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Temporary IT Staffing Procurement Category Market Research Report from IBISWorld Has Been Updated
  • USA - English


News provided by

IBISWorld Inc.

Jul 07, 2014, 21:00 ET

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A declining unemployment rate, coupled with a rise in online content and private investment in computers, will drive demand for temporary IT staffing.

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Los Angeles, CA (PRWEB) July 07, 2014 -- Temporary IT staffing has a buyer power score of 4.0 out of 5, signifying a high degree of negotiating power for buyers. The high score reflects very slight recent and forecast price growth from 2011 to 2017. In addition, a large number of agencies provide temporary IT staffing, leading to greater competition and a wide availability of services, which benefits buyers. “Vendors have a low-risk supply chain and are generally financially stable, ensuring their ability to provide services to buyers,” says IBISWorld business research analyst Michelle Hovanetz. “However, a moderate degree of service specialization within the market diminishes buyer power.”

IBISWorld considers current prices to be low, having increased only marginally since 2011. Increased competition from substitutes has tempered price growth, despite growing demand for temporary IT staffing. Going forward, prices are expected to rise as the unemployment rate declines and more businesses increase their technology and online presence. Furthermore, expanding corporate profit will contribute to new business development and private investment in computers and software. “Both of these factors will ultimately boost demand for temporary IT staffing, causing prices to rise at a slightly higher rate than in the past three years,” says Hovanetz.

Vendors in the temporary IT staffing market have a low degree of supply chain risk, benefiting buyers and vendors alike. Suppliers rely on very few inputs to provide staffing services, ensuring that services will be available to buyers as long as there is a pool of labor. Similarly, buyers benefit from the financial stability of suppliers, which helps to ensure supplier longevity in long-term contracts.

Market share concentration in the temporary IT staffing market is moderate. The majority of buyers benefit from the wide availability of service providers. However, although many suppliers provide general staffing services, buyers in need of highly trained and specialized technicians for specific projects may be limited to more niche providers. A higher concentration of suppliers for specialized services negatively impacts buyers by limiting competition, allowing niche providers to charge a premium. Major vendors include Adecco SA, Allegis Group Services, CDI Corporation and Insight Global. For more information, visit IBISWorld’s Temporary IT Staffing procurement category market research report page.

Follow IBISWorld on Twitter: https://twitter.com/#!/IBISWorld.
Like IBISWorld on Facebook: http://www.facebook.com/pages/IBISWorld/121347533189.

IBISWorld Procurement Report Key Topics

This report is intended to assist buyers of temporary IT staffing from temporary employment agencies. The services are provided for a limited period of time or on a contract basis. While workers remain the employees of the temporary staffing firm, the client’s management team directly supervises the workers. This report excludes recruitment services, in which employees are placed into permanent job positions and do not remain employees of the temp agency.

Executive Summary
Pricing Environment
Price Fundamentals
Benchmark Price
Pricing Model
Price Drivers
Recent Price Trend
Price Forecast
Product Characteristics
Product Life Cycle
Total Cost of Ownership
Product Specialization
Substitute Goods
Regulation
Quality Control
Supply Chain & Vendors
Supply Chain Dynamics
Supply Chain Risk
Imports
Competitive Environment
Market Share Concentration
Market Profitability
Switching Costs
Purchasing Process
Buying Basics
Buying Lead Time
Selection Process
Key RFP Elements
Negotiation Questions
Buyer Power Factors
Key Statistics

About IBISWorld Inc.
IBISWorld is one of the world's leading publishers of business intelligence, specializing in Industry research and Procurement research. Since 1971, IBISWorld has provided thoroughly researched, accurate and current business information. With an extensive online portfolio, valued for its depth and scope, IBISWorld’s procurement research reports equip clients with the insight necessary to make better purchasing decisions, faster. Headquartered in Los Angeles, IBISWorld Procurement 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.

Gavin Smith, IBISWorld Inc., +1 (310) 866-5042, [email protected]

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