When Portland Nursery President Jon Denney reflects on the company’s 38 years under his hand, luck gets much of the credit for the independent garden center’s two successful Portland, Ore., locations. But dig a bit deeper and “luck” sounds more like respect for the nursery’s heritage, innovative marketing, and staff whose passions for plants and people are ingrained.

Honoring a rich horticultural heritage

When Denney bought Portland Wholesale Nursery in 1980, the business had an inspiring 73-year history. Through the early 1900s, it brokered plants for the Northwest’s burgeoning nursery industry, leading a cooperative that shipped plants east via railroad cars cooled with ice.

When Denney took over, a move made possible by “luck” and a strong bond with the owner, the company was well-known for horticultural excellence. Denney added retail sales in 1982 and went strictly retail in 1987. A modern-day tagline — “A passion for plants. A nursery for plant people” — fits historic and modern roots equally well.

Creating new traditions for Portland

While history frames Portland Nursery’s identity, its new traditions are winning over modern Portlanders. While other IGCs wind down come fall, Denney and staff wind up for their annual Apple Tasting Festival.

The quaint-sounding event started 31 years ago when an employee-only sampling of apple varieties sparked a public event. Coupons offering extreme discounts on apple purchases lured most attendees in the early years, but a tradition began.

Last year’s festival, held over two three-day October weekends, drew more than 50,000 attendees who sampled 50-plus apple varieties, with a few pears thrown in. On top of free cider, wine tastings, music and kids’ activities, more than 150,000 pounds of apples for tasting and purchase were on hand.

Denney credits the festival’s success to two things: its all-ages, family appeal, and its October timing. “Our conscious decision was to fill a time slot in our year that wasn’t Christmas and wasn’t spring, that we could make ours,” he says.

Celebrating a successful corporate culture

Denney laughs when he says his secret to success is staying in business when others didn’t, but he quickly shifts the spotlight to his staff. “I often joke that my management style is surrounding myself with enablers, but we’ve been extremely fortunate to have so many good people,” he says.

He feels the corporate culture — which he credits to managers and how they train and treat people, more than anything he has done — sets the nursery apart from competition, especially when it comes to competitors that have closed.

He’s especially proud that the IGC’s 84 full-time, year-round employees average more than 10 years of service.

New hires spend two weeks in training, learning the Portland Nursery way. “They know a lot about us before they’re ever involved with the customer,” Denney says. “Our guidance is doing what’s right for customers, even if it means not making a sale.”

Between the two locations, seasonal hires bring total staff to 124. About 20 extras — mostly family, friends and past employees — help out at apple fest time.

We’re fortunate that we have a business that’s recession-resistant. It’s not recession-proof, but it’s recession-resistant. In spring of ‘09, right after the worst of the crunch, our sales were up 9 percent.” — JON DENNEY, PRESIDENT, PORTLAND NURSERY

Navigating zoning and Portland’s growth

Operating in one of the nation’s fastest-growing cities has perks. Denney says the “phenomenal” location of the initial Stark Street store has been crucial to success. But zoning issues there have become the IGC’s greatest challenge.

Zoning changes in the 1980s labeled the site as non-conforming use. Denney has been fighting for changes ever since. In January 2018, after more than 100 meetings, the city finally conceded — not to everything Denney wanted, but enough to grant conforming status again.

Even so, the future’s cloudy. “What’s next is very unpredictable,” Denney says. “It adds another level of uncertainty that shouldn’t be there.” As a result, the IGC’s focus is shifting to the Division Street location, also in Southeast Portland.

“We feel the future of our business will be largely dependent on that property. Because of the superb access it has [and] the superior zoning, we want to make that a showplace that we can expand into,” Denney says.

Newly acquired property in Vancouver, Wash. — just over the Columbia River in what Denney calls “North Portland” — is tagged for a third location. “The metropolitan area is growing. Traffic is getting worse and worse, and people are getting more and more frustrated,” he says. “It will be important that we have a presence there.”

Leveraging community advertising, outreach and education

Advertising heads Denney’s list of what Portland Nursery does best. “The old adage is, ‘Only 50 percent of your advertising works; it’s trying to figure out which 50 percent.’ I think we’ve been successful trying to identify the 50 percent that works and do more of it,” he says.

