchers developed a regional profile of the marketing practices of nursery producers. Regional differences were present in several areas of sales management, selling practices, pricing, and advertising. Generally, the coastal regions had a higher percentage of wholesale sales while interior regions had a higher percentage of retail sales. Newsletters and yellow pages were the most important form of advertising in the Great Plains; trade journals were the most important method in the Southcentral and Southeast regions; and catalogs were the most important advertising method for all other regions. The percentage of sales to repeat customers varied from a low of 65.6% in the Great Plains to a high of 76.2% in the Southeast. The Appalachian (26.9%) and Southeast (26.8%) regions had the highest percentage of negotiated sales, while the northeast had the lowest. Flower color is a dominant attribute of fresh flowers, likely playing a key role in purchase preference. Data collected by the Ipsos-National Panel Diary Group (NPD) for the American Floral Endowment (AFE) from 1992 to 2005, were used in a multinomial logit analysis of single stem cut flower purchases. Genders differed in their cut flower color preferences, but flower color preferences also varied with demographic characteristics and by occasion. Using six color categories (Blue/Purple, Red/Bronze, Peach/Pink, White, Yellow and Other) results showed that the highest percentage of flowers purchased were Red/Bronze (34%) while the lowest percentage of flowers were Yellow (10.01%). Women used a more diverse color palette, but both men and women were more likely to buy Red/Bronze flowers for an anniversary and buy Peach/Pink flowers for Mother's Day. Women were less likely to purchase Peach/Pink flowers and men were less likely to purchase Red/Bronze flowers over time. Overall demand for Blue/Purple and Yellow flower colors increased over time while the demand for other color categories decreased over time. Prior research shows that primarily women > age 40 purchase fresh cut flowers. The floral industry would like to better understand why younger consumers don't purchase fresh cut flowers, especially for gifts. The objective of another study was to determine what motivates younger and older consumers in their choice between purchasing flowers or alternative gifts and how these motivations vary between different age segments. Researchers conducted stated choice experiments in Minnesota and Michigan with people of different ages, asking them to choose between flowers and alternative gifts under different scenarios. PARTICIPANTS: Robin G. Brumfield, Professor and Specialist in Farm Management, Dept. of Agriculture, Food, and Resource Economics, Rutgers University, New Brunswick, NJ. Benjamin Campbell, Post-doctoral Assistant and Instructor, Dept. of Horticultural Sciences, Texas A&M University. Charles R. Hall, Professor and Ellison Endowed Chair of International Floriculture, Dept. of Horticultural Science, Texas A&M University. Alan W. Hodges, Extension Scientist, Dept. of Food and Resource Economics, University of Florida, Gainesville, FL. Chengyan Yue, Assistant Professor and Bachman Endowed Chair in Horticulture Marketing, Dept. of Horticultural Science, University of Minnesota Twin-Cities. TARGET AUDIENCES: Target audiences include producers of herbaceous and woody plant crops, numbering over 700 in Michigan, as well as retail establishments marketing horticultural crops. The green industry employed over 58,000 people and contributed nearly $3 billion to Michigan's economy. A growing number of production managers are Hispanic, and these individuals were part of the target audience. Efforts included presentations to in-state trade association groups, trade magazine articles, as well as a few national presentations. PROJECT MODIFICATIONS: Nothing significant to report during this reporting period.
Impacts Nurseries and nursery suppliers can use the findings of the regional analysis to better understand their competition and customers. With > 10,000 nursery producers in the U.S., the regional comparison brings new information on preferred sales methods, distances to markets, and barriers to growth. Members of the supply chain can benefit from a better understanding of business in their region and markets into which they are considering expansion. In order to better understand the lifestyle impacts on floral purchases of three age cohorts, study participants were asked questions about their typical week. For participants ages 18-30, they averaged 9.76 hours searching for information online, driving 8.4 hours per week, watching television for 7.3 hours per week. As for gift giving, this group gave birthday gifts an average of 9.4 times per year, followed by thank you gifts 3.9 times per year. Birthdays are the most important time to give gifts in this age group. When shopping for flowers 78% of them shopped at supermarkets, 64% at local florists, and 43% at farmers markets. As for attitudes towards flowers, 35% felt flowers are traditional and for older people. For participants ages 31-40, individuals averaged 11.1 hours per week watching television, 10.4 hours driving, and 9.7 hours listening to the radio. This group gives birthday gifts 12.5 times per year and thank you gifts 4.3 times. Similar to the younger group, birthdays are the top occasion for giving gifts. Also similar to the younger group, 81% of the participants in this group bought flowers from supermarkets. The next highest was local florists with 78%. As for attitudes towards flowers, 21% felt flowers are traditional and for older people. For individuals ages 41-50, they averaged 12.2 hours watching TV, 9.88 hours listening to the radio, and 9.4 hours driving each week. When giving gifts, this group gives an average of 11.8 birthday, 5.1 congratulations, and 3.9 thank you gifts each year. When purchasing flowers 75% used supermarkets, 75% used local florists, and 72.5% used nurseries. As for attitudes towards flowers, 17% felt flowers are traditional and for older people. Lifestyle and perceptions about flowers clearly impact floral purchases by age group. Florists can now use this information to better connect with current and future customers.
