MENDHAM, N.J. – Specialty Products Consultants, LLC (SPC) has published the 10th edition of A Strategic Analysis of the U.S. Structural Pest Control Industry. The U.S. structural pest control industry generated an estimated $6.322 billion in total service revenue in 2009, down 4.1 percent from the $6.593 billion measured in 2008. All service sectors surveyed, including commercial and residential general pest control work and termite control services, declined this past year. Nationwide, total income derived from termite control work, including renewal revenue, declined more than $100 million this past year.
The weak housing market resulted in a more than five percent decline in the number of post-construction termite treatments performed this past year. Although an improvement from the nearly 15 percent decline in post-constructed treatments measured in 2008, it was still another tough year for those involved in the termite market. Revenue from the pre-construction termite treatment market declined more than 20 percent due to continued weakness in new housing construction. Termite renewal revenue declined, as well. “It’s apparent the increase in mortgage foreclosures adversely impacted the renewal revenue stream this past year,” said Gary Curl, SPC President.
Total service revenue derived from controlling bed bugs grew more than ten percent over the prior year. Incidence of bed bugs was highest in the Northeast region, and expanded significantly throughout the Midwest region.
Total manufacturer level revenue declined for the third year in a row. Continued weakness in the housing market, coupled with the recession, resulted in another challenging year for many manufacturers and distributors.
More than 800 owners or managers of pest control companies were interviewed for this study. The market report forecasts pest control service revenue and corresponding pesticide product category sales through 2014. The impact of the commercial and residential real estate market, the recession, mosquito and wildlife management services, and pest control operators’ revenue expectations for 2010 are just a few of the topics analyzed in this year’s report.
Founded in 2000, Specialty Products Consultants, LLC, headquartered in Mendham, New Jersey, is a market research company dedicated exclusively to the professional pesticide industry.