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HVAC Franchising: Sluggish in 2014; 2015-'19 Looks Better

A report on HVAC franchise opportunities, now available from IBISWorld forecasts continued lethargy in the growth of HVAC service franchises through the remainder of 2014. The report includes background information on how the overall U.S. economic slowdown has affected the HVAC industry.

The HVAC service franchises industry is highly dependent on activity in the downstream construction sector, as many HVAC systems are installed at the time of building. The report says that, after the bursting of the housing bubble, the value of nonresidential and residential construction plummeted, pushing industry revenue down from 2009 to 2010. Furthermore, demand for maintenance and upgrades waned as well, due to declining corporate profit and per capita disposable income. Since then, demand for HVAC services has quickly picked up as construction expenditure recovered. By the end of 2014, industry revenue is expected to have risen, as demand fully recovers.

The report predicts the five years from 2015 to 2019 will be more fruitful for HVAC service operators.

IBISWorld anticipates HVAC franchise revenue to rise at an average annual rate over the next five years. Profit is also projected to grow by 2019.

The report can be obtained from IBISWorld at

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