Finding family: Ancestry Research Services in the US Industry Market Research Report Now Available from IBISWorld

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During the five years to 2013, this industry saw high growth rates because high unemployment gave people more leisure time, leading them to use ancestry research services more often; however, in the next five years, demand will continue to rise but at a slower rate. For these reasons, industry research firm IBISWorld has added a report on the Ancestry Research Services industry to its growing industry report collection.

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Consumers will spend more on ancestry research as disposable incomes rise

The Ancestry Research Services industry has taken advantage of new online and forensics technologies to expand product offerings and appeal to a wider market. During the five years to 2013, the percentage of industry services conducted online expanded at an annualized rate of 8.9%. "This has increased consumer familiarity with family history research tools, and has allowed consumers to become more comfortable using industry services," IBISWorld industry analyst Agata Kaczanowska says. The industry's core demographic, adults aged 50 and older, has expanded since 2008, which has further stimulated industry demand. During the recession, higher leisure time led people to take on new hobbies like ancestry research, and a popular TV show featuring major company Ancestry.com Inc.'s services also boosted consumer interest in genealogy. Consequently, revenue is expected to expand at an annualized five-year rate of 10.1% to $1.2 billion in 2013. Increasing disposable income will drive estimated revenue growth of 6.4% in 2013, which will enable hobbyists to spend more on industry services.

Consolidation also occurred during the past five years, consisting largely of major companies, like Ancestry.com, acquiring smaller competitors as well as firms that specialize in newer genealogy research technologies. For example, Ancestry.com acquired access to an extensive collection of DNA assets from Sorenson Molecular Genealogy Foundation. Soon thereafter, in May 2012, the company launched AncestryDNA, a DNA test allowing consumers to combine forensic test results with the company's genealogical resources, which includes a global database of DNA samples. "This consolidation has led the industry to have a low level of market share concentration," Kaczanowska says. In 2013, the top three companies, which are Ancestry.com Inc., MyHeritage Ltd. and The Church of Jesus Christ of Latter-day Saints, make up less than one-half of the total market share.

Despite regular acquisitions within the Ancestry Research Services industry, new entrants stimulated significant enterprise growth during the period. In particular, nonemploying businesses entered the industry as demand drove entrepreneurial interest in providing ancestry research services. Consequently, the number of enterprises is estimated to rise during the five years to 2013.

As disposable income rebounds in the five years to 2018, consumers are expected to spend more on industry services. New products and services, like the DNA tests that Ancestry.com has started offering, are expected to further boost consumer spending. Consequently, revenue is forecast to rise in the five years to 2018. This slower growth rate will be a result of the industry's revenue base expanding and the market nearing saturation. For more information, visit IBISWorld’s Ancestry Research Services in the US industry report page.

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IBISWorld industry Report Key Topics

This industry provides genealogy research services. Industry operators typically provide a study of an individual's ancestral roots through access to historical records.
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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Gavin Smith
IBISWorld
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