Psychic Services in the US Industry Market Research Report Now Available from IBISWorld

Unlike most industries, psychic services providers benefited from the economic downturn. Consumers concerned about their financial futures turned to psychics for guidance during the recession, which helped boost revenue for the industry. The number of operators in the industry also increased during the recession, leading to increased competition. In the coming years, this heightened price-based competition, coupled with increased legislation at the local level, will cause industry growth to slow. For these reasons, industry research firm IBISWorld has added a report on the Psychic Services industry to its growing industry report collection.

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IBISWorld Market Research

IBISWorld Market Research

Money and career concerns pushed consumers to psychic services during the recession

Los Angeles, CA (PRWEB) May 24, 2012

A rarity among industries, the Psychic Services industry benefited from the economic downturn. Over the five years to 2012, the Psychic Services industry grew at an average annual rate of 2.0% to an estimated $2.1 billion. With greater pressing financial and career concerns, a rising share of consumers turned to psychic services for guidance during the recession. Consequently, industry revenue grew 3.0% and 3.5% during 2008 and 2009, respectively. In the years since, although growth has slowed, industry revenue growth has remained positive and is expected post gains in 2012. Slow increases in per capita disposable income have fostered greater spending on the industry's discretionary services, says IBISWorld industry analyst Caitlin Moldvay. According to the latest information from Pew Research Center, an estimated 15.0% of Americans have visited a psychic or fortune-teller for advice. This share has held almost constant over the past two decades, translating into a relatively stable client base for the industry. The Psychic Services industry includes an array of operators that offer expertise in palmistry, cartomancy, mediumship, astrology, aura readings and other metaphysical services. There are currently an estimated 79,991 businesses that offer expertise in these mystical practices throughout the United States.

The Psychic Services industry has a low market share concentration. The majority of the 79,991 operators are small nonemployer firms. Market share concentration has fallen over the past five years because the number of enterprises has increased, continues Moldvay. The industry faces a high level of competition. The industry's concentration is expected to remain low. Over the next five years, the trend toward greater citywide licensing regulation is expected to continue, which will drive slow industry consolidation.

Over the five years to 2017, industry revenue is expected to grow at a muted rate. Improving economic conditions are expected to yield opposing effects on industry performance. While rising disposable income will boost average customer spending on psychic services, fewer consumers are expected to turn to psychics and fortune-tellers for financial matters over the next five years due to declining unemployment and rising consumer sentiment. Moreover, heightened competition and increased citywide regulations will likely be introduced during the next five years, which will result in a slight industry consolidation and slow industry growth. For more information, visit IBISWorld’s Psychic Services in the US industry report page.

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IBISWorld industry Report Key Topics

This industry includes establishments that offer psychic and fortune-telling services. Industry operators typically provide services in the areas of astrology, aura reading, mediumship, tarot card reading and palmistry, among other metaphysical services.

Industry Performance
Executive Summary
Key External Drivers
Current Performance
Industry Outlook
Industry Life Cycle
Products & Markets
Supply Chain
Products & Services
Major Markets
Globalization & Trade
Business Locations
Competitive Landscape
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Barriers to Entry
Major Companies
Operating Conditions
Capital Intensity
Key Statistics
Industry Data
Annual Change
Key Ratios

About IBISWorld Inc.
Recognized as the nation’s most trusted independent source of industry and market research, IBISWorld offers a comprehensive database of unique information and analysis on every US industry. With an extensive online portfolio, valued for its depth and scope, the company equips clients with the insight necessary to make better business decisions. Headquartered in Los Angeles, IBISWorld serves a range of business, professional service and government organizations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com or call 1-800-330-3772.


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