The home services industry is booming — driven by shifting lifestyles, new technologies, and the growing demand for convenience. From handyman jobs to smart-home installations, homeowners are spending more than ever to keep their spaces functional, comfortable, and modern.
Behind the hustle of plumbers, electricians, cleaners, and contractors lies a fascinating world of numbers. These stats tell the story of how big the industry really is, where the money is flowing, and what trends are reshaping the way we maintain our homes.
Whether you’re a service provider, investor, or simply curious homeowner, these 50 statistics reveal the surprising forces powering the industry today — and what’s coming next.
The Money Trail: Market Growth That’s Reshaping America’s Economy
The numbers tell a story of explosive growth that few industries can match. The home services sector is experiencing a renaissance, driven by changing consumer habits, pandemic-era shifts in home priorities, and an aging housing stock that demands attention.
Market Size and Growth Indicators:
Home services spending is projected to rise by $6.5 billion between 2023–2028, reflecting a 40.34% CAGR. This surge is fueled by increasing demand for remodeling, sustainability, and smart home technology. (Source: Technavio)
U.S. construction spending topped $2 trillion in 2023, marking a historic high. This achievement underscores robust investments in residential housing, infrastructure upgrades, and commercial projects. (Source: Deloitte)
Home service bookings have risen by 150% since the pandemic began. The widespread shift to remote work has accelerated demand for home improvement and routine maintenance. (Source: Amenify)
Homeowners spent 51% more on services in 2023 compared to 2019. Higher material costs and more frequent project activity contributed to this increase. (Source: Angi)
The average household invested $13,667 across 11 projects in 2023. Kitchens, bathrooms, and outdoor living areas ranked as the most popular upgrades. (Source: Angi)
American households spend an average of $5,000 per year on home services. These recurring expenses typically cover HVAC, lawn care, and small repairs. (Source: zipdo.co)
Emerging Trends and Hot Sectors:
About 65% of homeowners plan to make major project investments, including bathroom, kitchen, and sustainability upgrades. Energy efficiency improvements and eco-friendly materials are becoming top priorities. (Source: Angi)
Pet-friendly lawn care services expanded by 122% in 2023, while landscaping services grew by 98%. These gains highlight growing consumer interest in eco-safe solutions and outdoor enhancements. (Source: Plumbing & Mechanical)
Demand for carpenters rose by 54% in 2023. Custom cabinetry, furniture, and home remodeling projects were the primary drivers of this trend. (Source: Yelp)
Insulation demand climbed 26% in 2023, while waterproofing services rose 23%. Homeowners are focusing more on energy savings and protecting long-term property value. (Source: Plumbing & Mechanical)
The Digital Consumer: How Technology Is Rewriting the Rules of Engagement
Today’s home services customers are sophisticated, connected, and demanding. They’ve traded Yellow Pages for smartphones and expect seamless digital experiences from first search to final payment. Understanding these behavioral shifts is crucial for any home service business hoping to capture market share.
Service Preferences and Booking Habits:
In 2023, 39% of customers requested maintenance services, making it the most common category. Regular upkeep helps homeowners avoid expensive repairs and increase property value. (Source: Angi)
Roughly 80% of customers place a high value on personalized offers, discounts, and recommendations. Tailored communication fosters loyalty and builds stronger trust. (Source: Epsilon)
78% of local mobile searches lead to a purchase within 24 hours. People act fast on nearby service needs, which makes strong mobile visibility crucial for winning customers. (Source: ComScore)
About 94% of customers are more likely to book a service if online scheduling is available. Convenient digital booking tools significantly increase conversion rates. (Source: GetApp)
The Trust Factor: Reviews and Referrals:
Word of mouth influences 73% of roofing customers when selecting contractors. Referrals remain an essential driver in trust-based industries. (Source: Roofing Contractor)
Roughly 54% of roofing customers turn to search engines to find contractors. Strong SEO visibility and positive Google reviews are critical to capturing leads. (Source: Roofing Contractor)
Over a third of consumers check at least two review sites before making a choice. That’s why cross-platform reputation management is no longer optional. (Source: BrightLocal)
Roughly 86% of consumers read reviews before buying, jumping to 95% for ages 18–34. Younger homeowners especially rely on online feedback when making decisions. (Source: BrightLocal)
Customers typically read 10 reviews before they feel confident about a business. Having more local business reviews not only builds trust but also reduces hesitation. (Source: BrightLocal)
More than half of consumers only consider businesses with a 4-star rating or higher. Maintaining a strong rating can make or break new client acquisition. (Source: BrightLocal)
The Phone Call Paradox: Why Old-School Communication Still Dominates New-School Markets
In an era of apps and instant messaging, the humble phone call remains the king of conversions in home services. This creates both opportunities and challenges for home services businesses trying to balance digital innovation with traditional customer service excellence.
