Home service management software Jobber, Edmonton, Alberta, released findings from its latest report focused on COVID-19’s economic impact on the home service category. Utilizing Jobber’s proprietary data gathered from 90,000-plus home service professionals across more than 50 industries, the Home Service Economic Report: COVID-19 Edition analyzes how the category overall, as well as key segments within home service including cleaning, contracting and green, have performed from the start of the year through May 10, 2020.
The report can be found on Jobber’s newly launched Home Service Economic Trends resource site, which provides data and insight into the health of the home service category. The site is updated each month with new data, and quarterly with new downloadable economic reports.
“This year has been extremely bumpy for home service businesses,” says Sam Pillar, CEO and co-founder of Jobber. “Though the category was not as deeply impacted as others, like clothing stores and restaurants, it still experienced a 30% drop in revenue overall, which is the difference between signing a paycheck, paying off a loan or buying a new piece of equipment.”
Though the report reveals that home service has experienced a revenue loss in March and April, early indicators in May, such as new work scheduled, show positive signs that the industry is beginning to recover. The report also compares how the home service category performed in comparison to the U.S. GDP over the last few years, and how the category has fared during this recent pandemic compared to others such as general merchandise stores, automotive, and grocery stores.
A few key findings from the report include:
- Home service sees strong growth – in 2018 and 2019, home service businesses grew 12% and 11%, respectively, whereas the overall U.S. GDP grew 2.9% in 2018 and 2.3% in 2019;
- COVID-19 impact started in mid-March – up until then, the home service category grew an average of 13%. Toward the end of March, revenues fell 30% compared to earlier in the year; and
- Turning a corner – new work scheduled and median revenue for home service year over year began to climb again by the end of April, a trend expected to continue in the beginning of May.
“There’s a lot of data and information out there, but very little is geared specifically towards the home service category and how it has been impacted by the COVID-19 pandemic,” says Abheek Dhawan, vice president, business operations at Jobber. “This report sheds light on the speed and scale of the decline, as well as the recent trend towards recovery that everyone related to the category can look forward to.”