The improving economy has caused consumers to resume spending on industry services.
New York, NY (PRWEB) March 10, 2014
The Private Detective Services industry has performed well in the five years to 2014, as the improving economy has enabled both businesses and consumers to enlist the services of industry operators. Industry operators provide a wide range of services including legal investigation, corporate investigation and personal investigation services. “Due to the large scope of assistance provided by this industry, overall performance was not overly impacted by the recession,” according to IBISWorld Industry Analyst James Crompton. In the five years to 2014, IBISWorld estimates that industry revenue has grown at an annualized rate of 2.4%to total $4.8 billion and includes 3.1% growth in 2014.
Industry operators help gather information for businesses and consumers, and as economic conditions have improved in the past five years, the industry has experienced increasing demand for services. Corporate profit is expected to grow at an annualized rate of 9.2% in the five years to 2014, and this coincides with businesses' ability to pay for investigative services. “Whether it be for litigation or with the purpose of simply gathering information, private detective services help businesses by collecting information that is unavailable through other channels,” says Crompton. Furthermore, in the five years to 2014, per capita disposable income is expected to rise at an annualized rate of 1.2%, benefitting industry operators. This is because improving economic conditions have allowed consumers resume spending on discretionary services, such as private detective services, which may have been unaffordable during the recession.
In the five years to 2019, IBISWorld expects the industry's growth to continue. Over the period, industry revenue is expected to grow at an annualized rate of 3.2% to total an estimated $5.6 billion. Ultimately, rising corporate profit, per capita disposable income and the number of businesses is expected to drive this growth as both consumers and businesses become better equipped to afford industry services. However, declining divorce and crime rates are expected to limit profit growth over the period, since these are crucial drivers for the industry. Moreover, while more businesses are entering the US economy at an annualized rate of 1.7% over the period, providing additional opportunities for detective services, the extent to which industry operators can perform will be limited by regulatory oversight.
For more information, visit IBISWorld’s Private Detective Services in the US industry report page.
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IBISWorld industry Report Key Topics
This industry comprises companies that provide investigation and detective services. This industry does not include operators that mainly provide guard and patrol services, nor does it include armored car services.
Key External Drivers
Industry Life Cycle
Products & Markets
Products & Services
Globalization & Trade
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Barriers to Entry
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.