1.
TOM TRAN
LIVE PLANTS: MARKETING PLAN TO
GROW WITH BONNIE PLANTS FOR 2021
TOM TRAN
MAY 8, 2020 // LOS ANGELES, CA

2.
TOM TRAN
CONTENTS 01 02 03
State of the
Business
Objective and
Vision
Strategic Initiatives
and Tactics

3.
TOM TRAN
Overall Annual Category Growth 2-4% with Live Plants Segment
Representing a Huge Opportunity with Annual Sales of $13.6B
0%
1%
2%
3%
4%
5%
$0
$10
$20
$30
$40
$50
2
0
1
3
2
0
1
4
2
0
1
5
2
0
1
6
2
0
1
7
2
0
1
8
E
2
0
1
9
F
2
0
2
0
F
2
0
2
1
F
2
0
2
2
F
2
0
2
3
F
Change
(%)
Sales
($B)
$ Billion % Change
Source: Mintel. LAWN AND GARDEN PRODUCTS, US - JUNE 2018.*
Packaged Facts Lawn & Garden Consumables in the U.S 2018, Freedonia Landscape Products 2017**
Segment Sales ($B) Scotts
Live Plants $13.6 ✔-
Outdoor Decor $5.6
Packaged Fertilizer $5.1 ✔
Bulk Consumables $4.6
Pesticides $4.3 ✔
Bird & Wild Animal $1.9
Growing Media $1.7 ✔
Grass & Other Seed $1.5 ✔
Other Consumables $.5
Mulch $.8 ✔
$40B
The Lawn and Garden Category is Estimated to be
Valued at $40B by 2023*
Bonnie Plant’s Annual Sales of $260M is Only 2% of the
Live Plants Segment Meaning Room to Grow**
Forecast

4.
TOM TRAN
No Major Competitor Has High Market Share with Live Plants; It is a
Fragmented Segment With Many Medium and Small Regional Players
Company Grass Seed Fertilizer Controls Hydroponics Live Plants Décor Pet Products
Scotts Miracle-Gro High High High High Low None None
Central Garden High Medium Medium None Medium Low High
Spectrum Brands None None High None None None Medium
Kellogg Garden None Low None None None None None
Home Depot, Lowes, Walmart, Ace, and
Costco are major accounts making up 85% of
consumer sales for Scotts
There is synergy between live plants and
many of Scott’s other businesses (e.g.
hydroponics)
The Live Plants category has high potential for
growth by winning market share and the
collaboration with Bonnie Plants will be key
Source: Central Garden & Pet Investor Report 2019.

5.
TOM TRAN
To Increase Market Share by 15% (26 bps) and Become a $300M Brand,
Bonnie Plants Will Focus on Three Key Strategic Initiatives
VISION STRATEGY EXECUTION
Gain market share to become a $300M
brand
(1) Improve in-store merchandising at
top retailers (2) Target wellness focused
segment of consumers (3) Drive brand
awareness through digital and print
Tactics will include…
Source: Dun & Bradstreet Revenue Estimate of $260 Million in 2019 for Bonnie Plants.

6.
TOM TRAN
Improve In-store Merchandising at Top Three Retail Accounts (Home
Depot, Lowes, and Walmart) by Investing Across Three Areas
1%
1%
2%
2%
3%
5%
11%
14%
62%
Dollar stores (Dollar General)
Other
Online only retailer (Amazon)
Local, independent hardware stores
Warehouse clubs (Costco)
Local, nationally branded hardware (Ace)
Local garden centers/nurseries
Mass merchandisers (Walmart)
Home centers(Home Depot, Lowes, etc.)
2%
9%
12%
17%
19%
19%
20%
22%
30%
32%
35%
36%
43%
61%
Other
Printed or digital books
Apps on smartdevices
Pritned or digital periodicals
Non-commercial websites/blogs
Company printed materials
Company/brand websites
Social media
Salespeople/employees
Productpackaging
Online videos
In-store display/kiosks
Online product reviews
Family/friend's advice
From which retailer do you expect to purchase
most of your L&G supplies this spring?
Which of the following do you use to inform/guide your
purchases of lawn and garden products and brands?
Create inspiring in-store collateral
Consumers are influenced by the messages and images
they see in-store
Bring plants closer to checkout
Consumers more likely to shop the perimeter of the store;
work with retailers to get better placement
Enhance experience with tech
A tablet preloaded with apps that can help customers
chose the right plant for them based on a few questions
Source: “Lawn & Garden Over 1,000 Homeowners Talk L&G Shopping” Field Agent Report 2019.

