Industry Analysis & Industry Trends
Despite rising residential construction, downstream markets are weaning their reliance on support services, causing the industry to grow sluggishly over the five years to 2017. Moving forward, forest support service providers are expected to generate some revenue from outsourced firefighting and pest control operations; however, this trend will be insufficient to offset reduced demand from primary private markets. In addition, increasing vertical integration by key downstream markets will threaten the industry over the next five years. As a result, slow but steady revenue losses are expected to continue, signaling the long-term decline of this industry... purchase to read more
Industry Report - Industry SWOT Analysis Chapter
The Forest Support Services industry is in decline. IBISWorld estimates that the industry's value added (IVA), which measures its contribution to the overall economy, will increase an annualized 0.2% over the 10 years to 2022. By contrast, the US GDP is forecast to rise an annualized 2.0% over the same period. Consequently, the industry's share of the overall economy is rapidly falling, a key indicator of the declining life cycle stage.
The decisive factor in the industry's decline is the reduced willingness of timber tract and logging operators to outsource operations to auxiliary third parties such as industry operators. As .. purchase to read more