TORONTO–(BUSINESS WIRE)–Jobber, the leading provider of home service management software, today released its Economic Home Services Report: 2021 Mid-Year Review, which features expert insights and aggregated proprietary data from 100,000+ cleaners, landscapers, HVAC technicians, window washers, plumbers, and more who use the Jobber platform.
“The Home Service category has shown resilience throughout the pandemic and continues to see positive growth,” said Sam Pillar, CEO and co-founder of Jobber. “While factors such as rising inflation and supply chain disruptions present challenges for businesses around the world, key metrics point to steady growth for Home Service as we enter the second half of 2021. .”
Positive signs for the long-term growth of home services
Consumer spending on home services has recovered faster than all other categories, such as clothing and footwear, food services and accommodation, and health care, and has surpassed pre-Secondary levels. pandemic since June 2020. Trends indicating long-term sustainable growth for the category include:
- The desire for home improvement projects is strong: Annual growth in home renovation and repair spending reached 6.1% year-over-year in the second quarter of 2021 and is expected to increase 7.6% by the end of 2021.
- Sustainable real estate boom: The sale of new and existing homes reached record levels in the second half of 2020 and the first quarter of 2021.
- New buildings are gaining ground: There is significant growth in new building permits issued, which in the last quarter exceeded pre-pandemic levels.
The best segments are ripe for new entrepreneurs
“We know from conversations with our customers that hiring workers is incredibly difficult, especially now,” says Pillar. “Our data also reinforces that companies are struggling to hire workers in many home service industries to meet customer demand. If you’ve ever considered pursuing a career in home services, now is the time.
While the pandemic threatened to close the doors of many businesses, it also served as a springboard for entrepreneurs who turned to home service to start their own business due to several key factors:
- The size of contractual invoices is growing by double digits: The median size of contract invoices increased by 14% in the second quarter of 2021 compared to pre-pandemic levels in the first quarter of 2020. In addition, contractors are receiving more job applications than they can fill.
- Cleaning and contracting are growing rapidly: The Cleaning and Contracting segments are seeing positive year-over-year growth in scheduled new work and median revenue throughout 2021.
- The green segment shows consistent revenue growth: Planned new work in the Green segment slowed in the second quarter, but is moving in the right direction, while median revenue growth remained remarkably steady and positive throughout the first half.
Emerging challenges for a growing industry
While the initial impact of the ongoing pandemic is not directly hampering the growth of the Home Service category, new challenges have emerged, especially for entrepreneurs:
- A broken supply chain: A surge in home improvement projects as well as an unprecedented global supply chain disruption due to the pandemic has severely affected the construction industry.
- Long waits for construction projects: The average waiting time for the entire construction industry to start a project increased by almost four weeks in the second quarter of 2021 compared to the same period last year.
- Demand for contractors exceeds availability: Contractors receive more job applications than they are able to fill, leading to mixed results for the construction industry.
“A shortage of skilled workers is an industry challenge that will continue to impact the home services category,” said Abheek Dhawan, vice president of business operations at Jobber. “It’s more important than ever for companies to adopt technology like Jobber to better manage jobs, improve communication with customers and make their existing teams more efficient.”
To download the Home Services Economic Report: 2021 Mid-Year Review, please visit: https://getjobber.com/home-service-reports/august-2021/
Jobber is an award-winning business management platform for small home service businesses. Unlike spreadsheets or pen and paper, Jobber keeps track of everything in one place and automates day-to-day operations, so small businesses can deliver 5-star service at scale. Jobber’s more than 100,000 home service professionals have served more than 12 million homes in over 47 countries. The company is consistently ranked among the most innovative and fastest growing companies in Canada by Canadian Business and Macleans, The Globe and Mail, Fast Company and Deloitte. For more information visit: https://getjobber.com/