Keeping watch over the top snow removal industry statistics and trends helps your business take advantage of the last innovations to boost your success.
The snow removal industry continues to evolve as climate change, technological advances, and shifting market dynamics reshape this essential winter service sector.
Based on historical data and current trajectory analysis, here's what industry experts anticipate for the snow and ice management industry in 2025.
Overall market size and growth are some of the top snow removal industry statistics and trends to consider when heading into goals and expectations for 2025.
Despite potential concerns you may have the market size between the U.S. and Canada has been strong:
Plus, the latest snow removal industry statistics show 18% business growth between 2016 and 2021.
In addition, the number of snow and ice management providers in the U.S. grew from 74,800 in 2016 to 88,200 in 2022. Likewise, Canada’s providers grew from 15,700 in 2016 to 18,500 in 2022.
This growth is driven by several factors, including increasing urbanization in snow-prone regions and the rising demand for professional snow management services from commercial properties and residential communities.
Did you know, about 50% of snow businesses also provide lawn and landscape services?
In addition, $152,000 is the average annual snow and ice revenue. Whereas, multi-line businesses earn an estimated $435,000.
Which means, snow and ice services make up about 35% of earnings for businesses offering snow and lawn services.
As a result, this combination of service offerings allows your business to consistently generate year-round revenue.
Plus, when you have lawn care clients (and vice versa), you can easily convert them into clients for your other services.
By far, one of the most surprising snow removal industry statistics is that YoY (i.e. year-over-year) client retention sits around 93%.
However, the average client retention of the snow and ice industry lies around 75%.
Which means, snow removal clients have about an 18% higher retention rate than average clients outside of the industry.
Commercial snow removal is likely to remain the dominant segment, accounting for approximately 60% of industry revenue.
This includes contracts with:
The residential segment, while smaller, is showing promising growth potential as more homeowners opt for professional services over DIY snow removal, particularly in affluent suburban areas.
Digital transformation is revolutionizing snow removal operations. Key technological trends include:
Advanced GPS systems are becoming standard equipment, with most professional snow removal companies being expected to utilize comprehensive fleet tracking by 2025.
These systems optimize route planning and provide real-time service verification to clients as well as track and report:
The global weather forecasting services market is expected to reach $11.6 billion (up from $4 billion in 2023) with a CAGR of 12.6% between the 2024-2032 forecasted period.
The growing emergence of AI for weather forecasting and predictive modeling are likely to continue impacting the growth and innovation of weather forecasting.
In turn, these systems help you to better prepare for storms and allocate resources more efficiently.
The most successful snow removal businesses are using pre-built master routes for quick storm operations to dispatch crews in a minute’s notice.
Instant invoicing
Better scheduling
Manage your clients and employees all in one system
The industry continues to face significant labor challenges. Key statistics indicate:
To address these challenges, companies are investing more in:
Also, take a look at a few labor averages for snow removal businesses:
The snow removal equipment market is experiencing notable shifts:
Autonomous technology has changed numerous industries like lawn care, and snow removal is no exception.
In March of 2024, Teleo and Storm Equipment introduced the first autonomous snow plow—changing the game for the industry.
As a result, this type of technology is likely to ease labor burdens in the snow industry in the coming years.
While you don’t have to go totally all-in with offering eco-friendly services, snow removal businesses have been taking environmental considerations into account.
In addition to trying to do their part in reducing their carbon footprint, there are several lucrative reasons why businesses are starting to account for environmental considerations:
To remain competitive in the industry, it’s crucial to consider eco-friendly alternatives for your snow removal business.
The industry continues to face insurance challenges:
The latest snow removal industry statistics and trends suggest a significant transformation as we move through 2025.
Here’s what you can do to make 2025 a successful year:
By effectively balancing innovation with operational efficiency while addressing labor challenges, you can position your snow removal business for growth in 2025 and beyond.
While these projections are based on current snow removal industry statistics, trends, and historical data, the dynamic nature of both weather patterns and market conditions means actual outcomes may vary.
Always maintain flexibility in your strategic planning while staying informed about emerging trends and technologies!
Related: The Top Snow and Ice Trade Shows to Attend
Originally published Oct 17, 2023 7:00 AM CT, updated Nov 15, 2024 2:43 PM CT
Tags: Business Operation, Featured Post
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