With the advent of technology and a growing rate of smartphone penetration, everything is available on your fingertip, quite literally! The recipe to a highly convenient access to goods and services includes just a smartphone and an internet connection and voila! everything will be taken care of, right from ordering food online to booking a plumbing or laundry service. As a result, the global on-demand home services market is expected to grow at a CAGR of over 45% at the end of the forecast period (2017-21).
On-Demand Home Services – What Makes Them Sell Like Hot Pancakes?
Imagine booking yourself a beauty service through the web or an app, and getting pampered within the comfort of your home. With more people seeking convenience in everything under the sun, growing urbanization and increasing popularity of internet and smartphones, the demand for on-demand home services is on the rise. These m-commerce platforms provide services to the buyers either through vertical integration or supply aggregation and are backed by heavy funding from investors. The Americas account for the lion’s share in the global ‘on-demand home service’ pie, followed by EMEA and APAC regions, respectively.
On-Demand Home Services Market – The One with the Who’s Who
The international market for on-demand home services is inundated with the presence of many small players. The market space is highly fragmented with each vendor offering different products and services that caters to various needs of the end-users. Let us have a look at the major vendors at the global level,
- Handy
- Hello Alfred
- Helpling
- YourMechanic
- Zaarly
These players provide various services such as plumbing, electrical and cleaning services, grocery shopping, pick up dry cleaning, and auto repair and maintenance services. In order to survive the fierce competition, these vendors must devise a strategy to overcome the challenges and create a competitive advantage.
What Will Keep On-Demand from Being ‘In Demand’ Through 2017-21?
The worldwide market for on-demand home services is highly fragmented and the players must scale up to make profits. Therefore, the non-funded start-ups will find it difficult to scale up the business and must eventually shut shop. Moreover, the market space for the same is highly unorganised and face issues with quality, transparency and on-time performance delivery. In order to provide on-demand home services, the players require highly efficient operational execution so as to acquire customers, satisfy them and retain them. These are a few challenges that will keep the on-demand service market from being the latest fad among the customers.
At Technavio, our experienced team of analysts, have put together a comprehensive report on the global on-demand home services market and is projected to grow during the forecast period (2017-21). What are you waiting for?
