Riskiest Industries in the US in 2019

1. Business Certification & IT Schools in the US

2019 Overall Risk Score: 7.6

The Business Certification and IT Schools industry provides online and in-person vocational and technical training courses. According to National Center for Education Statistics (NCES), the number of certificates conferred in business and IT has gradually declined from 969,278 certificates in 2013/14 to 944,940 in 2016/17 academic year, indicating falling enrollment for these certificates. The industry has struggled in recent years due to rising competition from junior colleges; trade and technical schools; and universities. As traditional administrative work has become increasingly technical, individuals have turned away from industry services and opted for alternative forms of higher education. As a result, industry... Learn More

2. Business Service Centers in the US

2019 Overall Risk Score: 7.4

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

3. Credit Repair Services

2019 Overall Risk Score: 7.4

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

4. Document Preparation Services in the US

2019 Overall Risk Score: 7.3

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. Confronted with decelerating demand from small businesses and other key markets, combined 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, which present significant threats to the... Learn More

5. Lighting & Bulb Manufacturing in the US

2019 Overall Risk Score: 7.3

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 9.8% over the five years to 2019 to reach $1.0 billion, including a decrease of 2.5% in 2019 alone.

Although the total value... Learn More

6. DVD, Game & Video Rental in the US

2019 Overall Risk Score: 7.3

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

7. Quick Printing in the US

2019 Overall Risk Score: 7.3

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

8. Postal Service in the US

2019 Overall Risk Score: 7.2

The US Postal Service (USPS), the sole operator in the Postal Service industry, handles 47.0% of the world's mail and boasts the country's largest retail network. Despite its size, the industry has historically suffered revenue losses. Over the past five years, internet services such as online banking and e-mail have increasingly replaced traditional mail. In addition, since USPS is highly regulated, it is subject to government-mandated expenses, which have dramatically raised costs for the industry. Over the five years to 2019, IBISWorld expects revenue to decline at an annualized rate of 2.1% to $66.6 billion. The decline in revenue would... Learn More

9. Camera Stores in the US

2019 Overall Risk Score: 7.1

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

10. Community Housing & Homeless Shelters in the US

2019 Overall Risk Score: 7.1

According to the 2018 Annual Homeless Assessment Report, in any given night during 2018, there were 549,494 homeless individuals. This number has been decreasing significantly over the five years to 2019 due to a concerted effort from the US Department of Housing and Urban Development (HUD) and its federal partners. The report also states that the homeless population has increased less than 1.0% between 2017 and 2018. The homeless population has grown at this slow pace because of falling unemployment and poverty. According to the 2018 State of Homelessness in America report, the largest drops in the unemployment rate and... Learn More