We exist in an ever-changing world. This is also true when it comes to home services. As civilization marches into the future, one thing’s for certain; the home service sector is about to experience big changes.
Technology and consumer preferences have pushed the industry forward, resulting in new and innovative ways to provide quality services. Many factors are influencing consumer behaviour and, maybe more importantly, their willingness to spend for home services.
Differences between efficiency and sustainability, cost and value, and brand recognition and creative innovators are all intensifying. Consumers are becoming more specific about their needs. In 2023, there will be several new trends in the industry that homeowners and service providers alike should take into consideration. Discover some of the unique home service trends to watch out for in 2023:
- Price increases will extend due to supply chain concerns
Supply chain issues are increasingly pressing concerns for businesses today, as the global economy continues to evolve and become increasingly complex. This implies more pressure for companies to stay on top to avoid rising prices.
Home service businesses are especially vulnerable, as they must manage a wide variety of resources to provide quality services and maintain a competitive edge. With rising costs of labour, materials, and transportation, supply chain issues will continue to be a major factor in driving up prices.
This can put a strain on businesses, as they struggle to keep prices competitive while still providing great services and products. Companies must find ways to streamline their supply chains to ensure the quality and affordability of their services.
- The range for the target market will expand
The Total Addressable Market (TAM) for home services is growing steadily over the last several years, and it shows no signs of slowing down. With more people staying home and needing repairs, the demand for home services such as plumbing, carpentry, and electrical work is increasing.
Additionally, the market for digital DIY home services platforms is also expanding, providing consumers with access to advice and guidance from pros in their own homes. With platforms like these, more customers will have access to the help they need, leading to further growth in the TAM for home services.
- High rate of home improvement projects
The popularity of home improvement projects has surged in recent years and shows no signs of slowing down. Homeowners have found that taking on DIY projects or hiring professionals to do large-scale renovations can be an excellent way to increase the value of their home or simply make it more comfortable and enjoyable.
With many more options available to customize their home, consumers will continue to undertake home improvement projects at a high rate.
- Projects will be affected by the labour shortage
The labour shortage is quickly becoming an issue of concern for many home service providers as well as contractors. With the current demand for skilled labour, especially in the construction and home service industry, finding and retaining skilled workers is becoming increasingly difficult.
This issue is likely to disrupt future projects, potentially leading to longer completion times and higher wages. With the current economic growth and the demand for home services on the rise, the labour shortage is likely to remain an issue for the foreseeable future.
- Increase demand leading to higher call volumes
As home service providers, such as plumbers and electricians, become more in demand, they are more likely to receive higher call volumes this 2023. With the rise of remote working, people are dedicating more time to their home projects, resulting in an even higher demand for home services that are safe and reliable.
In response, the providers must be prepared to handle a larger influx of calls, which could mean hiring additional staff, expanding business hours, or investing in technology that’ll help streamline their facility and operations.
- Customer demand for companies will rely on online reviews
Online reviews are becoming increasingly important for home services companies to acquire customers and build trust in their services. With so many options to choose from, reviews are often a deciding factor as to which home service brand a customer will choose.
For example, a nearby Forest Hill plumber boasting more than 500 5-star reviews on Google will make them a leading choice for local plumbing services in the area. These reviews demonstrate the quality of their work, professionalism, and customer service, and are an excellent example of why reviews are so important for home service companies.
- Significant increase in online searches
The trend of increased online searches and appointments for home services is likely to continue in 2023, as more and more people are turning to the Internet to find services like the nearest plumber in Caledon.
With the industry-wide shift to digital channels, home service companies can capitalize on this trend by optimizing their online presence and providing customers with a seamless and informed experience.
As the demand for online home services increases, companies need to ensure that they are making the necessary investments in digital marketing efforts to remain competitive in the market.
- Costumers will want seamless cross-channel interactions
Home service clients are continuously demanding seamless omnichannel experiences. This has been spurred by a rapid increase in the use of digital channels for home service research and booking.
Consumers today expect the same level of service as what they have seen in reviews or as promised. Companies must be prepared to meet this demand by ensuring a positive customer experience.
- Home service leads will continue to cost much
The cost for leads on home services, like raccoon removal in Toronto, is expected to remain high for the foreseeable future. This is due to the competitive nature of the industry, where many competitors are vying for more leads by increasing brand recognition.
The cost of these leads will remain high due to the need for companies to attract and retain customers, which is essential for their survival in the industry. Due to fierce competition, businesses will spend much on digital or SEO marketing campaigns to attract customers.
Home service companies will feel a greater need to demonstrate their advantage over the competition. They also need to maximize their investments to acquire more customers at a reduced cost as the digital advertising marketplace evolves to become more intense and the cost per lead rises.
With the rise of emerging trends in the home service industry, 2023 is set to be an exciting year for clients and businesses alike. Home service providers will be able to offer customers more options and value. Businesses will need to keep up with these trends to have an edge in the market.