Winter is a time of vacations to the mountains or to warmer climates to rest, relax, and reflect. For those in the green industry, winter is a great time to reflect on the state of where we are, where we have been, and where we might be heading into next season. We checked in with Austin Lanzarone, Central’s Seed Category Director, to learn more.
This grass seed season started with a bountiful harvest flush with inventory and tremendous excitement from consumers with price drops at the forefront of discussions. Pricing discussions in Oregon were then halted by government agencies due to “alleged” violation of confidentiality and attempted collusion clauses, thus opening a free market on tall fescue and perennial ryegrass varieties. So, what happens to prices when there is a free market? “In a purely free market, buyers and sellers arrive at prices based only on supply and demand. As such, buyers and sellers compete with one another and among each other to pay the lowest price (for buyers) or receive the highest price (for sellers).”
This along with delayed production times caught some consumers off guard and forced them to wait for product. Fast forward thru the season and prices began to fall slightly as the rumors of a downward economy began to stir. Consumers shifted their buying habits from “I’ll take what I can get” to a pickier approach now that inventory was readily available. This gave some much needed breathing room to contractors that were unable to increase contractual prices on previous jobs quoted. It also changed the approach from storing seed to purchasing on an as needed basis.
As we settle in to our favorite winter time activities, grass seed dealers hunt for that next opportunity to keep production lines flowing smoothly; and pricing is expected to soften as snow piles up alongside the roads. There is a large hope consumer spending will stay strong to remove higher priced inventory out of warehouses, making way for lower priced goods to arrive by Spring 2023. Remember however, that cheaper is not always better! Take a few minutes to learn about Seed Tags and know what’s in the bag before you buy.
The team at Central Turf and Irrigation strive to keep you up to date on the latest market shifts to help increase profits and grow markets. Reach out to a Central rep today and connect with a Subject Matter Expert to help your business navigate these ebbs and flows. Learn solutions on how to get the most out of your equipment, your team, and the products that can help the grass seed you do have to grow efficiently. When it comes to grass seed, using the best products can save you time and money.
Austin Lanzarone has nearly 20 years of experience in the Green Industry and a degree in Plant and Soil Science from the University of Kentucky. Austin’s career has been heavily focused in the grass seed industry and includes experience with procurement, distribution, key account management, and sales. He is an excellent resource for all things seed and is ready to help you grow.