Publications
- Behe, Bridget K. 2009. Time to Check in With Your Customers. GMPro 29(11):28-29.
- Behe, Bridget K. 2009. Connect with Consumers on Sustainability and the Environment. GMPro 29(9):40-42.
- Behe, Bridget K. 2009. Color Sells, But What More Can I Do OFA Bulletin 917: (Sept./Oct.) 1, 9-11.
- Behe, Bridget K. 2009. Debriefing: Jump Start on Next Year. GMPro 29(7):47-48.
- Behe, Bridget K. 2009. Connect with Consumers on Sustainability and the Environment. Great Lakes Christmas Tree Journal Summer 2009:32-35.
- Behe, Bridget K. 2009. Tough Times Call for Continued Talk. GMPro 29(5):38-40.
- Behe, Bridget. 2009. Brick and Mortar Meets Click and Order. OFA Bulletin 915 (May/June):11-12.
- Behe, Bridget K. 2009. Train for Success. GMPro 29(1):50-52.
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Progress 01/01/08 to 12/31/08
Outputs OUTPUTS: Analyzed survey data from 361 consumers regarding their purchases of native ornamental plants, their use of ornamental plants in the landscape, and their preferences for native and exotic ornamental plants in conventional and naturalistic landscape designs. Analyzed survey data from 1588 consumers regarding their Internet searches for general subjects and gardening-related subjects; for their general on-line and gardening-related purchases; and compared demographic characteristics of individuals who made in-person and on-line gardening related purchases. Helped to develop a third survey, collected and analyzed data with regard to 985 Texas consumer preferences for mixed annual plant containers. Developed a preliminary model of herbaceous and woody plant sales from April through May using free weather data. Assisted in the analysis of 464,325 monetary transactions for floral products to estimate consumer choice among retail floral outlets. Presentations on research findings were made at several regional and national trade meetings. Worked with 15 retail garden centers in western Michigan to develop a collaborative website for marketing. PARTICIPANTS: Dr. Chengyan Yue, Assistant Professor, Department of Horticultural Science, University of Minnesota (PI on floral outlet study, investigator on weather study). Ms. Shannon Mason, former graduate student of Dr. Terri Starman, Texas A&M University, Department of Horticulture (graduate student, primary researcher on container study). Dr. Terri Starman, Associate Professor of Horticulture, Texas A&M University (PI and investigator on container study). Dr. Dan Lineberger, Professor of Horticulture, Texas A&M University (investigator on container study). Dr. Yousef Zagaden, Assistant Professor, Department of Plant Science and Plant Biology, Montana State University (PI on landscape study). Dr. Robert Gough, Professor and Associate Dean, College of Agriculture, Montana State University (investigator on landscape study). TARGET AUDIENCES: Horticultural professionals including garden center managers, retail greenhouse managers, nursery managers, suppliers to horticultural retailers, landscape professionals. PROJECT MODIFICATIONS: Nothing significant to report during this reporting period.
Impacts Horticulture professionals became more aware of the use of the Internet by their current customers and potential future customers. More websites have been developed by horticultural firms in order to provide another window of opportunity for marketing to current customers. Horticultural professionals improved their decision-making skills with regard to consumer preferences for native plants, naturalized landscapes, and mixed herbaceous plant containers.
Publications
- Behe, Bridget K. 2008. Gardeners are Looking for Information Online and Making Purchases. Western (The Magazine of the Western Nursery and Landscape Association). Summer: 8-9.
- Behe, Bridget K. 2008. The ABCs of Gen X and Y and B (Boomers not Zoomers!). OFA Bulletin 909 (July/August): 4-5.
