TruGreen Customer Counts Declining
Company Confirms Intent to Sell Landscape Division
As reported here in February, the parent of the TruGreen ChemLawn company intends to sell is land care division due to declining sales, according to a report published Wednesday in Landscape Management magazine.
The same report also acknowledged that the customer count declined by 1.7 percent for the lawn care division, which primarily focuses on spraying of chemical fertilizer and pesticide products. Gross sales totaled $1.1 billion, with a net operating profit of $184.5 million.
Steve Martin, Senior Vice President and Chief Financial Officer, attributed the loss of customers to “high temperatures that affected lawns and the ongoing transformation efforts at TruGreen,” according to LM magazine, which is a trade journal for the landscape industry.
We believe the loss of customers is likely due to other factors, including the ongoing transition to organic lawn care, for which interest continues to grow at more than 20 percent a year according to the National Gardening Association. TruGreen ChemLawn does offer a “natural” option among its programs, but company sales people openly admit “the natural program costs more and doesn’t work as well — but we have it if you want it.”
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