In the early 1980s, the company began advertising on Oregon Public Broadcasting (OPB). “It’s still a value for us,” Denney says. Since then, OPB has consistently accounted for about 50 percent of the IGC’s advertising budget.

Denney originally targeted children’s television programming for two reasons: “One, there’s usually an adult around. Two, people starting a family tend to be good nursery buyers,” he says. New generations of shoppers grew up listening to Portland Nursery ads on OPB.

Portland Nursery builds on community connections with expansive outreach and sponsorships, along with free educational events. A class committee of three to four employees at each location take turns developing seminars. With one to two per typical weekend, the popular classes book well in advance.

The IGC also joins with several area organizations for an annual Senior Gardening Day with age-friendly, hands-on activities and demonstrations for the community’s “elder gardeners.”

Addressing complacency and the real competition

A mission statement developed three decades ago still voices Denney’s goal: “To set the standard for horticultural excellence, complete selection and, above all, customer satisfaction.”

He urges his staff and other IGCs not to rest on laurels. “We need to take a hard look at complacency and start reinstating some of the things we’ve done over the years,” he says.

One of his season-end favorites, for when staff is “still tired and bruised from a long spring,” is asking every employee three questions:

• What are the three best things we did this year?
• What are the three worst things we did this year?
• What three things do we need to change for next year?

Looking forward, Denney is optimistic. “We’re fortunate that we have a business that’s recession-resistant. It’s not recession-proof, but it’s recession-resistant. In spring of ‘09, right after the worst of the crunch, our sales were up 9 percent,” he says.

A new tagline — “Helping you make your backyard your favorite destination” — was at work.

“People stayed home. They planted things for food or they put in a garden for the first time, because they were scared,” Denney says. “It reinforced what I think is our real competition — the competition for people’s money and time. It’s not necessarily the garden center next door.”

From its humble origins as a small roadside stand, Homestead Gardens has grown to become one of the largest garden centers between Baltimore and Washington, D.C. With more than 174,000 square feet of retail space at its main location in Davidsonville, Md., and another 35,000-square-foot store in Severna Park, Homestead Gardens boasts a wide selection of annuals, perennials, trees and shrubs, garden accessories, furniture and more.

During its 45-year history, Homestead Gardens has cultivated a knowledgeable staff with strong expertise. Now, the IGC is more committed than ever to sharing its knowledge with the rest of the community. Under the second-generation leadership of president and CEO Brian Riddle, whose father founded the company in 1973, Homestead Gardens keeps building on its reputation as a resource and destination.

“There is a world of opportunity for IGCs to become the authority,” Riddle says. “Providing knowledge and resources is a crucial part of developing new consumers. There’s a tremendous void in horticultural competency, so the interaction of being around other gardeners is really important.”

Academy of learning

As part of its ongoing commitment to educate and engage customers, Homestead Gardens launched HG Garden Academy earlier this year. Workshops and classes cover topics ranging from pollinators and edibles to patios and grilling. The educational series brings in well-known garden writers, guest speakers, and industry celebrities like Martha Stewart’s gardener — supplemented by Homestead’s own in-house experts.

Regardless of the topic, Riddle says success boils down to timing and planning.

“During slower months, the participation and attendance was very strong,” Riddle says. “I think preseason and off-peak times are preferable for customers, because it’s more difficult to tap into their time during peak season, when all the gardening is actually occurring.”

One of the keys to the academy’s financial success has been coordinating each session with the purchasing team. Riddle says his category managers are responsible for making products available that tie into each session’s topic, creating the potential for increased sales at events.

“You have to organize your buying team with the educational component to make sure there’s sales opportunity,” Riddle says. “We still feel strongly that it’s important to charge a fee for these programs, in the $10 to $20 range. I think it increases perceived value and drives commitment for customers to invest their time.”

By bringing customers in during slower parts of the season, these classes and activities have helped Homestead combat the third consecutive year of unusually challenging weather. After one of the coldest Aprils that Riddle remembers, followed by excessive rain and flooding in May, he says this past spring was “one of the hardest we’ve seen.” That’s why he’s looking to bolster summer and fall activities next year.

