SERVICE STRATEGIES: Seed It to Believe It

This season marks Bob Baldner’s first attempt to offer hydroseeding as part of his full-service landscape and irrigation company. So far, he’s sold about 3 acres of seeding, which will cover all of his initial equipment costs and even leave him with a little bit of profit. While it’s still too early to tell, Baldner says the current demand for hydroseeding should help the business grow each year. “It’s such a new service for us that I can’t really make any accurate predictions pertaining to revenue,” says the owner of Irrigation Innovations, Livingston, Mont. “The demand seems to be there though, so it should be a good revenue stream for our business.”
 
Like many other contractors, Baldner began offering hydroseeding as an alternative to laying sod. When done well, hydroseeding can produce sod-like quality results with about one-third of the labor and for about one-third of the cost. The biggest drawback to hydroseeding seems to be the lack of “instant gratification” achieved by using sod, says Ray Badger, president of Turbo Technologies, Beaver Falls, Pa. But with a little patience and regular watering, hydroseeding can often produce a better-looking lawn than sodding within six weeks, Badger says.
 
According to Lawn & Landscape research, about 2 percent of contractors purchased hydroseeding machines in 2006 and 4 percent plan to purchase a machine in 2007. The hydroseeding industry grows about 10 percent each year, Badger says, adding that machines and products are more affordable, user-friendly and readily available than ever before.

WHAT IS HYDROSEEDING? Hydroseeding is the process of combining grass seed, dyed mulch, fertilizer, tackifier and water into a hydroseeding machine. The machine’s tank mixes the materials together to create a substance that is evenly sprayed through a hose over bare soil. The dyed mulch, usually green or blue, helps contractors see where they have sprayed to ensure an even application. Regular watering helps soak-in the seed and the mulch-based covering holds in the moisture and speeds up seed germination. The mulch also protects the newly planted seeds from harmful sun rays and hungry birds. As the lawn grows, the mulch gradually decomposes and nourishes the soil.
 
Contractors can choose any kind of grass seed and fertilizer they prefer, and the costs will vary significantly depending on type and quality. Tackifier is the glue that holds the hydroseed mixture together and also makes it slick enough to be sprayed through the machine’s hose. About 5 to 10 percent of mulch comes with it pre-added, Badger says, but most contractors purchase it separately. Tackifier costs about $50 for an acre’s worth, and can be purchased anywhere hydroseeding supplies are sold, he adds.
 
Types and qualities of mulch vary as well, says James Lincoln, owner of TurfMaker Corp., Rowlett, Tex., adding that the lowest quality mulch is made of shredded newspaper and the best mulch is made of 100 percent wood. “The mulch is what makes the difference,” he says. “The more good quality mulch a contractor puts on the ground, the better chance he’ll have of getting a good stand of grass.”

Paper mulches can cost around $8 to $10 per bale, wood mulch can cost $12 to $14 per bale and a blended mulch of paper and wood falls somewhere in the middle costing around $10 to $11 per bale, Badger says.
 
The type of mulch used determines if the process is considered low-cost or premium hydroseeding, Lincoln says. Low-cost hydroseeding is often used for highway grassing jobs, mine reclamation projects and other large-scale jobs where high-quality grass, total coverage and quick results are not required. Premium hydroseeding is mostly used for residential and commercial projects where a great-looking lawn is the top priority, although it is common for homeowners to choose sod for their front lawns and hydroseed for their back lawns, Badger says. “Laying sod gives clients an instant lawn, while you might have to wait three weeks to see the results of hydroseeding,” he explains.
 
Manufacturers agree knowing how to apply low-cost and premium hydroseeding is an important part of offering the service. “The most common mistake among contractors is to not know the difference between the two,” Lincoln says. (For more information, see “Tank Loads” on page 90.)

HYDROSEEDING HISTORY. Hydroseeding, sometimes known as hydromulching, first emerged in the 1950s and was a very literal process simply consisting of water and grass seed. The machines were costly – falling into the $100,000 range – and the process was not offered regularly until the 1970s. By this time, mulch was added to the mix and machines became more affordable and user-friendly. By the 1980s hydroseeding emerged into the landscape market and has since evolved to what it is today.
 
Other improvements to the process include greater accessibility to more varieties of durable grass seed and better quality mulch. “When we first offered the service 17 years ago, hydroseeding materials were hard to find,” Badger says. “Now they’re available anywhere turf supplies are sold.”
 
Jet agitation and mechanical agitation are the two main types of hydroseeding machines, and both produce different results. Jet agitation machines are the less expensive of the two, costing around $4,000 each, Badger says. The machines use a recirculation method to tank-mix paper mulch, seed and fertilizer to create a thin, or “soupy,” substance, Lincoln says. Using better quality wood mulch can lead to clogging jet agitation machines, he adds.
 
