US Marketing Research Profile
release date: May, 2003
Personal Services
SIC: 7200.0000



BizMiner profiles analyze a base of more than 18 million US firms to develop market intelligence, industry trends and benchmarks. Marketing Research Profiles benchmark average and "survivor" firms for employment, sales, growth and sales per employee, as well as a variety of market vitality measures. Profiles covering more than 1,000,000 industry and area segments can be accessed at www.bizminer.com.




This page displays the number of firms in the database for each industry segment, and analyzes three-year failure rates for each. The rest of your profile analyzes these Marketing research trends:
Time series table: This page
Firms Analyzed:
7/02
Failure Rates:
7/00 - 7/02
Yr1:
7/00
Yr2:
7/01
Yr3:
7/02
See P5 for explanation of the Time Series.



Current Industry Segments Analyzed:
Firms:
539,815
The count of firms in industry segments is a factor in quantifying market scope and industry composition.
Establishments:
576,315
Small Businesses:
525,890
Startups:
10,764
Branches:
36,500

Firms and Establishments: Firms are companies. Branches are subsidiary facilities of firms. Firms plus branches equals the number of establishments in an industry or area


Failure Rates

 
Yr1 Firms
Yr3 Survivors
Failure
Rates
Firms:
513,438
384,905
25.03%
Establishments:
546,823
414,832
24.14%
Small Business:
499,349
372,917
25.32%
Startups:
6,841
4,653
31.98%
Branches:
33,385
28,197
15.54%

Failure Rates occasionally reflect performance above 100% or below 0% due to business migration among industries (changes in primary business line) during the analysis period.

Contents:

P1:
Industry Segmentation and Failure Rates
P2: Market Scale, Sales and Sales Class Trends
P3: Sales per Employee, Staffing and Employment Class Trends
P4: Emerging Vitality: Startup Activity, New Branch, High Growth Firm Rates
P5: About the Data


Industry Segmentation and Failure Rates



Industry Market Volume, Average Sales and Sales Class Trends
Market Volume ($)
US Market Volume:
$99,144,104,289

* Market Volume calculates sales of US firms and US-reporting subsidiaries of firms headquarted outside the US. Data reflects those firms identifying this industry as their primary line of business.
Total market share and average facility sales help determine the priority of various industry segments.

Average Annual Sales

 
Firms
Small Business
Startups
Yr1 Avg Sales:
195,588
114,034
113,843
Yr2 Avg Sales:
197,216
113,555
111,780
Yr3 Avg Sales:
183,663
113,911
108,055
Change: Yr1 to Yr3
-6.10%
-0.11%
-5.08%
Survivor Avg Sales:
211,419
119,587
117,645
Change: Yr1 to Yr3
8.09%
4.87%
3.34%


Time series table: This page
Annual Sales Yr1:ending
7/00
Annual Sales Yr2:ending
7/01
Annual Sales Yr3:ending
7/02
Annual Sales Survivor:ending
7/00 - 7/02
Annual Market Volume:ending
7/02

The Sales Class analysis reflects firm growth patterns, and can suggest the impact of larger firms on the analysis of Market Volume and Average Sales.

Company Sales Class Trends
 
Yr1
Yr3
Yr3 Survivors
Yr1%
Yr3 %
Yr3 Survivors %
<$200k
459,146
493,132
346,596
89.43%
91.35%
90.05%
$200k-499k
25,136
26,820
23,326
4.90%
4.97%
6.06%
$500k-999k
6,643
6,985
6,095
1.29%
1.29%
1.58%
$1m-$2.49m
3,101
3,270
2,842
0.60%
0.61%
0.74%
$2.5m-$4.99m
747
775
700
0.15%
0.14%
0.18%
$5m-$9.99m
338
361
328
0.07%
0.07%
0.09%
$10m-$24.99m
180
164
154
0.04%
0.03%
0.04%
$25m-$49.99m
55
63
61
0.01%
0.01%
0.02%
$50m-$99.99m
36
30
27
0.01%
0.01%
0.01%
$100m-$249.99m
24
30
28
0.00%
0.01%
0.01%
$250m - $499.99m
5
8
8
0.00%
0.00%
0.00%
$500m - $999.99m
9
11
11
0.00%
0.00%
0.00%
>$1b
5
3
3
0.00%
0.00%
0.00%
unknown
18,013
8,163
4,726
3.51%
1.51%
1.23%
Total
513,438
539,815
384,905
100.00%
100.00%
100.00%


Sales per Employee, Average Staffing and Employment Class Trends

Time Series Table: this page
Annual Sales per Employee Yr1:
7/00
Annual Employment Yr1:
7/00
Annual Sales per Employee Yr2:
7/01
Annual Employment Yr2:
7/01
Annual Sales per Employee Yr3:
7/02
Annual Employment Yr3:
7/02
Survivor:
7/00 - 7/02
.

