Revenues grow across industry in 2022; labor shortages down but remain a challenge
MARKHAM, ON, Jan. 23, 2023 /PRNewswire/ — Landscape Management Network (LMN), North America’s leading business management solutions provider to the landscape industry, today revealed the results of its second annual State of the Landscaping Industry survey. The proprietary survey and report is part of an ongoing educational series, designed to help landscapers benchmark against the competition, grow profits and run successful businesses.
Business Grows, Labor Challenges Continue
LMN has released its 2023 Landscape Industry Report.
The 2023 LMN State of the Industry Report shared insights from landscapers across North America.
LMN’s survey shows that ninety-six percent of landscapers grew their revenue in 2022, with nearly a quarter of respondents reporting they grew revenue by twenty to fifty percent. While it’s a positive sign for the industry, respondents report that challenges like finding qualified labor, rising costs and a lack of training programs are slowing down growth.
The most pressing issue facing business owners remains a shortage of skilled labor, with more than half (51%) unable to hire enough staff to fill vacant roles in 2022. However, this response is drastically lower than responses to LMN’s 2022 State of the Industry Report, when ninety-two (92%) percent of respondents expressed concern about workforce shortages. To make seasonal roles more appealing and boost retention, respondents report utilizing bonus systems and prioritizing career development.
“As an industry, we must continue to invest in our people and find ways to make the work we do each day more meaningful,” said Mark Bradley, CEO at LMN. “From training to incentive pay and more, we have to focus on what makes our business successful — our people— to keep customers happy and continue year over year growth.”
Untrained Landscapers Pose Risk to Revenue
In the race for talent with high turnover, landscapers focus on hiring and often skip training, leading to rework, accidents, and insurance liabilities that dig into their profits. While landscapers say training is a top priority, fifty-eight percent of survey respondents allow new hires to work without any formal training. Of the respondents who maintain a training program, only eight percent spend more than a full day training new employees.
Industry Focused Software Helps Landscapers Retain Employees, Drive Growth
To retain employees and increase efficiency, landscapers are turning to industry focused software. Eighty-five percent of respondents report using landscape business management software to create annual budgets, empowering them to know how much they can spend on staff pay increases, bonuses and training while still maintaining a healthy profit.
Built for landscapers exclusively by landscapers, LMN’s business management software helps landscape professionals create budgets, estimate accurately, track actuals against goals and have full visibility on the financial health of their business to increase profit. LMN’s software offers built-in industry insights, benchmarks and tools so landscapers can constantly compare themselves against the industry and make more informed decisions.
LMN is committed to educating and empowering landscapers to build better, more profitable businesses. Download the full report and stay tuned for upcoming research and educational content.
About LMN (Landscape Management Software)
Founded in 2009, LMN helped customers create over $51 billion worth of estimates, capture 78 million individual clock-ins, and has managed more than 245,000 employees daily through the software. For more information visit https://golmn.com/.