“It’s very difficult to offset the major segment of our business that comes in April and May, but there’s opportunity to pick up incremental dollars in the slower months,” Riddle says. “We’re actively looking at ways to enhance our events and diversify our income streams by exploring how we can leverage our space to create other attractions that complement the business and build on our destination model.”

There is a world of opportunity for IGCs to become the authority. Providing knowledge and resources is a crucial part of developing new consumers. There’s a tremendous void in horticultural competency, so the interaction of being around other gardeners is really important.” — BRIAN RIDDLE, CEO, HOMESTEAD GARDENS

Animal attractions

While he can’t yet share all the details about Homestead’s plans to enhance events next year, one area where he sees growth potential is the Homestead Barnyard, which is home to several alpacas, donkeys, goats, pigs and chickens, as well as 50 beehives. The animal attraction offers a unique party rental experience that’s been popular for birthdays, but Riddle sees opportunities to expand it into other uses, too.

“The value of having that animal attraction is priceless, especially if you’re neighboring urban markets. It’s a huge opportunity for the public to get exposure to agriculture,” Riddle says. “We have a full-time farm manager whose challenge is to develop some events to create a more interactive experience with the animals, so they’re not just neat to look at, but they’re more hands-on.”

The barnyard will play a critical role as Homestead “doubles down on agricultural education initiatives,” Riddle says. The garden center has been an active supporter and sponsor of organizations like 4-H, FFA, and other youth ag programs. Now, it’s looking for opportunities to host ag groups and events on its grounds — offering both the expertise and the experience that sets Homestead apart.

Looking beyond traditional garden categories into the animal arena has helped Homestead stay relevant year-round through events and product sales.

“America’s attraction to animals, and pets in particular, continues to be a strong trend,” Riddle says. “We’re seeing sustained growth in pet food and supplies, even through some challenging weather patterns. The number of customers who bring their pets into the store is fascinating, and I don’t see that turning around anytime soon. There’s nothing but opportunity for us to build relationships with our customers and their four-legged friends.”

Local harvest

Homestead’s support of local agriculture is also impacting its product selection. As the demand for locally sourced food became more obvious, Homestead started exploring new ways to market herbs and veggies to customers.

Homestead’s marketing team came up with the brand name, Chesapeake Harvest — only to discover that the name was already trademarked as an initiative of a neighboring county’s economic development corporation. The organization was established to help Eastern Shore farmers brand, market, and sell their goods, providing a local alternative to larger, more competitive distribution channels.

Riddle saw an opportunity to partner with Chesapeake Harvest, resulting in a new starter plant program that launched this past spring. Through this licensing agreement, Homestead introduced a line of Chesapeake Harvest-branded basil, parsley, tomatoes, peppers and other edible varieties grown by nearby Tidal Creek Growers.

“People like to buy local when it’s convenient, but they don’t have time to go to six different places,” Riddle says. “So at some point, you’ve got to have a market system to move things around. That’s what Chesapeake Harvest does; it’s essentially a mini distribution network that will bring an assortment of local products to farm stands and places like Homestead Gardens.”

Homestead is currently the only retailer that offers the Chesapeake Harvest brand, but Riddle says the plan is to expand into other IGCs throughout the Chesapeake Watershed region.

A portion of proceeds from each sale will help Chesapeake Harvest fulfill its mission of sourcing local foods to promote Maryland’s agricultural economy. Plus, eco-conscious customers love the products because they come in environmentally friendly, plant-able pots made of biodegradable fiber.

The Chesapeake Harvest brand “gave our herbs and vegetables some substance, whereas the old branding was just a package with nothing behind it,” Riddle says. “The perceived value went up significantly, so we were able to raise the price while lowering the input cost.”

These programs and partnerships bolster Homestead Garden’s business while embedding it into the local community as a market leader.

“Our community engagement has been a cornerstone of our entire company history,” Riddle says. “It’s one of the strongest attributes that propels our reputation as the leading IGC in our marketplace.”

Like many independent garden centers, English Gardens has offered events and activities geared toward children for several years on a seasonal basis. This year, the five-store company, with locations in and around Detroit, Mich., decided to put a name behind them, create more consistent scheduling, and “take it to the next level,” says Jennifer Youngquest, vice president of marketing.