7.
TOM TRAN
Target Growing Segment of Wellness Minded Consumers Who Want to
Feel a Sense of Pride and Accomplishment from Caring for Live Plants
Source: Mintel. LAWN AND GARDEN PRODUCTS, US - JUNE 2018.*
85
59
91
86 85 84
75
All 18-24 25-34 35-44 45-54 55-64 65+
%
% Agree with “Growing fruits/vegetables is
healthier than buying from stores”
29
39
34
28
23 24
30
23
63
All 18-24 25-34 35-44 45-54 55-64 65+ Own
house
Rent apt
%
% Agree with “I don’t have enough space for a garden”
Tailor products for new gardeners
Create failsafe starter kits (edible live plants, pots, soil, plant
food, step-by-step guide) for first time plant parents who
are 25-34 y/o, renters living in urban areas. Great gift for
friends.
Tailor message to promote secondary
benefits of live plants
Talk about how plants can help reduce stress, gives people
a sense of purpose, makes people happier at home, or
fosters a sense of plant parenting accomplishment
Become part of the wellness conversation
Participate in the Global Wellness Summit or other similar
conferences that focus on this wellness consumer trend
1
2
3

8.
TOM TRAN
Build Awareness and Become Top of Mind for Consumers Who Are
Thinking About and Planning to Decorate or Upgrade their Living Space
19
24
32
25
12 11
8
14
23
30
16
6 5 4
All 18-24 25-34 35-44 45-54 55-64 65+
%
YouTube Pinterest
”How do you get information about lawn and
garden products?”
Pinterest Ads
Consumers are using this platform to collect ideas
and inspiration for home décor projects
YouTube In-stream & Discovery Ads
Opportunity to promote “how to” videos or work
with an agency for custom influencer content
Source: Mintel. LAWN AND GARDEN PRODUCTS, US - JUNE 2018.*
Advertising in Décor Magazines
Produce sponsored content or ads that show how
plants can bring a room to life

9.
TOM TRAN
Thank You

10.
TOM TRAN
APPENDIX

11.
TOM TRAN
Scotts Miracle-Gro Net Sales Up +18.5% in 2019 (+9% Volume, +8.5%
Acquisitions, +1.3% Pricing, -.5% Forex); Hawthorne +$327M vs LY
830 847 943
732 706
781
330 309
311
123 114
112
146 133
134
287 344
671
82 82
78
62 66
69
51 62
57
$0
$500
$1,000
$1,500
$2,000
$2,500
$3,000
$3,500
2017 2018 2019
Net
Sales
($M)
Other: Other
Other: Lawn Care
Other: Growing Media
Hawthorne
Other
Roundup
Controls
Lawn Care
Growing Media
Source: Scotts Miracle-Gro Annual report 2019.

12.
TOM TRAN
More Focus on Growing/Maintaining Lawn & Garden Less Focus on
Pest Control; Northeast and Midwest Care Least About Killing Insects
Source: Lawn & Garden: Over 1000 Homeowners Talk L&G Shopping 2019 Field Agent Report. N = 1,182
32%
39%
46%
49%
51%
56%
61%
65%
70%
71%
76%
82%
Lawn/garden structures
Planting/laying grass
Killing insects
Irrigating/watering
Mulching
Fertilizing
Trimming/sculpting bushes
Pruning plants/flowers
Clearing (e.g. raking leaves)
Planting flowers/plants
Weed-trimming/pulling
Mowing Northeast South Midwest West
Mowing 111% 99% 105% 89%
Weed-trimming/pulling 101% 100% 96% 107%
Planting flowers/plants 113% 92% 106% 99%
Clearing (e.g. raking
leaves)
119% 93% 107% 96%
Pruning plants/flowers 100% 98% 97% 105%
Trimming/sculpting
bushes
108% 102% 90% 100%
Fertilizing 105% 93% 104% 102%
Mulching 125% 104% 110% 65%
Irrigating/watering 98% 90% 94% 122%
Killing insects 96% 104% 87% 104%
Planting/laying grass 136% 85% 118% 85%
Lawn/garden structures 109% 91% 116% 97%
Responses to “What will you do to your lawn or
garden in 2019? Focus on Growing/Maintaining
Activities by Region with the Highest/Lowest in Each
Region Highlighted; Index of 100% is National Avg