US Sales per Employee ($)
 
Industry
Small Business
Startups
Yr1 SPE:
46,881 39,319 48,684
Yr2 SPE: 47,008 39,377 42,622
Yr3 SPE: 49,648 44,096 52,854
Survivor SPE: 50,997 41,972 46,891
Sales per employee data indicates productivity in industry segments.
Facility Employment Class
 
1 emp
2-4
emps
5-9
emps
10-24
emps
25-49
emps
50-99
emps
100-249
emps
250-499
emps
500-999
emps
>1,000
emps
unknown
Yr1
168,609
283,318
58,135
26,169
4,268
1,465
715
138
46
36
3,931
Yr3
207,655
267,888
58,117
26,739
4,326
1,469
687
113
39
12
9,270
Yr3 Survivors
149,544
180,373
50,176
23,089
3,686
1,265
607
101
35
11
5,945
Percentage breakdown
Yr1
30.83%
51.81%
10.63%
4.79%
0.78%
0.27%
0.13%
0.03%
0.01%
0.01%
0.72%
Yr3
36.03%
46.48%
10.08%
4.64%
0.75%
0.25%
0.12%
0.02%
0.01%
0.00%
1.61%
Yr3 Survivors
36.05%
43.48%
12.10%
5.57%
0.89%
0.30%
0.15%
0.02%
0.01%
0.00%
1.43%
Facility employment class breakdowns help identify target categories.


Staffing scale and trends reflect
vitality in various industry segments.


Average Employment Trends
 
Yr1 Emps.
Yr2 Emps.
Yr3 Emps.
Yr3
Survivors
Industry:
4
4
4
4
Small Business:
3
3
3
3
Startups:
2
3
2
3
Branches:
12
11
11
11


Emerging Vitality Trends

Time series table: This page
High Growth Employment:
7/00 - 7/02
High Growth Sales:
7/00 - 7/02
Entrepreneurial Activity: 7/01 - 7/02
New Branch Development: 7/01 - 7/02
Consolidation: 7/00 - 7/02
Consolidation Trends
Industry Branch Concentration Yr1:
6.11%
Industry Branch Concentration Yr2:
6.02%
Industry Branch Concentration Yr3:
6.33%
All US Branch Concentration Yr1:
10.88%
All US Branch Concentration Yr2:
13.14%
All US Branch Concentration Yr3:
13.41%
Consolidation trends can suggest the extent to
which control is tightening over industry
decision processes.


Current and future vitality is indicated by area entrepreneurial activity, new branch development and concentrations of high growth firms measured by sales and employment. Industry indices above 1.00 surpass economy-wide patterns by the margin indicated, while indices below 1.00 fall behind overall trends.

US Industry = 1.00 in all market vitality index ratings


Entrepreneurial Activity
US All-Industry Startup Rate:
6.90%
Segment Startup Rate:
6.69%
Segment Startup Index:
0.97




New Branch Development
US All-Industry New Branch Rate:
1.03%
Segment New Branch Rate:
0.41%
Segment New Branch Index:
0.40

High Growth Firms by Employment
US All-Industry High Growth Emp Rate:
0.81%
Segment High Growth Emp Rate:
0.44%
Segment HG Emp Index:
0.54

High Growth Firms by Sales
US All-Industry HG Sales Rate:
1.46%
Segment HG Sales Rate:
0.26%
Segment HG Sales Index:
0.18

see page 5 for definitions of vitality measures...