The Power of Voice:
Phone calls generate 10–15 times more revenue than web leads. Talking directly with a customer builds trust faster and makes service feel more personal. (Source: BIA/Kelsey)
Nearly two-thirds of customers pick up the phone before deciding on a provider. Having a professional and responsive call strategy is key to closing deals. (Source: BrightLocal)
Four out of ten consumers who call directly from a search result end up buying. Click-to-call ads remain one of the most effective ways to capture serious prospects. (Source: Google)
Phone leads convert 30% faster than online form submissions. Shorter sales cycles mean quicker wins and smoother operations. (Source: Forrester)
Callers are 28% more likely to become repeat customers compared to web leads. A voice-to-voice connection often builds stronger loyalty. (Source: Forrester)
The Missed Opportunity Crisis:
About 18% of weekday calls and a striking 41% of weekend calls go unanswered. Each missed call is a missed revenue opportunity. (Source: Invoca)
Almost 60% of callers hang up if they’re kept waiting longer than a minute. Long hold times frustrate customers and quickly cut into both satisfaction and sales. (Source: Velaro)
Nearly four in ten consumers stop doing business after a single poor call experience. One negative interaction can erase all goodwill. (Source: PwC)
Marketing Challenges:
In the home services space, Google Ads clicks can cost more than $10. Paid ads are one of the most competitive digital channels businesses face. (Sources: LocaliQ)
Many home service leads cost over $150 to acquire. To make it work, companies need to balance ad spend with lifetime customer value. (Sources: LocaliQ)
For 62% of home service companies, finding new clients is their biggest challenge. Rising competition and ad costs make acquisition tougher than ever. (Source: zipdo.com)
Nearly three-quarters of new home buyers look for ENERGY STAR-certified homes. Energy efficiency has become a deciding factor in today’s housing market. (Source: Panasonic)
The Great Skills Gap: A Workforce Crisis That Threatens Industry Growth
Perhaps no challenge looms larger for the home services industry than the severe shortage of skilled workers. As demand skyrockets, the supply of qualified professionals is dwindling, creating a perfect storm that could constrain growth for years to come.
The Numbers Behind the Crisis:
Between 2023 and 2024, the U.S. averaged 382,000 monthly job openings in construction. Persistent labor shortages are slowing down industry growth. (Source: Deloitte)
One in four construction workers is now over age 55. The industry urgently needs fresh talent and apprenticeship programs to fill the gap. (Source: Associated Builders and Contractors)
By 2027, the U.S. could face a shortage of 550,000 plumbers. This gap may lead to higher costs and longer wait times for homeowners. (Source: NewsNation)
Almost 30% of electricians are nearing retirement. Without stronger recruitment, the industry risks a major skills shortage. (Source: McKinsey)
Half of home service companies struggle to find skilled workers. Recruitment and training programs have become critical for long-term success. (Source: Amenify)
Growth Opportunities Amid Challenges:
Electrician jobs are projected to grow by 11% over the next decade. Growth is powered by demand for renewable energy systems and smart home installations. (Source: Bureau of Labor Statistics)
Solar panel installer jobs are expected to grow by 48% over the next ten years. The push toward renewable energy is creating one of the fastest-growing trades. (Source: Bureau of Labor Statistics)
HVAC contractors saw 10% growth in 2023. Extreme weather patterns continue to drive demand for heating and cooling systems. (Source: Plumbing & Mechanical)
About 43% of contractors say training is their biggest IT challenge. Compared to other industries, construction still lags in technology adoption. (Source: Associated General Contractors of America)
Over 90% of construction companies now rely on smartphones to run daily operations. Mobile apps streamline everything from communication to billing. (Source: Autodesk)
The Experience Economy: Where Customer Service Becomes Competitive Advantage
In a market where technical skills are increasingly scarce and digital marketing costs are soaring, exceptional customer experience has emerged as the ultimate differentiator. Companies that master the art of customer satisfaction are seeing dramatic improvements in both retention and profitability.
The Premium on Excellence:
Customers are willing to spend 17% more with companies that provide excellent service. Great experiences directly translate into higher revenue. (Source: Contracting Business)
Businesses that prioritize retention are 60% more profitable. Repeat customers are cheaper to keep and generate more lifetime value. (Source: G2)
Customers are 81% more likely to choose a company that personalizes service. In competitive markets, personalization has become a deciding factor. (Source: Hyken)
Almost half of customers say they feel valued when service is personalized. Tailored interactions create deeper emotional connections. (Source: Invoca)
What Customers Really Want:
For 41% of HVAC customers, courtesy and friendliness matter most in reviews. Soft skills often carry as much weight as technical know-how. (Source: Better Business Bureau)
Nearly all roofing customers — 97% — expect a call back within a week, and more than half expect one within two days. Faster responses build trust and secure more bookings. (Source: Roofing Contractor)
About 65% of consumers cut ties with a company after just one bad experience. First impressions often decide long-term loyalty. (Source: Digiday)
Rude agents frustrate 65% of callers, and 12% say constant transfers ruin the experience. These issues don’t just annoy customers — they damage trust and cost businesses valuable opportunities. (Source: Khoros, SQM)
Looking Ahead: The Future of Home Services
The reason we’re sharing this with you is because we work with a wide range of home service businesses across the U.S. — from HVAC contractors to plumbers, electricians, landscapers, roofing companies, and more.
Because digital marketing is our core business, we’ve gained unique insight into the home services industry and its data trends. We know how important it is for companies in this space to understand what’s driving consumer demand, how much the industry is growing, and where the biggest opportunities exist.
For example, did you know the home services market in the U.S. has grown to over $657 billion in value? That includes everything from routine maintenance to emergency repairs. Online searches for home services have surged — Google data shows that in some metro areas, there are hundreds of thousands of monthly searches for “plumber near me,” “HVAC repair,” or “landscaping services.”
To thrive in this highly competitive industry, home services companies need to know not just how many potential customers are out there, but also how to capture them before competitors do. Visibility in local search is critical because nearly 70% of homeowners say they go online first when they need a service professional.
If your objective is to grow your customer base, secure steady work, and build a trusted brand in your community, then understanding these statistics and applying them to your strategy is essential.
The good news is that Comrade can help.
We focus on digital marketing for home service providers, driving them to the top of search results for high-value keywords so they can outshine the competition where it counts most.
Complete the form below, and we’ll conduct a free website audit. We’ll show you where your business stands in your local market, how you compare against competitors, and what steps you can take to maximize your visibility. Once we’ve assessed your online presence, we’ll provide recommendations you can implement right away — and show you how our proven strategies can help you dominate your market.
Ivan Vislavskiy is Comrade Digital Marketing’s co-founder and fearless leader, spearheading the agency’s production department.
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