The company launched Super Sprouts in January and organizes a workshop on the second Saturday of every month at each store, and the program has been so successful that planning is already underway for 2019.

“Most of [the Super Sprouts activities] are intended to be low cost or no cost because we want as many people as possible to participate,” Youngquest says. “The whole goal is to get the next generation of gardeners interested in gardening, and then coming to our store as their garden supplier and the expert.”

For free, kids created a bird feeder treat, planted seeds and painted lady bug rocks. The most expensive activity was the fairy gardening workshop, which cost $24.99.

The English Gardens event committee, which is comprised of two people from the marketing department, an operations manager and a general manager, try to tie the workshops in with what’s happening in the stores, Youngquest says.

For example, the ladybug rock painting activity coincided with their ladybug bag giveaway, when each customer received a free bag of the beneficial insects with a purchase. A pot painting and planting workshop was held the Saturday before Mother’s Day.

Super Sprouts programming is promoted in English Gardens’ regular e-newsletters, and they created a magnet with the events for 2018 so that their activities would be top of mind for parents. The workshops are at the same time on the sales floor of each of the five stores, with a max attendance of 40 kids at each of the three larger stores (in addition to a parent helper) and 20 kids at each of the two smaller stores. Registration is required.

“We wanted [Super Sprouts planning and execution] to be as turnkey as possible for the stores,” Youngquest says. “The marketing department actually creates kits for each of the kids so that all the materials, or as many as possible, come in a paper bag. We include the instructions in there, and we send those to the stores. So, all of the bags for the event are all self-contained and each store has an event coordinator.”

Help for DIY landscapers

Branding has been important in other aspects of the 64-year-old company, as well. English Gardens has always provided landscaping planning help for customers who wanted to plant themselves but just needed help with design. But giving that service a name — Garden Coach — and resources, including two full-time employees who run the program, has made it one of the most successful aspects of the company for 2018.

“We put a name behind it, concentrated resources behind it, and they have been booked since March,” Youngquest says. “It has been very successful for us with very little promotion. It’s just basically word of mouth.”

 

Our goal is not to be a mass merchant for the U.S. or the world. We just want to allow our customers to shop how they want to shop.” – JENNIFER YOUNGQUEST, VICE PRESIDENT OF MARKETING, ENGLISH GARDENS

Though English Gardens also has a robust landscape division, the Garden Coach does not fall under that segment because people who need assistance normally come to the stores first looking for plants, Youngquest says. The cost depends on the request, she adds. For example, the service is free with the purchase of a $250 gift card for customers who provide photos and dimensions and have the garden coaches create a plan in-store. Garden Coaches can make home visits, too.

“We have services that will accommodate everybody,” she says.

Like many garden centers in the Midwest and throughout the country, April was a very bad month due to a delayed spring, Youngquest says. A focus on excellent customer care, plant quality and services like Garden Coach and their popular, longstanding Garden Pharmacy for people who need “plant-scriptions” for pest and disease issues, helped the garden center rebound quickly.

Staying in touch with customers consistently has also been a focus, Youngquest says. The marketing department sends four to seven emails weekly and creates a calendar of topics monthly, which has helped the team be more strategic and stay organized.

“I know it’s a lot, but we figure that we’re going to be there when somebody wants information about English Gardens,” she says. “We work really hard on our subject lines so that people understand what’s in the email, as well. We pique their interest with a catchy email headline so that they’ll open it. Our whole goal of emails is to get people to our website and ultimately in the store.”

People who visit English Gardens’ website will notice a product search bar and cart, because since 2011, the garden center has sold Christmas décor such as artificial trees, wreaths and lights online.

“We do have an initiative to enhance our e-commerce offering. We are taking a crawl/walk/run approach and going very slowly with it to see what we can do,” Youngquest says.

So far, they’ve noticed that most customers like to browse the holiday offerings online, but ultimately visit the store to see the products in person and make a purchase there.

“Our goal is not to be a mass merchant for the U.S. or the world. We just want to allow our customers to shop how they want to shop,” Youngquest says.

After more than a decade, English Gardens closed its Ann Arbor location because the shopping center where it was housed would not renew its lease, according to the company. But plans to open a sixth location in the vibrant city where the University of Michigan is based are in the works.

