Prcssure trcated wood: aprcduct with a futurc

By C. Frank Robertson National Marketing Manager, Osmose

UIHOUGH not as experienced as hesident Reasan in matters such as these, I will attempt to provide a "state of the business" report on the pressure treated wood industry-an outline of where the business was in recent years and, most important, where we are heading.

For all practical purposes, the pressure treated wood industry "took off in 197'7, when 1.5 billion board feet were sold. Since that time, the industry has experienced an average growth rate of l3%o yearly, up to the present total of more than 4 billion board feet. Much of this rapid growth occurred from 1978 to 1982, when total lumber consumption declined while treated lumber consump tion grew Notably, this rapid growth occurred during relatively stagnant economic times.

Why has the industry experienced this kind of growth? There are several factors. none of which is more important than the fact that both the retail community and consumers want to buy and sell quality producs. Consequently, pressure treatment chemical procedures have de- veloped market acceptance through sizable marketing effors.

At Osmose. we identified the need to create brand awareness :rmong retailers and consumen. determined to show that not all wood is the same. We did this bv

Story at a Glance

Annual recent growth rate 13eA . intensive marfteting, home center acceptance and &i-y explosion increase marl(et shale. . .5 billion b.f. expected by1998 . . EPA regulations no detenent to further increses.

providing a wide range of marketing services to our licensees. including suong cooperative advertising programs with retailers. providing point-of-purchase and collateral materials.

We also implemented what has turned out to be an award-winning public relations program aimed at the do-it-yourselfer-The Osmose Handyman. We added another effective marketing tool by anaching a "warranty end tag" to each piece of treated lumber. where it can easily be seen by consumen. This has begun to bring topof-the-mind awareness to brand identification of wood.

Another imporrant factor contributing to the growth of the industry is the rapid increase in the numben of d-i-yen. According to numerous studies. it is estimated that 9me75% of all homeowners will undertake sorne type of home improvement project in a year. These have increasingly taken the form of outdoor beautification projecs such as decks. fences and gazebos. Importantly. consumers realize that adding such amenities increases the value of their

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