- Behe, Bridget K. 2008. Who Will You Inspire GMPro 28(5):45-46.
- Behe, Bridget K. 2008. Examine Your Financial Sustainability to Stay on Track. GMPro 28(3):54-55.
- Behe, Bridget K. 2008. Achieve, Plan Your 2008 Financial Goals. GMPro 28(1):78-79.
- Behe, Bridget K., Brittany Harte, and Chengyan Yue. 2008. Consumers Gardening-Related Search and Purchase Behavior Online. J. Environmental Horticulture 26(4):210-216.
- Yue, Chengyan and Bridget K. Behe. 2008. Estimating U.S. Consumers Choice of Floral Retail Outlets. HortScience 43(3):764-769.
- Zagaden, Yousef, Bridget K. Behe, and Robert Gough. 2008. Consumer Preferences for Native Plants in Montana Residential Landscapes and Perceptions for Naturalistic Designs. J. Enviornmental Horticulture. 26(2):109-114.
- Mason, Shannon, Terri Starman, R.D. Lineberger, and Bridget K. Behe. 2008. Consumer Preferences for Price, Color Harmony and Care Information of Container Gardens. HortScience 43(1):380-384.
- Behe, Bridget K. 2008. Everyone can learn from the Bachmans. GMPro 28(11):42-43.
- Behe, Bridget K. 2008. Gardening Has Been about Lifestyle! Western Nursery & Landscape Association. 10(3):19.
- Behe, Bridget K. 2008. Green Thumbs, Green Dollars. Plantings (Special Landscaping Supplement to Lawn & Garden Retailer). pages 4-7.
- Behe, Bridget K. 2008. Does Your Company have the Formula for Success GMPro 28(7):88-89.
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Progress 01/01/07 to 12/31/07
Outputs OUTPUTS: Results of investigations have been published in peer-reviewed journals and also in trade publications for the floriculture and ornamental horticulture industries. Meeting attendees received written and verbal information with suggested applications for their businesses. Results have been presented to individuals from 23 separate states representing approximately 800 firms. Specific information requests were sent email to businesses that requested additional or supplemental information, totaling nearly 100 requests.
PARTICIPANTS: Selected S1021 participants including Drs. Susan Barton (University of Delaware), Charlie Hall (Texas A&M University), Alan Hodges (University of Florida), and Jennifer Dennis (Purdue University). Michigan State University Faculty including Drs. Ryan Warner (Horticulture), Erik Runkle (Horticulture), Art Cameron (Horticulture), Janice Harte (Food Science and Human Nutrition), Richard Spreng (Marketing) and Tom Page (Marketing). Organizations including the Michigan Flower Grower's Foundation, Western Michigan Flower Growers, Metro Detroit Flower Growers, Michigan Nursery and Landscape Association, OFA the Floriculture Professionals Organization, and the Southeast Greenhouse Conference. Contacts including commercial greenhouse producers, commercial nursery plant producers, retail greenhouse operators, retail nursery employees and managers, and retail garden center managers and employees.
TARGET AUDIENCES: Target audience for efforts including commercial greenhouse producers, commercial nursery plant producers, retail greenhouse operators, retail nursery employees and managers, and retail garden center managers and employees.
PROJECT MODIFICATIONS: No modifications were made.
Impacts Total wholesale value of nursery crop production rose 17% over three years to $4.65 billion in 2006 with Michigan producing $149 million of that total. Michigan had 45,866 acres in production and was the fourth largest producing state for nursery plants. Total wholesale value of floral crop production was $3.83 billion, up 7.5% from 2000. Michigan is the second leading production state for floral propagative materials, behind only Florida. The wholesale value of bedding plants was $1.79 billion in 2007 with Michigan being the second leading state for production. Of the 155 million U.S. households in 2006, 38 million (33%) participated in flower gardening, 25 million (22%) participated in flower bulb gardening, and 24 million (21%) participated in landscaping. The typical household spent $72 on flower gardening, $37 on flower bulbs, and $356 on landscaping. Expenditures increased for landscaping by nearly 20% annually over the past five years.
Publications
- Behe, Bridget K. 2007. Minnesota Nursery and Landscape Association Certification Manual. Chapter 48: Marketing, Merchandising, and Sales. 48.1:1-6.
- Spreng, Richard A., Thomas J., Page, Jr., and Bridget K. Behe. 2007. A Comprehensive Model of Customer Loyalty. 13th Academy of Marketing Science World Marketing Congress. Verona, Italy.
