Q1 2026 INDUSTRY REPORT
The State of Ecommerce: Patio, Lawn & Garden
Q1 2026 Patio, Lawn & Garden: Margin is up, traffic is down
- See how shifting ASPs, stronger fill rates and leaner discounts are reshaping the category heading into Q2.
- Patio, Lawn & Garden glance views fell 32% in Q1. Conversion doubled, but can fewer shoppers carry the category into peak spring season?
Get the Q1 2026 ecommerce data shaping spring selling. Download the report.
Key takeaways
Margin expanded even as prices fell:
ASP declined ~26% YoY & discounts compressed to ~13% in March, yet gross margin expanded 6 to 9 percentage points, creating room to reinvest in traffic acquisition & inventory depth.
Conversion is doing the heavy lifting:
Glance views dropped ~32% YoY while conversion rates roughly doubled versus Q1 2025, but sustained traffic declines pose a structural ceiling on unit growth.
Inventory is positioned for peak season:
On-hand inventory entered Q1 up 12% YoY, lowering stockout risk ahead of the spring selling window.
Fill rates stepped up materially:
PO fill rate climbed to ~88% in March, a ~14 percentage point YoY gain, signaling tighter, more demand-aligned replenishment cycles.
Ad spend is buying incremental demand, not inflation:
Ad spend rose ~16% YoY while CPC fell to $1.04, indicating the category is capturing incremental demand efficiently rather than bidding up existing traffic.
Stockout losses dropped sharply but volatility remains:
March OOS revenue loss fell ~55% YoY, though replenishable OOS rates ranged from 1.1% to 2.5% versus last year's tighter 0.5 point range around 1.7%.
Get your Q1 2026 State of Ecommerce Report
Patio, Lawn & Garden: Margin is up, traffic is down. Get the Q1 2026 ecommerce data shaping spring selling. Download the report.
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