13.
TOM TRAN
Opportunity to Promote Secondary Benefits of Gardening to
Consumers; Parents Differ in their Attitudes Toward Gardening
33%
48%
54%
66%
71%
75%
75%
85%
90%
94%
95%
I find it difficult to maintain my
lawn/garden
I am interested in lawn care and
gardening classes
Maintaining my lawn/garden is a choe
I worry about the chenicals used in
lawn products (e.g. weed killer)
My lawn/garden needs improvement
Lawn care and gardening helps me
relax
I am interested in improving my lawn
care and gardening skills
Growing fruits/vegetables is healthier
than buying from stores
I view my outdoor space as an
extension of my home
Plants offer health benefits (e.g.
calming, improves air)
An attractive lawn/garden adds value
to the home
Responses to “Do you agree or disagree with the
following statements?”
Percentage that agree with the following statements based
on the number of children in the household
Source: Mintel. LAWN AND GARDEN PRODUCTS, US - JUNE 2018.
76%
93%
88%
56%
80%
92%
89%
55%
82%
94%
92%
52%
73%
88%
82%
54%
Lawn care and
gardening helps
me relax
I view my outdoor
space as an
extension of my
home
Growing
fruits/vegetables is
healthier than
buying from stores
Maintaining my
lawn/garden is a
chore
1 2 3 or more None

14.
TOM TRAN
Responses to “What Do You Dislike About Lawn and Garden Shopping?”
Fall Into 1 of 3 Categories & Offer Insights for New Marketing Programs
Product Attributes Knowledge Gaps Shopping Experience
TOO EXPENSIVE
“Sometimes the things I need are expensive. I realize not
everything is free, but some stuff is so pricey I have to forego
purchasing it.”
DIFFERENTIATING PRODUCTS
“I dislike that there are so many redundant products on the
market and are packaged in a way that make it difficult to
differentiate between them.”
TOO MANY OPTIONS
“I dislike having to sort through a bunch of products trying to
find the one I need or best fits the project I'm working on.”
DIFFICULT TO CARRY
“It’s hard for me to carry a 40 lb bag of soil.”
NOT KNOWING WHAT TO BUY
“It’s hard to know what I really need and what really works
especially on weeds or invasive grasses.”
DISORGANIZED STORES/SECTIONS
“When products are scattered all over. I like to shop one area
and not walk by a better deal four aisles away.”
ENVIRONMENTAL CONCERNS
“Companies that pretend to be 'green' when [their products]
are actually chock full of unnecessary pesticides...”
DECIPHERING PACKAGING
“The packaging is confusing and not clear.”
TIME-CONSUMING
“With 80% of lawn and garden items, I must have time to go
into a store and browse.”
TOXIC/HARSH CHEMICALS
“I don’t like products that use harsh chemicals that may not be
safe for my dog or my significant other with asthma.”
FINDING KNOWLEDGABLE HELP
“Very few associates willing to help and are knowledgeable in
my project.”
THE SMELL
“The worst part about shopping for lawn and garden products
is the smell (chemical and manure-esque).”
Source: Lawn & Garden: Over 1000 Homeowners Talk L&G Shopping 2019 Field Agent Report. N = 1,182

15.
TOM TRAN
The Live Plants Segment is Large But Very Fragmented; There Will
Possibly be Consolidation in the Future with More Acquisitions
Nursery stock
crops
39%
Annual bedding and garden
plants
24%
Potted Flowering
plants
10%
Potted
herbaceous
perennials
9%
Foliage plants
7%
Propogative
floriculture
materials
6%
Short rotation
woody trees
4%
Cut flowers and
cut cultivated
greens
1%
Source: IBIS World Plant and Flower Growing in the US 2019
Other Players
$96.5M Annual Rev
$58.3M Annual Rev