- Dennis, J.H. and B.K. Behe. 2007. Evaluating the Role of Ethnicity on Gardening Purchases and Satisfaction. HortScience. 42(2):262-266.
- Mason, Shannon C., Terri W. Starman, Bridget K. Behe and R. Daniel Lineberger. 2007. Consumer Preferences for Price, Color Harmony, and Information Level of Container Gardens. HortScience (42(4):892.
- Behe, Bridget K. 2007 (in press). Internet Searches and Purchases of Gardening Related Products and Information. Southern Nursery Association Research Conference Proceedings.
- Behe, Bridget K. 2007. Survey Reveals What Consumers Think. GMPro 27(11): 54-56.
- Behe, Bridget K. 2007. The Facts Are In: Plants Improve Property Values. NMPro guest column.23(10):24.
- Behe, Bridget K. 2007. Was It Something I Said? Strategies for Improving Customer Loyalty. OFA Bulletin 904:1, 7-8.
- Behe, Bridget K. 2007. Lets Integrate More Plants into Outdoor Living Areas. GMPro 27(9):70-71.
- Behe, Bridget K. 2007. You Gotta Keep Score to Win. GMPro 27(7):86-87.
- Behe, Bridget K. 2007. Whats your Competition Strategy? GMPro 27(5):57-61.
- Behe, Bridget. 2007. The Landscape-enhanced Home. Lawn & Garden Retailer 6(5):10-13.
- Behe, Bridget K. 2007. Dancing with a Gorilla. GMPro 27(3):49-51.
- Behe, Bridget K. 2007. Look Online to Increase Sales. GMPro 27(1):106-107.
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Progress 01/01/06 to 12/31/06
Outputs In September 2004, an Internet survey was conducted among 1507 American homeowners and renters to compare their gardening participation and purchases. Because income level and homeownership were related, the sample was stratified to create four groups using the respondent's 2003 household income: (a) <$25,000, (b) $25,000 to $49,999, (c) $50,000 to $74,999, and (d) ≥ $75,000. Within each income group, the percentages of respondents who participated in 14 gardening-related activities and made 12 gardening-related purchases were compared. Across all income groups, a higher percentage of homeowners than renters participated in gardening-related activities and made gardening-related purchases, however as income level rose the number of differences between homeowners and renters generally declined. At the income category $25,000 to $49,999, there were 20 of 26 possible differences between homeowners and renters. At the highest income category (≥ $75,000),
homeowners and renters differed in only 5 of 14 gardening-related activities and none of 12 gardening-related purchases. Given the moderate extent to which they already participate and make gardening-related purchases, greater effort should be made to increase participation and purchases among this underserved target market. Another study extended the current research on the role of moderating variables in satisfaction research. Survey responses were used to test the role of prior plant knowledge on repurchase intention using structural equation modeling. Knowledge level was proposed to be a potential moderating variable of the relationship between satisfaction and repurchase intention as well as delight and repurchase intention. An Internet survey with 659 plant purchasers was conducted to examine an actual purchase experience, in this case the initial purchase and the actual performance of the plant following purchase. Our results show that knowledge level did not have a moderating
effect on the delight to repurchase intention path, nor did it moderate the satisfaction to repurchase intention path. The delight to repurchase intention path, however, had a significant impact on repurchase intention. Results were consistent with existing literature, indicating that greater emphasis should be placed on delighting the consumer, rather than just satisfying them.
Impacts With a more concerted effort made on the part of horticultural retailers and allied suppliers, products can be successfully positioned for purchase by home-renters, thereby increasing sales of ornamental plants. Customer loyalty is integral to sustained profitabilty of horticultural businesses. With improved understanding of loyalty and it's drivers, businesses should be able to increase sales per customer and reduce customer loss to other businesses or hobbies.
Publications
- Behe, Bridget K. 2006. What is Your Brand Promise? GMPro 26(3): 61-63.
- Behe, Bridget K. 2006. Comparison of Gardening Activities and Purchases of Homeowners and Renters. J. Env. Horticulture 24(4):217-220.
- Behe, Bridget K. 2006. Surprise! Renters do Garden. GMPro 26(11):58-60.
- Behe, Bridget K. 2006. Research Shows Why Consumers are Loyal. GMPro 26(9): 79-81.
- Behe, Bridget K. 2006. What Can Customer Loyalty Programs Do for You? GMPro 26(7):95-97.
