Business
New ServiceTitan Research: 63% of Residential Services Businesses Are Experiencing Consistent Growth
Thriving Businesses Are Focusing on Modernizing the Homeowner Experience, Investing in Additional Technology, and Purchasing More Tools & Trucks to Drive
About this update from Servicetitan, Inc.
[{"type":"text","content":"Thriving Businesses Are Focusing on Modernizing the Homeowner Experience, Investing in Additional Technology, and Purchasing More Tools & Trucks to Drive Growth\nLOS ANGELES, March 25, 2025 (GLOBE NEWSWIRE) -- ServiceTitan (Nasdaq: TTAN), the software platform that powers the trades, today released its second annual Residential Services Report, providing valuable insights into the current state of the industry. The report, based on a study of over 1,000 residential service contractors across the US in HVAC, electrical, plumbing, roofing, and other sectors, indicates that the majority of the industry (63%) is thriving or experiencing consistent growth and is positioned for continued success. ServiceTitan users are more likely to report their businesses thriving compared to those using competing platforms, with, notably, no ServiceTitan users reporting their businesses as struggling. \"Residential contractors benefit from an exceptionally resilient market. When critical home components break down, they often become a top priority in household budgets,\" said Chris Petros, General Manager of Residential Construction at ServiceTitan. \"That said, great business leaders excel in two key areas during challenging times. First, they refine their sales funnel, ensuring marketing spend is optimized, call centers maintain strong performance, and individual team members operate at peak efficiency. Additionally, they leverage technology to implement business practice changes quickly and at scale. For example, if a company decides to slightly reduce prices and offer financing, those adjustments can be implemented and reflected in the field within minutes.\" Despite challenges, residential service businesses stay profitableDespite an evolving economic landscape, the industry shows vigor, with a majority of businesses reporting revenue between $1-$19 million. Only 19% of the respondents revealed they were “surviving,” and 18% reported their business was “struggling.” With this in mind, residential contractors across all surveyed businesses named growing revenue and retaining existing customers as their top two business goals for 2025, and acquiring new customers and improving their cash flow evenly matched for their third priority. Comparatively, thriving contractors are setting themselves apart from the competition by focusing on modernizing t...