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Industry Update

December 2022

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As many of our customers would have been aware, the past 6 months have been challenging for us from the point of supply versus demand. We have found ourselves short of stock and unable to fulfill the demand from you, our customers. In this news we are going to touch on why and what the next 12 months look to bring.

Domus Nusrery aerial view of the Nursery 2020 Domus Nursery Growing Space Extension 2020.

Our Autumn and Winter season for 2022 saw an incredible rise in demand from our customers, both new and existing for large numbers of plants. This meant that late winter saw the nursery at its lowest stock levels in years. Whilst our potting team have been beating previous potting records the demand from customers has meant that every time a batch of plants has made it onto our stocklist, it has sold before we've had a chance to fulfill every order.

On top of incredible demand there was COVID illness and staff absences due to mandatory isolation that saw about 35% of our workforce absent for a prolonged period during Autumn. There wasn't much we could do about the situation at the time but since the first wave passed through staff absences have dropped off and productivity increased.

Domus Nusrery view of the Nursery stock 2020 Nursery stock 2020 during extension of growing area.

To compound the above spring hasn't helped us catchup, the weather has been cool to mild and whilst this has been great for gardening and establishing plants across Perth it has meant slower growth rates and increased time on the ground for our young plants

However, with a few of the warmer days we've had recently and with more warmth ahead plants are starting to show improved signs of growth and it won't be long before supply of plants and numbers available to our customers increase.

Domus Nusrery view of the new growing area 2021 New growing area filled with plants 2021.

To help us meet modern demand levels we are expanding the footprint of our growing space which will increase our capacity to grow and hold a larger volume of plants moving forwards. This should ensure that our customers have a broader range to purchase from and more plants available to them on a regular basis.

We don't see demand slowing anytime in the immediate future, the next 12 months are looking very promising from an industry perspective. Houses are still being built, landscapers are booked out 12 months ahead and local governments are more eager than ever before to establish a robust green canopy throughout urban areas to help mitigate a warmer climate and urban heat island effect.

Domus Nusrery view of the new growing area 2021 Domus Nursery depleted stocks spring 2022.

With all of the above in mind our planning for 2023-2024 is in full swing and we are looking at ways we can be more resilient to market demand in the future whilst still providing our customers with a quality plant that we stand behind.

We wish everyone the best for the festive season and look forward to providing you with quality stock in 2023.

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