The “soupy” applications produced by jet agitation machines work best in areas with dry, powdery soil that will easily absorb the seed and cool weather free of heavy rains that won’t wash the seeds away. These conditions can be found in Northern areas like the Pacific Northwest and the Northeast, Lincoln says.
 
Mechanical agitation machines are more durable and thus more expensive than jet agitation machines, costing around $8,000 each. These machines are capable of blending wood mulch, creating substances dramatically thicker than jet agitation machines can, Lincoln says. Mechanical agitation machines can be used anywhere, he adds, because the operator can vary the thickness of the mulch. Thicker hydroseed applications are necessary in areas with extreme heat that can dry out the seed, heavy rains that can wash the seed away and wet or hard soils that won’t absorb the seed easily, Lincoln says.

LESS LABOR.  Contractors and manufacturers agree that hydroseeding is the most efficient way to install a lawn from a labor standpoint. Most jobs can be done by one contractor with one machine in one step. “We added hydroseeding because one person will be able to do what several had to do to install sod,” Baldner says. “It was essentially a labor availability issue.” 
 
Depending on the size of the job and the machine being used, Badger says it can take one man one to three hours to hydroseed a 10,000- to 12,000-square-foot lawn, and one to 1½ days to hydroseed a 1- or 2-acre lawn. Baldner says he alone handles jobs 6,000 square feet or less, but brings another crewmember along to jobs any larger to help with tasks like mixing and handling the hoses.
 
Badger says that laying sod is six times more labor intensive than hydroseeding. From lifting heavy pallet loads to ensuring precise applications, a six-man crew can be needed to perform a 1- or 2-acre sod job in two to three days. With dry seeding, the applications of grass seed, fertilizer, straw and water are all done in separate steps. “If you do it by hand it can take forever,” Badger says. “Straw blowers are more effective, but sell for the same price as a hydroseeder.”
 
One thing to keep in mind when it comes to hydroseeding is having a reliable way to transport the machine, Badger says. Depending on the machine’s size, a trailer or a pickup truck with a ramp will most likely be required. Another challenge is the prepwork of evening out the soil to make for a level seedbed. This can be done by hand with a rake or rototiller or on a machine like a skid-steer with a box scraper attachment.
 
SELLING HYDROSEEDING. “The key to selling hydroseeding is to sell it against sod,” Badger says. “Guys who use sod as a comparison can get more money than those spreading some seed and throwing straw over it.”
 
While manufacturers say seeding can be done from April to November in the North and year-round in the South, Baldner says the best time to sell it is anytime. “We are always selling any or all of our services,” he says. “But in Montana, we have a relatively short growing and installation season, so seeding takes place from May to October.” Baldner and his crew will also perform dormant seeding before and after the active seeding season which gets the seed in the ground so it’s ready for next season.
 
Badger notes that different types of grass seed need to be planted in different climates. Bermudagrass needs warm temperatures to grow properly, while ryegrass and fescue can grow during colder times of year. Ultimately, the type of grass planted is up to the contractor. “I like the ability to custom mix the seed,” Baldner says. “We can offer mixes you can’t get with sod.”
 
One of the troubles with sod is that trying to transplant grass to unfamiliar soil can be difficult, and sometimes it won’t take, Badger says. Because of this, some contractors and manufacturers view hydroseeding as a more natural way to install a lawn. “It is not uncommon to find crummy sod available out there,” Lincoln says. “With hydroseeding, contractors can choose premium grass seed so they know what they’re getting.”
 
Most contractors price their hydroseeding services by the square foot and Baldner factors in things like cost of materials, labor and overhead. An average job for Baldner is a 6,000-square-foot lawn for which he charges $800 to $900. “I use this pricing format because it’s readily understandable for the potential customer,” he says. Badger says pricing can vary depending on location, but 8 to 10 cents a square foot is a nationwide average. “A company with little or no competition and a good salesman can possibly charge 20 or 25 cents per square foot, but I’ve also seen companies charge as little as 6 cents per square foot,” he says.
 
Manufacturers agree that to run a successful hydroseeding business a contractor has to know his stuff. From the different types of mulch to the process itself, there are many mistakes an inexperienced contractor can make along the way. “I started doing research on the actual process, and I’m learning about grass types and trying to increase my level of expertise as quickly as possible,” Baldner says. “I haven’t been doing this long enough to know what mistakes I will make, but I’ve been in business long enough to know how to learn from the ones I do make.”