“We do not have an announcement now, but we hope to have something soon,” Youngquest says. “We have people that really miss us out there, and they want us to open a new store.”

When Stauffers of Kissel Hill promoted Steve Norman to the role of Home & Garden Chief Operating Officer, it marked the first time that someone outside the Stauffer family has held the position. Norman replaced third-generation owner Jere Stauffer, who retired in January 2017 after 49 years of service at the company, which is based in Lititz, Pa., and includes seven home and garden stores.

“The transition has been smooth overall,” says Norman, who has been with the company since 1991, and has been a director and stockholder since 2015. “We had a plan already in place, so many areas [of the transition] had already been mapped out. Our leadership team played an integral part in our overall focus and success this past year, and our strong store management teams played a tremendous part, too.”

We caught up with Norman to learn more about what’s changed — and what remains the same — as the company charges ahead.

Refined vision

To keep more than 900 employees (including 288 Home & Garden team members) focused and aligned, Norman knows it’s vital to communicate goals and expectations clearly. That required refreshing and updating the company’s core messaging.

“Our board of directors recognized that our values, vision and mission (VVM) statements, as they expanded over the years, became cluttered and sometimes redundant,” Norman says. “We have not changed our values, but they’re now stated more succinctly. It was our desire that the VVM statements build organizational clarity that enables our team members to reach our goals by recognizing the importance of everyone working as a team.”

Stauffers’ refined values of teamwork, respect, integrity, commitment and service are summarized in a memorable acronym, “T.R.I.C.S. of our Trade.” The vision was refined to be: “passionately focused on meeting the needs of others,” with a streamlined mission to: “delight shoppers, energize our team, and enrich our community.”

In addition to seeing these statements posted on the wall, employees hear Norman and other company leaders talk about them regularly — at the annual companywide meeting, spring kickoff meetings at each store, and store visits and seasonal inspections throughout the year. Norman’s goals through all these interactions include: “trying to listen more, asking lots of questions, tapping into the fresh ideas and different perspectives of our talented team members, and getting good feedback on how we can make our business stronger.”

We are very fortunate to have a leadership team that challenges the status quo. [You have to be] creative and flexible with your model to see more opportunities for your business.” – STEVE NORMAN, HOME & GARDEN CHIEF OPERATING OFFICER, STAUFFERS OF KISSEL HILL

Growth decisions

With a solid plan in place and an unwavering focus on meeting growth targets, Stauffers saw record-setting year-end sales last year — resulting in the strongest year ever for the Home & Garden line of the business. Specifically, the greenhouse and home accents departments both experienced record sales growth. Boutique items like clothing, jewelry, and bath and body products also saw tremendous growth, and garden art products were strong as well.

Of course, growth often requires some difficult decisions, too. This past July, the company closed its popular Oregon Pike location in Lancaster County because, Norman says, “we were not able to expand on that site.” But with plenty of growth potential elsewhere, Stauffers offered all the Oregon Pike team members positions at its seven other locations in Pennsylvania.

The company also decided to halt online sales in January 2017, because the costs exceeded the revenue it generated. “However,” Norman says, “we continue to have an active, up-to-date website, shop.skh.com, which allows customers to [browse] our products for current price and availability at each location. At the same time, we refocused our energy on other aspects of our retail operations for growth opportunities.”

One of the biggest challenges that comes with growth has been hiring and attracting new team members to keep up with seasonal demands. “We’ve had to be more creative with our process to attract and hire this past spring season,” Norman says. That included multiple job fairs at its stores and corporate office, referral and sign-on programs, and even developing a recruitment video that showcases team members sharing what they love about working at Stauffers. (Watch the video here: www.skh.com/careers/)

Bringing the right people on board is important, he says, because teamwork and exceptional customer service have been key to Stauffers’ growth. As the company evolves, Norman and his leadership team keep exploring new ways to achieve their mission.

“We continue to position our Home & Garden line of business to be more relevant with the changing markets, and to become less seasonal in nature,” Norman says. “We are very fortunate to have a leadership team that challenges the status quo. [You have to be] creative and flexible with your model to see more opportunities for your business.”