However, many distribution centers are finding out that color can be a lucrative business. Those that put effort into annual and perennial sales typically see big returns.

Skinner Nurseries operates 17 distribution centers in the Southeast from Texas to Maryland. Kevin Van Dyke, chief operating officer, said more emphasis on seasonal color paid off in a big way in 2004.

"Seasonal plants make up roughly 4 percent of Skinner Nurseries' total sales," Van Dyke said. "Our sales of seasonal color has exploded over the past few years. From 2003 to 2004 our color sales increased over 70 percent."

Sylvan Nursery operates a distribution center in the southeast corner of Massachusetts. Color accounts for about 7 or 8 percent of the company's sales, primarily from perennials.

"However, this should rise pretty dramatically in the next few years," said Peter Quinlan, Sylvan perennials manager. "We're going to be concentrating more on annuals, which hasn't been much of our focus in the past."

Gearing up

Sylvan's core business is providing trees and shrubs to landscapers, but it sells a significant number of perennials. So Quinlan is hoping the move to annuals won't be too much of a stretch. The biggest challenge in 2005 may be determining how much and what to inventory.

"We're going to focus on selling high-quality material and having fresh product delivered weekly," Quinlan said. "We'll watch availability closely and try to judge what we need in the first year."

But determining what to stock can be difficult. How many flats of pink petunias will you need vs. purple petunias? Do you need to bone up on your annual variety knowledge? Will you need to know how 'Bingo Rose with Blotch Improved' pansy performs in your area?

Like with perennials, Quinlan will rely on greenhouse growers to help determine what annual varieties to carry.

"With perennials we carry, and even grow, the bread-and-butter types, but there's no way you can keep up with everything new," Quinlan said. "We rely on our perennial suppliers to keep us up to date with what's new and what's popular."

Talk to me

Another key is communicating with contractors and trying to forecast sales based on past history, Van Dyke said.

"Also, listening to the growers themselves," Van Dyke said. "They may have knowledge of broader market trends toward certain varieties that contractors are purchasing."

Dealing with annual suppliers is much like dealing with woody plant suppliers, but keep in mind that greenhouse/floral growers seem to be even more hurried during the spring rush than nurseries, Quinlan said. It helps if you inform them of your needs as soon as possible.

Open communication will help ensure you have seasonal stock available when customers need it.

"Having the ability to provide a supplier with accurate information is key to making the relationship work for both the grower and distributor," Van Dyke said. "Many of the large commercial growers deal with the big-box stores as well, so capacity is tight and often the big boxes take the majority of their resources."

Customers differ

Distribution centers need to understand that customers buying the bulk of your color inventory will likely be very different than the customers buying your woody stock.

"The typical annual customer is a maintenance customer who is contracted to seasonal changeouts," Van Dyke said. "Their core business typically does not revolve around landscape installation and the purchasing of green goods."

Annual stock can move fast, so stock it in an accessible area.

Rather than design/build, they're more mow/blow contractors that are charged with changing out color beds for clients such as corporations, office parks or communities.

"In some cases the maintenance contractor may be less knowledgeable of plant material due to the lack of experience. This is a great opportunity for the supplier to offer selection services and to assist in the selection of a suitable variety for the specific landscape situation," Van Dyke said.

What about shrinkage?

Annuals and perennials are obviously more perishable than woody stock. Even with optimum care, handling and irrigation, annuals will soon become overgrown and gangly in their small containers.

And, unlike some woodies and perennials that can be pruned back and salvaged, most overgrown annuals have to be trashed. So should you expect to dump more color and expect more shrinkage with this stock?

Yes, but this can be managed at an acceptable rate, Van Dyke said.

"We do expect to lose some flats of seasonal color due to the short shelflife. However, this is not a requirement," Van Dyke said. "Proper planning on the side of the nursery and contractor can eliminate excessive culls on seasonal material. In a strong supplier/contractor relationship the communication is open and allows the supplier to know what types of product to bring in at what time and in the right quantity to meet the demand."

Assigning a dependable employee to manage color will also help, he said.

"Designating someone champion of the product line is effective to reduce the amount of culls due to over-ordering or poor mix decisions," Van Dyke said. "We have one person at each branch that is the champion for seasonal color and they make all the decisions for mix, quantity and timing of orders.

"With increased communication that is created, we are able to provide our growers with accurate inflation on the material we need. The consolidation of information and product benefits both the installer and the grower. The distributor just facilitates the transaction and makes sure it all flows smoothly," Van Dyke said.

For more: Skinner Nurseries, 2970 Hartley Road, Suite 302, Jacksonville, FL 32257; (904) 880-4344; fax (904) 880-1778; www.skinnernurseries.com. Sylvan Nursery, 1028 Horseneck Road, Westport, MA 02790; (508) 636-4573; fax (508) 636-3397; www.sylvannurseries.com.

. . © 2004 Branch-Smith Publishing