About the Data

Information in this report is developed from data covering more than 18 million US establishments. While the Brandow Company believes that the information contained in this report represents an accurate picture of trends and performance, no claim is made as to the accuracy of the databases utilized or the results of subsequent analyses. The analysis of industry business operations is based on information supplied largely by business owners. Inaccurate information supplied by business owners or representatives may affect the analysis. Failure rates assume that the discontinuation of a facility's presence among the credit reporting databases reflects the discontinuation of operations of that facility. Startup and new branch rates may include firms with a change in ownership rather than completely new business formation. The Brandow Company is not responsible for conclusions drawn or decisions made based upon this data or analysis. In no event will the Brandow Company be liable for any damages, direct, indirect, incidental or consequential resulting from the use of the information contained in this report.

The Time Series: Our Profiles are adjusted to account for time lags in raw data. We adjust the time series to compensate, and the dates shown in the reports generally reflect the actual time series shown in the Time Series tables in each Profile. “Yr3” denotes the quarter “snapshot” at the end of the time series. “Yr1” is the quarter snapshot at the start of the time series. The specific year and quarter for each is always noted in the Time Series table on the first page of every Profile.

Firms and Establishments:
Firms are companies. Branches are subsidiary facilities of firms. Firms plus branches equals the number of establishments in an industry or area.

Startup Definition: In order to reduce distortion and focus the analysis on the startup population of greatest interest to our users, the startup sales and employment analysis limits the definition of startups to single site firms with fewer than 50 employees, with less than $10m annual sales and reporting one year or less of operation.

Small Business Definition:
In order to focus the analysis on the small businesses of greatest interest to our users, the analysis defines small businesses as single site firms with fewer than 25 employees.

Failure Rates:
The failure rate tracks the actual experience of firms and branches doing business at the start of the time series (Yr1), and still in operation today. "Survivor" firms are establishments in a given category which have maintained operations for at least three years. Survivor measures benchmark these successful firms, rather than more common "average" or "typical" firm measures. Failure Rates occasionally reflect performance above 100% or below 0% due to business migration among industries (changes in primary business line) during the analysis period.

Area Market Volume:
Reported Area Volume includes sales figures from multi-site firms located in the industry, generally including branch revenues. Also includes sales of US firms and US-reporting subsidiaries of firms headquartered outside the US. Local Generated Market Volume projects sales volume based on the number of local industry employees and national sales per employee data developed by BizMiner.

Startup Activity:
The Startup Activity Rate measures the percentage of all firms which indicated one year or less of operation during the period indicated in the Time Series table. These firms are compared to the number of firms in the industry for which ages can be identified. The Startup Activity Index benchmarks the result against national all-industry startup patterns.

High Growth Jobs and High Growth Sales:The High Growth Jobs Rate benchmarks concentrations of business establishments with high job growth. Rates calculate the number of high job growth establishments as a percentage of all firms which reported fewer than 10,000 jobs at the start of the analysis period. Ratings measure firms which: began with fewer than 5 jobs in 1998 and grew to more than 10; with fewer than 10 jobs and grew to more than 25; with fewer than 25 jobs and grew to more than 50; with fewer than 50 jobs and grew to more than 100; with fewer than 100 jobs and grew to more than 250; and with fewer than 250 jobs and grew to more than 500; fewer than 500 and grew to more than 1,000; fewer than 1,000 and grew to more than 2,500; fewer than 2,500 and grew to more than 5,000; and fewer than 5,000 and grew to more than 10,000.

The High Growth Sales Rate benchmarks concentrations of firms with high sales growth. Rates calculate the number of high growth firms as a percentage of all firms which reported less than $50 million in annual sales at the start of the analysis period. Ratings measure firms which: began with less than $200k in annual sales and grew to more than $500k; with less than $500k in annual sales and grew to more than $1m; with less than $1m and grew to more than $2.5m; with less than $2.5m and grew to more than $5m; with less than $5m in annual sales and grew to more than $10m; with less than $10m and grew to more than $25m; with less than $25m and grew to more than $50m; with less than $50m and grew to more than $100m; with less than $100m and grew to more than $250m; with less than $250m and grew to more than $500m; and with less than $500m and grew to more than $1b.

New Branch Rate: calculates the number of recently developed branches to total industry firms.
Industry Consolidation: trend measures compare the percentage of branch facilities relative to all industry firms at two different points in time.
Indexed Emerging Market Vitality: measures compare local industry to national industry rates, where the national rate equals 1.00.


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