Based on the expert analysis and our database of 1,300+ US industries, IBISWorld presents a list of the Riskiest Industries in the US in 2020
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View a list of the Top 25 riskiest industries2020 Overall Risk Score: 7.57
The Document Preparation Services industry experienced remarkable growth less than a decade ago; however, the industry's growth rate has since slowed considerably with the introduction of automated systems, decreasing the need for industry services. Confronted with decelerating demand from small businesses and other key markets, with increased pressure to lower prices due to intense competition, the industry has failed to sustain its previous levels of growth and is entering a declining life cycle phase. Moreover, recent developments in automated technology solutions have increased competition from other industries, such as voice recognition technology (VRT) and other artificial intelligence (AI) systems, present... Learn More
2020 Overall Risk Score: 7.46
The Lighting and Bulb Manufacturing industry produces a range of products including electric light bulbs, tubes, parts and components. However, this industry excludes light-emitting diode (LED) and lighting fixture manufacturers. Over the five years to 2019, the industry has struggled with import penetration and increasing input costs. Additionally, the increasing substitution of LEDs for traditional lighting systems has dramatically reduced demand for industry products. As a result, industry revenue is expected to decrease at an annualized rate of 9.9% over the five years to 2019 to reach $1.0 billion, including a decrease of 5.8% in 2019 alone amid shifting consumer preferences.Although the... Learn More
2020 Overall Risk Score: 7.44
The Credit Repair Services industry largely performs countercyclical to the overarching business cycle; therefore, the currently favorable economic environment, characterized by rising disposable income and low unemployment, has proved unfavorable for the industry. Additionally, many debt-ridden consumers have chosen not to seek out industry services and instead file for bankruptcy or take advantage of free online services. Consequently, industry revenue is expected to decline at an annualized rate of 7.1% to $3.0 billion over the five years to 2019, including a 10.1% decrease in 2019 alone.
Factors influencing demand for credit repair services include rising incomes in the United States, increasing... Learn More
2020 Overall Risk Score: 7.43
The Business Service Centers industry provides business outsourcing services such as printing, photocopying, mailbox rentals and parcel and mail delivery. Over the past five years, client businesses and households have increasingly engaged in digital communication, lowering demand for a breadth of document and mailing services. Additionally, competition from other, more-specialized industries is on the rise. The threat of e-commerce and similar industries has created greater price-based competition, translating to marginal revenue growth and weak growth in profit. Nonetheless, over the past five years, the business environment has improved, enabling businesses to outsource more nonessential functions to industry operators. As a... Learn More
2020 Overall Risk Score: 7.29
The Computer and Printer Leasing industry consists of companies that lease or rent office machinery and equipment (e.g. computers, printers, office furniture, copiers, fax machines and multifunction equipment). However, major office equipment manufacturers that provide leasing contracts, financing and major rental stores are excluded from the industry because they are not primarily engaged in renting or leasing office machinery and equipment. The industry services a wide variety of clients, including private businesses, households and the government.
Although the ability to use and return rented equipment within various timeframes encourages industry clients to lease industry products, the industry has declined for much... Learn More
2020 Overall Risk Score: 7.28
The decline of the Database and Directory Publishing industry over the five years to 2019 has been driven by the sustained migration from print to digital advertising, as the industry historically generated the majority of its revenue from the sale of advertisement space in printed publications. Print advertising expenditure, which drives demand for advertising space in directories, is expected to decline at an annualized rate of 6.2% over the five years to 2019. Forced to increase its digital presence, the industry has experienced intense competition from online substitutes, limiting the industry’s digital advertisement sales. In particular, industry operators are enduring... Learn More
2020 Overall Risk Score: 7.28
The DVD, Game and Video Rental industry includes operators that primarily engage in renting DVD, videos and computer and video games. Over the past five years, the growing popularity and dominance of Video on Demand (VOD) and streaming services have hampered demand for traditional DVD renting services, forcing brick-and-mortar operators such as Blockbuster, into bankruptcy. Furthermore, as online streaming services are able to competitively price their products, they have forced industry operators to accept lower rental prices. As a result, industry operators have been struggling with a consistent fall in demand for their services. IBISWorld expects industry revenue to fall... Learn More
2020 Overall Risk Score: 7.23
Over the five years to 2019, the Print Advertising Distribution industry has expanded due to rising advertising expenditure. Robust advertising expenditure is largely attributable to an overall prosperous consumer base as exemplified by rising per capita disposable income and declining unemployment. Coinciding with a strong consumer base, the private sector has ramped up advertising activities requiring the industry's distribution and promotional services. Over the past five years, the distribution of print advertisements has largely given way to the distribution of samples and branded promotional materials. As a result, IBISWorld expects industry revenue to increase at an annualized rate of 2.9%... Learn More
2020 Overall Risk Score: 7.13
Rapid advances in computer technology have enabled consumers and small businesses to complete tasks previously performed by the Quick Printing industry from the convenience of their homes and offices. The availability of this technology, combined with swift declines in the price of computer software and peripheral equipment, has posed a significant challenge to the industry over the past decade and especially over the five years to 2019. Moreover, consumers are increasingly favoring alternative mediums, such as online media and digital communications, over printed materials, leeching away industry demand. Due to these trends, industry revenue has declined, despite a modest increase... Learn More
2020 Overall Risk Score: 7.10
The Camera Stores industry has contracted significantly over the past decade. Heightened competition from online retailers and consumer electronic stores has reduced the number of consumers who purchase items from camera stores, forcing several companies to exit the industry. Furthermore, camera sales have also declined during the period as consumers increasingly take pictures with smartphones. As a result, industry revenue is estimated to decrease at an annualized rate of 5.9% to $2.1 billion over the five years to 2019, including a decline of 4.4% in 2019 alone.
As camera phone technology has improved to match the quality of a typical digital... Learn More
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