2015 Industry Profit and Demand Drivers Report

Jan 14, 2015

Our list of 2015 profit and demand drivers, by industry alphabetically.  The next major update to our software will include added data visualization, ratios, search and filter capabilities, and real-time geographical market conditions.

Aerospace and Defense
Primary Demand Drivers
  • Domestic military budget
  • Domestic economic climate, affecting airline travel and demand for new commercial traffic
  • Threat of international warfare
  • Upward mobility in the population, creating demand for air travel
Profitability Drivers
  • Technical expertise
  • Accurately pricing long-term contracts
Agriculture
Primary Demand Drivers
  • Domestic federal agricultural policy programs
  • Domestic food consumption trends
  • Accessibility of export markets
Profitability Drivers
  • Maximizing crop yield
  • Minimizing pest damage and disease risk
Apparel and Textiles
Primary Demand Drivers
  • Consumer tastes
  • Consumer demand
  • Comparative costs of manufacture overseas
Profitability Drivers
  • Operational efficiency
  • Securing contracts with clothing marketers
  • Hiring professional local managers
  • Focusing on a limited geographic region
  • Specializing in certain product types
Business Services
Primary Demand Drivers
  • New business arrangements
  • Increasing involvement of corporate business
  • Increased disposable income
  • Job growth
Profitability Drivers
  • Appropriate mix of services
  • Effective marketing
  • Ability to grow membership

 

Chemicals
Primary Demand Drivers
  • Economic health of domestic country
Profitability Drivers
  • Efficient operations and distribution
  • Adherence to regulations

 

Construction
Primary Demand Drivers
  • Economic health of domestic country
  • Government spending on infrastructure
  • Corporate profits
  • Growth in real estate investment
Profitability Drivers
  • Constant inflow of work
  • Accurate project bids
  • Efficient manufacturing operations

 

Consumer Products
Primary Demand Drivers
  • Consumer income and spending
  • Home sales
  • Domestic economic activity
Profitability Drivers
  • Effective marketing
  • Efficient operations
  • Increasing store traffic
  • Efficient inventory management
  • Adequate order fulfillment operations

 

Energy
Primary Demand Drivers
  • Economic activity
  • Population growth
Profitability Drivers
  • Increasing production from existing wells
  • Achieving high success rate of new wells drilled
  • Increasing production from existing wells
  • Creating the best mixture of products
  • Controlling the short term demand cycle
  • Managing risk
  • Increasing efficiency of operations

 

Financial Services
Primary Demand Drivers
  • Business activity
  • Returns on investment
  • Increased disposable income
Profitability Drivers
  • Effective marketing
  • Efficient operations
  • Investment expertise
  • Understanding individual customers evolving needs
  • Building investor confidence

 

Food and Beverage
Primary Demand Drivers
  • Demographic shift (particularly trends in population and age, household size, and dispoable income)
  • Consumer tastes
Profitability Drivers
  • Good product mix
  • Efficient operations
  • Superior service
  • Effective marketing

 

Healthcare
Primary Demand Drivers
  • Population growth rate
  • Increasing life expectancy age in developed countries
  • Advances in medical care and technology
  • Patients who demand more services, pharmaceuticals, and medical breakthroughs
Profitability Drivers
  • Obtaining grants and federal funds
  • Effectively managing patient demand
  • Referring patients to the most cost-effective providers

 

Hospitality and Travel
Primary Demand Drivers
  • Business and tourist travel, which is closely linked to the health of the economy
  • Competitive market conditions
Profitability Drivers
  • Efficient operations, since many costs are fixed
  • Effective marketing
  • Increasing additional convenience offerings
  • Establishing strong brand recognition

 

Industrial Manufacturing
Primary Demand Drivers
  • Economic health of domestic country
  • Calls for corporate accountability to increase machinery safety
Profitability Drivers
  • Focusing on engineering expertise
  • Operating production efficiently
  • Increasing core product lines
  • Expanding geographical reach
  • After service market – increasing customers desire to invest in new equipment

 

Media and Communications
Primary Demand Drivers
  • Technological innovation
  • Growth in business activity and advertising
  • Consumer demographics
  • Consumer leisure activity
Profitability Drivers
  • Effective marketing and advertising volume
  • Marketability of products
  • Finding and keeping the right talent
  • Programming mix
  • Identifying new sources of financing
  • Improving digital technology

 

Mining, Minerals, Metals
Primary Demand Drivers
  • Manufactures of durable goods such as motor vehicles, machinery, constuction steel
  • Economic growth
Profitability Drivers
  • Efficient operations since most products are commodities sold based on price
  • Volume of operations
  • Strategic acquisitions at bargain prices

 

Pharmaceuticals
Primary Demand Drivers
  • Treatments demanded by global societies
Profitability Drivers
  • Ability to discover and market new drugs
  • Specializing in drugs that target specific ailments

 

Public Services
Primary Demand Drivers
  • Population growth
  • Consumer demographics
  • Need to provide social services
  • Local income and tourist travel
Profitability Drivers
  • Implementing and monitoring policy to deliver citizen-centered services
  • Governments delivering services more economically

 

Retail
Primary Demand Drivers
  • Personal income
  • Consumer confidence
Profitability Drivers
  • Efficient supply chain management
  • Effective merchandising and marketing
  • Providing superior customer service
  • Selling unique merchandise
  • Achieving brand reputation
  • Offering a distinctive shopping experience
  • Serving a local market

 

Technology
Primary Demand Drivers
  • Income of consumers
  • Increasing customer sophistication
  • Profitability of business customers
Profitability Drivers
  • Developing and marketing new products
  • Gaining expertise in a particular field of knowledge
  • Achieving access to capital
  • Creating a faster time-to-market process

 

Transport Manufacturing
Primary Demand Drivers
  • Domestic manufacturing output
  • Levels of international trade
  • Outsourcing of logistics services
Profitability Drivers
  • Efficient operations
  • Extensive relationships in shipper and carrier networks
  • Covering all modes of operation (transport, warehousing, handling, packaging, labeling and assembling)

 

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