Service Industry Thrives Again
Here is an opportunity to talk with a top CEO of a service industry company with his finger on the pulse of the past, current and future of the service sector.
April 30, 2014 // Franchising.com // Volume in the service industry Q1 of 2014 exceeds that of pre-recession numbers according to multi-brand franchisor HomeTask.
After nearly 40% of the professionals left the service industry during the great recession between 2008-2012, the sector is now vacuuming talent due to rising demand. Service requirements for the home and small business segments now exceeds that of the pre-recession volumes according to HomeTask CEO, Jerrod Sessler, "Prior to 2008, we used to see normal demand curves starting low early in the year and rising steadily through late summer with slower growth in the fall and then radical drops in early winter with repeats each year. In 2008, the year followed that curve until March or April and it began looking erratic and unpredictable. That started a tough 5-year run for the industry when nearly half the professionals bounced out to do something different or retire…"
Yellow Van Handyman, a franchised brand of HomeTask, specifically has seen marked increases for 7 quarters with no end in site. When asked about the industry trajectory and the potential problems, Jerrod Sessler said, "The biggest problem we have is filling demand for the service that people want to get done. We have a great group of Franchise Partners but they are no match for the volume of work in front of us. They could not hire enough people to handle the work because there is just not enough skilled trades people to handle the load. I don’t have any idea how this is going to play out but I suspect that rates are going to rise in the service industry, especially for quality service providers, and we are going to likely need help from an immigrant work force."
Yellow Van Handyman has dozens of franchised locations across North America all of which are operating at capacity due to the rising demand and skilled labor shortage in the industry.
HomeTask is a multi-brand franchisor of six home services concepts and has over 200 locations nationwide. HomeTask brands currently include Freggies (organic produce delivery), Lawn Army (lawn care service), Pet Butler (pet waste cleanup), Yellow Van Handyman (your pro handyman), and Data Doctors (computer services). HomeTask also provides a service network that connects with other businesses in your area. To find out more, please visit http://www.hometask.com.