Increasing federal regulations will lead to an uptick in demand for industry services.
New York, NY (PRWEB) April 09, 2014
The Pest Control industry has experienced robust growth over the past five years, led by the increasing presence of bed bugs. According to IBISWorld Industry Analyst Stephen Morea, “The rising ubiquity of these nighttime critters has fuelled demand for pest extermination professionals, underpinning robust revenue growth.” From 2009 through 2014, revenue for the Pest Control industry is expected to increase at an average annual rate of 4.1% to reach $393.1 million. In the years since the recession, increased housing demand has led to revenue growth for residential pest control services. Moreover, the rapid proliferation of bed bugs helped yield strong pest control demand, particularly from hotels and residential clients. A continuation of these factors is expected to result in a 4.0% increase in industry revenue in 2014.
Pest control services in Canada are traditionally geared toward the commercial market, which accounts for an estimated 80.0% of industry revenue, according to information from Pest Control Technology. “Tepid growth in Canadian per capita disposable income has led to increased consumer spending and sales for restaurants, food and drinking establishments,” says Morea. As these key downstream markets continued to expand, demand for pest control services in Canada rise accordingly. In addition, federal and provincial regulations for food service establishments provide a steady stream of demand for pest extermination services. During the past five years, pest control operators are increasingly targeting residential customers and diversifying their service lines to take advantage of untapped markets. This trend is expected to accelerate over the next five years, partly because greater regulations aimed at some over-the-counter pesticide products are expected to take effect, limiting competition from substitute products.
Over the five years to 2019, the Pest Control industry is expected to continue its upward trajectory. In the five years to 2019, industry revenue is forecast to rise. Bed bugs are expected to become increasingly prevalent in both homes and commercial establishments, resulting in strong demand for pest extermination professionals, particularly in urban areas. This will foster strong product development over the next five years, particularly in the areas of heat-based solutions, given their increasing insecticide resistance.
For more information, visit IBISWorld’s Pest Control in Canada industry report page.
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IBISWorld industry Report Key Topics
The Pest Control industry provides bird control and extermination services for bed bugs, mosquitoes, rodents, termites and other insects and pests for residential and commercial clients. Operators also provide fumigation services. This industry does not include companies that provide pest control for agriculture or forestry purposes.
Key External Drivers
Industry Life Cycle
Products & Markets
Products & Services
Globalization & Trade
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Barriers to Entry
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