The economic downturns of 2007–09 and the COVID-19 pandemic affected most industries in the United States, including landscape services and equipment sales, and provoked both short-term disruptions and long-term changes. To understand how the landscaping industry has responded, we investigated patterns of consumer expenditures on landscape services and equipment from 2009 through 2021 using a representative sample of 76,895 US households. We categorized US households as detached single-family residents and townhouse residents to more fully articulate the factors that turned potential consumers into purchasers and the factors that affected purchasers’ expenditures. We used a double-hurdle model to identify key factors that drive consumer demand for landscape services and equipment over time, including social-demographics, geographic characteristics, housing conditions, year and seasonal trends, and the COVID-19 pandemic. We found that during the studied period, the demand for landscape services declined in terms of both the percentage of consumers purchasing the services and the purchasers’ average expenditures, while the demand for do-it-yourself (DIY) equipment remained relatively unchanged. In response to the COVID-19 pandemic, the percentage of consumers who purchased landscape services increased, while the expenditures on landscape services decreased in 2020 and then began to rebound in 2021, but not enough to reverse the overall downward trend. In contrast, purchases of DIY equipment were relatively stable in response to the COVID-19 pandemic and mainly relied on current consumers.
Bibliographical noteFunding Information:
2Department of Horticultural Science, University of Minnesota, Twin Cities, 1970 Folwell Avenue, St. Paul, MN 55108, USA 3College of Economics and Management, Shanghai Maritime University, Pudong District, Shanghai 201306, China Li Zhao thanks the National Science Foundation of China (No. 71803132) for support while she was working on this paper.
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- COVID-19 pandemic
- double-hurdle model
- post 2007–09 economic downturns
- single-family house residents
- townhouse residents