Accumulative Decline of Over 50% In Number of Professional Environmental Service Firms Since 1994
Decrease in Demand for Professional Services: At Least $200 Million Annually
Contact: Jeremy Yogerst 612/831-2473, ext. 13
Cary Perket 858/488-4760
August 9, 2000 — For Immediate Release
Minneapolis, MN — Environmental Information Limited — provider of the nation’s largest database on professional environmental services - has just completed updating information on the environmental services providers in the Pacific West region.
EI found that 13.9 percent of the approximately 822 surveyed environmental service firms listed in the 1998 Pacific West Directory (EPA Regions 9 & 10) had closed. A large portion of the closures was among firms with less than 25 employees, though several of the larger firms (companies with more than 50 employees) closed offices in the Pacific West United States.
"This result is consistent with previous regions which were updated in 1999," states EI Researcher Jeremy Yogerst. "The closure among smaller firms is what one would expect of a maturing market. The larger firms have a competitive advantage in the current market and the potential to diversify into other markets such as infrastructure and communications."
The latest survey findings for 2000, and previous years are presented below:
% Closure of Environmental Service Providers in Pacific West Region, by State |
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| State | 2000-1998 |
1998-1996 |
1996-1994 |
| Alaska | 14.7% |
16.7% |
25% |
| Arizona | 14.3% |
15.9% |
39% |
| California | 14.1% |
16.3% |
23% |
| Hawaii | 28.6% |
14.3% |
25% |
| Idaho | 17.1% |
14.7% |
9% |
| Nevada | 13.6% |
21.6% |
30% |
| Oregon | 10.5% |
13.7% |
19% |
| Washington | 11.4% |
9.8% |
23% |
| Average | 15.5% |
15.4% |
24.1% |
"The overall environmental professional services market has likely passed from a mature to a declining market," says EI Senior Analyst Cary Perket. "The outlook for this sector is closely related to new environmental initiatives. There simply has not been as much public concern and support for environmental initiatives in the 1990s as there was in the 1970s and 1980s."
" The research from our database indicates a decline of 400 firms since 1994, the majority of which had less than 25 employees," comments EI’s Perket. "The overall closures translate to a minimum of $200 million in annual market decline for the nine state region. If one was able to assess how many professionals had been reassigned at larger firms to growth areas like infrastructure and communications, the numbers would be much higher."
The Environmental Services Database is offered on Envirobiz (www.envirobiz.com). A regional Database of professional services is offered at $195 per year. In addition, specialty databases covering commercial municipal solid waste and commercial hazardous waste management are also available.
Environmental Information, Ltd. began surveying the environmental services sector in 1983. The individual surveys of each firm’s services/offerings are published in the EI Environmental Services Directory, which contains approximately 7,500 companies offering environmental services (companies include consultants, spill response firms, remediation firms, hazardous and municipal solid waste facilities, and laboratories) and require five – three inch binders. It is the largest and oldest ongoing directory of environmental services in North America.
Further information for these services is available on Envirobiz (www.envirobiz.com). Envirobiz is the leading environmental Internet site for proprietary database, information, newsletter, and research services for the environmental professional. Environmental Information Limited has provided proprietary subscription-based and custom research on the marketplace for environmental services and technology since 1983. For more information on Envirobiz or Environmental Information Research Services, call 612/831-2473, fax 612/831-6550, or e-mail ei@mr.net. Environmental Information Limited is located at 7301 Ohms Lane, Suite 460, Edina, MN 55439.
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