- Behe, Bridget and Charles Hall. 2006. Quality Landscaping Can Add Value to Tennessee Homes. Tennessee Green Times. 7(2):13-20.
- Behe, Bridget K. 2006. The Business of Paradigms. GMPro 26(5):69.
- Behe, Bridget K. , J. Hardy, S. Barton, J. Brooker, T. Fernandez, C. Hall, J. Hicks, R. Hinson, P. Knight, R. McNiel, T. Page, B. Rowe, C. Safley, and R. Schutzki. 2006. Landscape plant material, size, and design sophistication increase perceived home value. The Michigan Landscape (March):18-25.
- Behe, Bridget K. 2006. Older Gardeners Buy More. GMPro 26(1):97-99.
- Behe, Bridget K. 2006. Pricing Greenhouse Crops. Northwest Ohio Floriculture Commercial Resource. 2(1):6.
- Behe, Bridget K. and Jennifer H. Dennis. 2006. The Changing Face of the American Gardener. Southern Nursery Association Research Conference Proceedings 51:253-256.
- Dennis, Jennifer H. and Bridget K. Behe. 2006. Does Emotion Drive Gardening Purchases? Southern Nursery Association Research Conference Proceedings 51:257-260.
- Dennis, Jennifer H., Richard A. Spreng, Thomas J. Page Jr., and Bridget K. Behe. 2006. What Happens After Product Failure: An Examination of Switching? 5th Annual Hawaii International Conference on Business.
- Hicks, Jessica M. Thomas J. Page Jr., Bridget K. Behe, Jennifer H. Dennis, and R. Thomas Fernandez. 2006. Delighted Consumers Buy Again. Journal of Customer Satisfaction, Dissatisfaction, and Complaining Behavior. 18:94-103.
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Progress 01/01/05 to 12/31/05
Outputs A consumer study was conducted examining effects of plant guarantees on satisfaction and regret in the purchase of three horticultural products: hanging baskets, potted roses, and container perennials. The 517 respondents were divided into two groups: those who were offered a guarantee and those who were not offered a guarantee. The effects of satisfaction and regret on repurchase intentions were recorded on multi-item seven-point Likert scales. A structural equation model was used to examine simultaneous relationships between regret, satisfaction, and intention to repurchase. Survey results indicated guarantees would increase satisfaction and decrease regret for hanging baskets, but not for container perennials and potted roses. Five of six models showed regret and/or satisfaction directly impacted intention to repurchase. Both satisfaction and regret had a direct influence on repurchase intentions for the hanging baskets model regardless of the presence or absence
of guarantees. When guarantees were absent, satisfaction and regret had direct effects on intention to repurchase for the perennial model. Regret was the only construct to directly impact intention to repurchase in the potted rose model. Guarantees appear to lower the risks of buying some products and may improve the perception of quality of the offering. A separate Internet study was conducted to examine the initial purchase and the actual performance of the plant following purchase. Structural equation modeling was used to test hypotheses. The results showed that knowledge level did not have a moderating effect on the delight to repurchase intention path, nor did it moderate the satisfaction to repurchase intention path. The delight to repurchase intention path, however, had a significant impact on repurchase intention. Results were consistent with existing literature, indicating that greater emphasis should be placed on delighting the consumer, rather than just satisfying them.
Impacts The $14.8 billion retail horticulture industry could lose 3% of its customers annually. Plant guarantees can reduce the risk of some plant purchases, helping to expand revenue. Guarantees can reduce the number of customers who switch out of gardening all together (3% annually). More retail operations are reviewing and considering the addition of guarantee policies.
Publications
- Dennis, Jennifer H., Bridget K. Behe, R. Thomas Fernandez, Robert Schutzki, Thomas J. Page Jr., and Richard A. Spreng. 2005. Do Plant Guarantees Matter. HortScience 40 (Feb) 142-145.
- B. Behe, J. Hardy, S. Barton, J. Brooker, T. Fernandez, C. Hall, J. Hicks, R. Hinson, P. Knight, R. McNiel, T. Page, B. Rowe, C. Safley, and R. Schutzki. 2005. Landscape Plant Material, Size, and Design Sophistication Increase Perceived Home Value. J. Env. Hort. 23(3)127-133.
- Behe, Bridget K., Rachel M. Walden, Marcus Duck, Bert Cregg, Kathleen Kelley, and R. Daniel Lineberger. 2005. Consumer Preferences for and Cost of Production of Tabletop Christmas Trees. HortScience 40 (2): 409-412.
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