PUBLISHER: Arizton Advisory & Intelligence | PRODUCT CODE: 1181666
PUBLISHER: Arizton Advisory & Intelligence | PRODUCT CODE: 1181666
The global lawn and garden tractor market is expected to grow at a CAGR of 4.97% during 2022-2027.
MARKET OUTLOOK
MARKET TRENDS AND OPPORTUNITIES
Incorporate Lawn And Garden Tractor With Technology
Growth In Commercial Construction
SEGMENTATION ANALYSIS
INSIGHTS BY PRODUCT TYPE
The global lawn and garden tractor market by product type is segmented into lawn tractors and garden tractors. In 2021, the lawn tractor market held a revenue share of 76.68% globally. It is expected to grow enormously during the forecast period due to its mowing and tilling performance in distinct soil conditions. The ability of lawn tractors to handle slopes is the main reason for their growth. These tractors have a large customer base in sports turf, golf, large parks, and hobby farm industries.
Vendors continue introducing new models, improving existing features, and adding various attachments to tractors. For instance, Steiner launched the Steiner 450 tractor in 2022. The tractor is equipped with a strong engine, hydraulic system, articulating, wide stance, an oscillation frame, new hydraulic weight transfer, traction boost system, mowing capabilities, and more than 25 attachments; the tractor can perform a whole range of activities from sweeping to snow blowing.
Segmentation By Product Type
INSIGHTS BY FUEL TYPE
The gas-powered land and garden tractor dominated the global lawn and garden tractor market in terms of both revenue and unit shipments in 2021. The high power and better efficiency drive the demand for these lawn and garden tractors in the market. However, the rising fuel cost in various countries such as Poland and others is expected to hamper the demand for these lawn and garden tractors in the market during the forecast period. With its robust design, a gas-powered lawn and garden tractor remains in demand and thus proves to be an excellent choice for tougher and more demanding work. Gas-powered lawn and garden tractors do not have to be charged and are not limited in range by a cord. In 2021, the gas-powered lawn and garden tractor market accounted for a revenue and unit shipment share of 72.67%and 79.46%, respectively.
Segmentation By Fuel Type
INSIGHTS BY END-USER
In 2021, the professional landscaping services segment accounted for a revenue share of 37.32% in the global lawn and garden tractor market. It was expected to witness an incremental growth of USD 339.06 million during the forecast period. The US has over 600,000 landscaping service providers throughout the country. Most of these landscaping service providers are smaller players with limited geographical presence and a focus on specific offerings. Professional landscaping services have started to gain a reputation in developing economies, including China, India, Brazil, and others, due to the low disposable revenue of the public. Moreover, the growing investment among professional landscapers will likely propel the demand for this end-user segment.
Segmentation By End-User
INSIGHTS BY DRIVE TYPE
The global lawn and garden tractor market by drive type is segmented into 2-wheeled and 4-wheeled tractors. In 2021, 2WD lawn and garden tractors dominated the market, accounting for a revenue and unit shipment share of 77.23% and 80.43%, respectively. The 2WD tractor can have better maneuverability and is ideally suited for flat terrain with many obstacles, including shrubs, flower beds, and other lawn ornaments. Factors such as low cost, better maneuverability, and ease of reversing the equipment drive the demand for these lawn and garden tractors in the market. Some examples of 2WD lawn and garden tractors include KOPPL - Model Series 500, Ginko - Model R 702 Series, Twist - Model 5, and others.
Segmentation By Drive Type
INSIGHTS BY HORSEPOWER
In 2021, 18-24 HP lawn and garden tractors dominated the global lawn and garden tractor market, accounting for a revenue and unit shipment share of 39.63% and 40.05%, respectively. Developing countries like the US and Japan's economic prosperity contributes to the enormous potential growth. Home gardening, farming activities, and other green areas propel market growth among other countries in the global market.
Segmentation By Horsepower
INSIGHTS BY START TYPE
In 2021, the push-type lawn and garden tractor accounted for a revenue share of 71.45% in the global lawn and garden tractor market. It was expected to witness an incremental growth of USD 691.12 million during the forecast period.
Nowadays, most lawn and garden tractor vendors like honda and Hayter are shifting to electric push button type technology rather than recoil starter rope or key start. The electric push button starts the engine effortlessly instead of pulling a recoil starter cord to turn over the engine. So the push-button technology drove the lawn tractor segment in the forecast period.
Segmentation By Start Type
INSIGHTS BY DISTRIBUTION CHANNEL
The offline distribution channel is expected to dominate the global lawn and garden tractor market and account for a revenue share of 62.19%. This segment is expected to witness an incremental growth of USD 470.42 million during the forecast period. Factors such as the broader reach in areas that lack better connectivity and high consumer trust associated with personally experiencing the quality of products are driving the growth of this segment. Although the online channel holds a relatively lower share in the lawn and garden tractor market, it is expected to grow at a higher CAGR of 5.94% (by value) during the forecast period.
The proliferation of e-commerce and raising awareness of the benefits of online purchases, such as heavy discounts, occasional offers, and rising demand for convenience, is driving the growth of the online segment.
Segmentation By Distribution Channel
GEOGRAPHICAL ANALYSIS
North America's lawn and garden tractor market was valued at USD 1 billion in 2021 and accounted for the largest global revenue share of 39.16% in 2021. A large residential sector and numerous golf courses across the region support the demand for the equipment. North America has the largest number of golf courses worldwide. The US and Canada together account for more than 18,700 golf courses. The US opened more than 25 new golf courses nationwide in 2019-2020. Most golf courses across the country are public facilities and allow free playing, encouraging greater participation among people. Hence, the presence of many golf courses across the region is expected to support the lawn and garden tractor market growth during the forecast period.
Europe is expected to be one of the fastest-growing geographical segments at a CAGR of 5.61% (by revenue) in the global lawn and garden tractor market during the forecast period. Factors such as rising urbanization, increasing regional investments, and the rapidly growing construction of residential & commercial spaces with a green cover drive the demand for lawn and garden tractors. Europe, considered one of the largest and leading markets in the gardening equipment segment, is mainly expected to be driven by residential end-users that are profoundly increasing their usage.
Companies are expected to use robust ground management equipment, increasing the need for landscaping services in the area. A growing number of commercial spaces, along with the number of public parks and lawn areas, are also boosting the demand for garden tractors in the region.
Segmentation by Geography
COMPETITIVE LANDSCAPE
The global lawn and garden tractor market is moderately fragmented, with many local and international players. As consumers expect constant advancements and upgrades in garden equipment, the increasingly changing economic environment may have a negative impact on vendors. The current situation pushes vendors to adjust and improve their value proposition to attain a good business presence. While the market is characterized by the presence of diversified international vendors and a few regional vendors, as foreign players will expand their market footprint, it would be increasingly difficult for regional vendors to compete with them, particularly in terms of technology and customer base. AriensCo, Deere & Company, Honda Motor Company, Husqvarna Group, and Kubota Corporation are the key vendors in the global lawn and garden tractor market. A rise in product/service expansions, technical advancements, and M&As are expected to exacerbate industry competitiveness further.
Vendors are using innovative market models to accelerate growth and concentrate on expanding their organization's portfolio. During the forecast period, many foreign players are expected to expand their presence worldwide, particularly in the APAC and Latin American regions' fast-developing countries, to gain more lawn and garden tractor market share. In addition, improving global economic conditions will boost demand expansion, making it an enticing time to introduce new products.
Key Vendors
Other Prominent Vendors
KEY QUESTIONS ANSWERED
LIST OF TABLES