Industry Analysis & Industry Trends
Falling per capita income during the recession and a rising number of inexpensive cremations have hampered industry revenue. Money-strapped families turned to discount retailers and manufacturers to purchase caskets, further depressing revenue for funeral home operators. Nevertheless, the industry's revenue is projected to improve slightly during the next five years. As the population ages, the number of deaths in the United States is anticipated to increase. However, continued competition from discount retailers and the ease of online ordering from casket manufacturers are expected to curtail prices for funeral merchandise through 2019... purchase to read more
Industry Report - Starting a New Business Chapter
The Funeral Homes industry has medium barriers to entry, primarily given government regulations, licensing requirements and initial capital costs required to start a business. Competition continues to remain high, with entrants to the industry increasing as revenue growth from existing firms has risen. IBISWorld estimates that there are 25,557 companies in 2014. Furthermore, the level of assistance is low, as there is no governmental assistance for the industry, further contributing to the medium barriers to entry.
While funeral homes have lower barriers to entry compared to cemetery operations, potential entrants will find that the vertical integration of the industry can itself be a barrier to entry... purchase to read more