In the Netherlands 16 former Europatuin garden centres have joined the new Life & Garden franchise organisation
New brand in the Netherlands.
This left those responsible at Life & Garden little time to get the new garden centre concept up and running, refurbish the stores, replace signage and produce brochures. Business carried on as usual in all the garden centres during the transitional period. Peter Paul Kleinbussink, managing director of Life & Garden, sets out two of the key points regarding the conversion: “We have considerably reduced and refined the selection of products available in the garden centres. And we want to convey to customers the idea of lifestyle and a guaranteed “feelgood” factor in our garden centres.” The product offer has been divided into four core areas: garden, patio, living and lifestyle. Although lifestyle is currently the focus of further development, the emphasis in the overall range is on live plants, which account for 40 per cent of the total at present, a share that is to be expanded to at least 50 per cent. There are plans to develop the hardware range to included decorative and wellness products. The intention is to offer customers individuality, not just palletized goods and promotional products that only sell because of the price.
The typical pet department of a Life & Garden outlet covers at least 200 m².
The lifestyle range also includes the pet departments, which currently account for eight per cent of the group's overall sales. At the moment only six of the 16 garden centres (Delft, Etten-Leur, Goes, Helmond, Leidschendam and Kerkrade) actually have a pet department, but further stores are to get one in due course. The existing ones feature food and accessories for all types of pets, small animals, aquariums complete with a range of fish, and garden ponds as well. The retail concept envisages a minimum area of 200 m² for pet departments. The company has calculated that the Dutch spend around € 20 a month on their pets.
Lifestyle, decoration and ambience are core themes of the new garden centre concept.
Life & Garden was established by Waterdrinker, a company that claims to be the largest plant wholesaler in the Netherlands. Having started out as a cash and carry plant store, the company today has more than 250 employees and supplies garden centres throughout Europe, albeit chiefly in the Netherlands, Germany, the UK and Scandinavia.
Naturally, Life & Garden purchases plants from the parent company. Hardware is ordered via the garden centre head office and supplied directly to the stores. Nearly 70 per cent of the range is dictated by the head office. Promotional articles can be ordered in four different volume categories.
It is being assumed at Life & Garden that the 16 existing garden centres should achieve annual sales of € 30 mio. However, Peter Paul Kleinbussink considers that the company will only have financial security with 20 affiliated garden centres and annual sales of approximately € 35 mio.
Nearly 40 per cent of the Life & Garden range consists of live plants.
The group’s most recent garden centre opened in Kerkrade on 16 March. It is the biggest so far, with a retail area of 10 000 m² laid out over two levels. Customers are taken through the store along predetermined routes, similar to Ikea. The entrance is on the upper floor, where the customer first enters the cold hall, then goes down a floor to the garden equipment and lifestyle department, which incorporates the pet section. From here the route leads upstairs again to the indoor plants, the checkout area and exit.
The new opening in Kerkrade marked the conclusion of the first phase in establishing the new organisation. It is to be followed by more garden centres in the second half of 2005. “A typical Life & Garden outlet must have an annual turnover of at least € 2 mio,” explains Peter Paul Kleinbussink, “and should at any rate be able to expand.”