Growth in the number of households and businesses will aid revenue gains for US firms, as
will a diversification by companies to offer a wider range of services at competitive prices.
US revenues to rise 4.8%
annually through 2016
Revenues for contract commercial and
residential cleaning services are forecast
to advance 4.8 percent annually to $68.3
billion in 2016. Growth will be driven by
customers returning to more frequent
cleaning schedules as the economy
continues to improve, especially those
who reduced their use of cleaning
services in order to minimize expenses
in response to the effects of the 2007-
2009 recession. Gains will also be
supported by faster growth in the
number of households and a rebound in
the number of business establishments.
Furthermore, the recession motivated
many cleaning companies to diversify
and offer a wider range of services at
more competitive prices, and the rising
affordability and use of cleaning services
will support revenue gains.
Outsourcing cleaning
functions to cut costs
in nonresidential markets
Nonresidential markets account for the
vast majority of cleaning service revenues,
making up almost 80 percent of
the total in 2011. In addition, many
companies that previously employed inhouse
cleaning staff reduced operating
expenses by outsourcing cleaning
services as the economy worsened.
Demand for cleaning services in the
nonresidential market is more inelastic
than in the residential market due to the
sizable existing base of nonresidential
floor space and the need to keep this
space clean. Due to the poor economic
climate, nonresidential cleaning service
revenue growth decelerated over the
2006-2011 period. Going forward,
revenues will benefit from the continued
trend of outsourcing cleaning functions
to cut costs.
In the residential market, the increasing
use of cleaning services by an aging
population and the growing number of
dual-income households will support
revenue gains. Members of dual-income
households often do not have the time or
the inclination to perform cleaning tasks,
and older citizens are sometimes
incapable of performing cleaning tasks to
the extent that they once did. These
trends, coupled with accelerating growth
in personal disposable income levels,
will benefit residential cleaning services.
Interior building cleaning
to remain largest service
Interior building cleaning services are the
largest contributor to cleaning service
revenues, accounting for nearly 75% of
the total in 2011. Growth in revenues will
derive from expansions in the number of
business establishments and the number
of households, both of which will create
more opportunities for interior cleaning
services. Outsourcing as a means of
reducing operating costs will continue to
aid the use of contract interior cleaning
services in nonresidential markets.
Study Scope
This study analyzes the $54.1 billion US contract cleaning service industry. It presents historical demand data for the years 2001, 2006 and 2011, and forecasts for 2016 and 2021 by service (e.g., interior cleaning, floor and fabric cleaning, exterior cleaning and maintenance, swimming pool cleaning and maintenance, restoration and remediation), market (e.g., nonresidential, residential, transportation) and US region.
The study also considers market environment factors, details industry structure, evaluates company market share and profiles 42 industry players, including JAN-PRO, CleanNet USA and ServiceMaster.
