Needs repair: Consumers will opt to replace, rather than repair, as per capita income increases

Over the five years to 2017, the Appliance Repair industry has experienced minimal growth, largely due to high external competition. The negative pressures caused by the burst of the US housing bubble and the ongoing economic slump hurt performance; meanwhile, the economic recovery has been of little help, as consumers with thicker pocketbooks purchased new appliances instead of repairing the old ones. Revenue has increased slightly over the past five years, representing a bittersweet reprieve from the steep decline before the period. Over the next five years, industry revenue is anticipated to decline. With growing disposable incomes, consumers will be more likely to purchase new appliances than repair old ones...read more.

Industry Statistics & Market Size
Revenue
$4bn
Annual Growth 12-17
0.4%
Forecast Growth 17-22
Profit
Employment
71,889
Businesses
58,193
Market Share of Companies
What Our Customers Say

Industry Threats & Opportunities

  • The falling homeownership rate has reduced the industry’s potential market
  • The industry’s overall contribution to the economy is diminishing
  • The rate of technological change is expected to increase over the next five years
  • Industry Report - Industry Investment Chapter

    The Appliance Repair industry is characterized by a low level of capital intensity. According to expenses figures, the industry allocates an estimated $0.06 toward capital for every $1.00 spent on labor. Capital investments largely include those associated with transportation vehicles and, to a lesser extent, with repair equipment and parts. Appliance repair services are often performed at customer locations, requiring vehicles to transport technicians. However, given the industry's high dependence on manual labor, capital intensity remains at a relatively low level.The average industry operator also needs qualified technicians, maintenance professionals and apprentices for the repair and maintenance of the products. The...purchase to read more.

    Additional Insights for the Appliance Repair Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Appliance Repair Industry are

  • Ability to allocate product/service to area of greatest need
  • Having a good reputation
  • Access to highly skilled workforce
  • IBISWorld analysts also discuss how external factors such as External competition for the Home & Garden Appliance Repair Services industry and Price of household appliances in the Appliance Repair industry impact industry performance..

    shopping_cartPURCHASE OPTIONS

    What is the Appliance Repair Industry?

    Industry operators repair and maintain home and garden equipment and household-type appliances, such as lawn mowers, edgers, snow- and leaf-blowers, washing machines, clothes dryers and refrigerators. Operators in this industry do not retail new equipment or appliances. This industry excludes automotive repairs or electronic and computer repair services. Industry services are provided to both businesses and households.

    Industry Products
  • Home and garden equipment repair services
  • Appliance repair services
  • Sale of spare parts
  • Electronic and precision repair services
  • Other personal household goods repair services
  • Industry Activities
  • Repairing and maintaining lawnmowers
  • Repairing and maintaining edgers
  • Repairing and maintaining snow and leaf blowers
  • Repairing and maintaining washing machines
  • Repairing and maintaining clothes dryers
  • Repairing and maintaining refrigerators
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • External competition for the Home & Garden Appliance Repair Services industry
  • Price of household appliances
  • Homeownership rate
  • Per capita disposable income

  • Current Performance
  • An industry in decline
  • Small-scale servicers
  • Chart: Revenue Growth

  • Industry Outlook
  • Continued decline
  • Profit and participation
  • Table: Appliance Repair Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Appliance Repair Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Professional, Scientific and Technical Services
  • Human Resources & Benefits Administration
  • Educational Services
  • Arts, Entertainment and Recreation
  • Consumers

  • Key Selling Industries
  • Heating & Air Conditioning Equipment Manufacturing
  • Lighting & Bulb Manufacturing
  • Miscellaneous Product Manufacturing
  • Vacuum, Fan & Small Household Appliance Manufacturing

  • Products & Services
  • Appliance repair services
  • Home and garden equipment repair services
  • Other personal household goods repair services
  • Sale of spare parts
  • Electronic and precision repair services
  • Chart: Appliance Repair Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Households with one to two people
  • Households with three to four people
  • Businesses
  • Households with five or more people
  • Government
  • Chart: Major Market Segmentation for the Appliance Repair Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
  • Profit
  • Purchases and wages
  • Other costs
  • Chart: Cost Structure Benchmarking – Sector vs Appliance Repair

  • Basis of Competition
  • Internal competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Appliance Repair Industry

  • Industry Globalization
    Sears Holdings CorporationBest Buy Co. Inc.
  • Table: Sears Holdings Corporation - financial performance
  • Table: Best Buy Co. Inc. - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Appliance Repair Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Appliance Repair Industry
    Includes:
  • Industry Revenue (2008-2022)
  • Industry Gross Product (2008-2022)
  • Establishments (2008-2022)
  • Businesses (2008-2022)
  • Employment (2008-2022)
  • Wages (2008-2022)
  • Per capita disposable income (2008-2022)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Table: Industry Financial Ratios
    Ammeter
  • A device that measures the flow of electrical current in amperes.
  • Do-It-Yourself (Diy)
  • A category of customers that includes homeowners who purchase products and complete their own projects.
  • Soldering Gun
  • A tool used to solder metals together using tin-based solder to achieve a highly conductive contact.
  • Voltmeter
  • An instrument used for measuring electric potential in volts.
  • Wattmeter
  • An instrument that measures the flow of power in an electrical circuit.
  • Why buy this report?

    The Appliance Repair industry market report contains data and analysis of the most influential current and future trends shaping the industry. IBISWorld’s in-depth industry market research is presented in a logical, user-friendly format, and provides growth and profit forecasts for a five-year outlook period.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Appliance Repair:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Appliance Repair market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Appliance Repair, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

    Contact Us

    Want to speak to a representative? Call us.

    clear