Waste Collection Services in the US Industry Market Research Report from IBISWorld Has Been Updated
New York, NY (PRWEB) December 23, 2013 -- The Waste Collection Services industry is sensitive to changes in population, technology, commodity prices, consumer behavior and industrial, business and construction activity. Over the past decade, the quantity of waste in the United States has grown, and the Environmental Protection Agency estimates that municipal solid waste (MSW) totaled about 262.7 million tons in 2013, up from 235.5 million tons in 2002. The industry also collects industrial, construction and demolition waste, which is generated from industrial and construction activity. In 2008 and 2009, industry revenue dipped because activity in these two sectors plummeted during this period. Consequently, over the five years to 2013, revenue increased at a restricted average annual rate. Profit margins also shrank slightly over the period because the industry struggled with increasing fuel costs and weak commercial collections during the recession.
Operators in the Waste Collection Services industry collects most of the country's waste, while local municipalities, which are not included in this industry, provide services to about a quarter of the MSW market. The amount of waste collected directly by these municipalities is declining, since these services are increasingly being outsourced to private operators. In 2013, the largest private operator is expected to collect about 66.0 million tons of residential, commercial and industrial waste. During the year, returning demand from commercial industries is expected to drive industry revenue growth. Additionally, the top four operators (Waste Management Inc., Republic Services Inc., Veolia Environmental Services North America Corporation and Stericycle Inc.) currently have a combined market share of more than half of the industry’s total (see IBISWorld report 56211 for major player market shares). Larger operators acquiring smaller competitors have driven consolidation over the past five years, but this trend has begun to change because larger operators have increasingly merged with their larger counterparts.
Consequently, the major national and regional operators in the industry have been vertically integrating over the past five years, operating along the complete waste chain of collection, transfer, disposal and recycling. Waste collection produces nearly three times the revenue generated by waste disposal, while the sale of recyclable materials and the energy created from waste makes more than 10 times that amount. Ultimately, over the next five years, a stronger economy will boost consumer spending, in addition to business, industrial and construction activity. According to IBISWorld Industry Analyst Deonta Smith, “These conditions will lead to more waste and, therefore, greater need for disposal and recycling services.” As a result, “revenue is projected to grow during the five years to 2018,” says Smith.
For more information, visit IBISWorld’s Waste Collection Services Industry in the US industry report page.
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IBISWorld industry Report Key Topics
Operators in the Waste Collection Services industry collect hazardous and nonhazardous waste and recyclable materials.
Nonhazardous waste includes municipal solid waste (household waste) and industrial and commercial waste. This industry also includes transfer stations where waste is transferred from local vehicles to long-distance automobiles for transport to disposal facilities. This industry does not account for government-provided services of a similar nature.
Industry Performance
Executive Summary
Key External Drivers
Current Performance
Industry Outlook
Industry Life Cycle
Products & Markets
Supply Chain
Products & Services
Major Markets
Globalization & Trade
Business Locations
Competitive Landscape
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Barriers to Entry
Major Companies
Operating Conditions
Capital Intensity
Key Statistics
Industry Data
Annual Change
Key Ratios
About IBISWorld Inc.
Recognized as the nation’s most trusted independent source of industry and market research, IBISWorld offers a comprehensive database of unique information and analysis on every US industry. With an extensive online portfolio, valued for its depth and scope, the company equips clients with the insight necessary to make better business decisions. Headquartered in Los Angeles, IBISWorld serves a range of business, professional service and government organizations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com or call 1-800-330-3772.
Gavin Smith, IBISWorld Inc., http://www.ibisworld.com, +1 (310) 866-5042, [email protected]
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