The global janitorial service market size to be valued at USD 322.95 billion by 2027 and is expected to grow at a compound annual growth rate (CAGR) of 3.1% during the forecast period. Declining office vacancy rates and a rise in commercial activities are acting as major drivers for the rising demand for janitorial services. Rising concerns over health and hygiene for employees and an increasing number of airborne diseases are driving the demand for cleaning services in the market.
Cleaning has always been a labor-intensive task, and hence people prefer to get it done through an experienced service provider, thereby driving the demand for janitorial services in both the residential and commercial sectors. As per the CBRE MarketFlash report, the vacancy rate in the U.S. in quarter 1 of 2018 was 13% and in 2020, it was 12.3%, resulting in a decline in the vacancy rate. Moreover, the vacancy rate in quarter 1 of 2010 was over 17%. This aforementioned factor is acting as a major driver for the rise in demand for janitorial services.
In Japan, the prime Grade A office market in Tokyo was highly active in 2018 owing to increasing demand from corporates on expectations for the country’s monetary policy to remain accommodative following the upcoming election. The proportion of high tech companies in the overall Grade A office space had increased from 4% in 2013 to 16% in 2018. In order to maintain the office premises and speed up the process, demand for janitorial services is increasing.
Consumers in the market prefer to outsource or hire companies offering services owing to the cost-effectiveness and ease of management. The growing need for maintaining cleaner and greener office spaces is estimated to drive the demand over the forecast period. Green cleaning is a growing trend in the market.
Growing awareness among consumers regarding hygiene and workplace wellness is acting as a major driver for the market. According to the ‘Cleaning Costs and Frequencies Report’ published by Contracting Profits, Facility Cleaning Decisions, and BSCAI, 65% of multi-tenant offices, 80% of K-12 schools, 85% of colleges/universities, and 90% of hospitals all have floors mopped daily or multiple times a day. This results in high demand for janitorial services.
The market is highly fragmented and the presence of regional players is acting as a major challenge for the market. As per the Small Business Development Centers Network, the U.S. janitorial services and carpet cleaning industry consists of about 58,000 janitorial establishments (single-location companies and units of multi-location companies). Moreover, as per the ISSA Worldwide Cleaning Industry Association, job postings for cleaners experienced a 75 % surge in March 2020, compared to March 2019.
Increasing awareness and the necessity of having a cleaner environment are driving the growth of the market. The growing concerns of ill-health due to unsanitary surroundings encouraging the need for a hygienic and sanitary workplace, a clean & healthy environment, and disinfected surroundings are the factors increasing the demand for janitor services in the commercial as well as residential sectors.
The professional services offered by the companies facilitate thorough cleaning of the workplace, bathrooms, restrooms, and other areas providing a clean and comfortable atmosphere to the clients. Furthermore, complying with the industry standards for cleanliness many industries such as corporate offices, schools, day-care, and other institutional facilities are hiring external services to clean & proper maintenance of their facility which has surged the acceptance of janitorial services in turn boosting the market growth.
However, the lack of direct control of the services is hampering the adoption of the market. These services are provided by external firms, there is no direct control of the client over the services or the employees. This increases lines of communication which thereby creates a communication gap between the client and the service providers.
Moreover, the results achieved from janitorial services tend to be better than those obtained by in-house staff owing to their expertise in cleaning methods and products. They are trained for other services such as routine maintenance of equipment, floors, and other fixtures which tend to be cost-effective services. This provides lucrative opportunities for market growth.
In terms of revenue, the commercial segment dominated the market with a share of 90.3% in 2019. Growing business activities and less empty space are resulting in higher demand for janitorial services in the commercial sector. Healthcare, office space and retail establishments are the major consumers driving the demand. Moreover, private educational facilities, federal, state, and local government buildings, and not-for-profit organizations make up the next largest consumers in the segment.
The residential category is expected to expand at a CAGR of 2.6% from 2020 to 2027. Demand for janitorial service in the residential sector is majorly driven by High Net Worth Individuals (HNWI’s). As per the World Ultra Wealth Report, in 2017, there were 226,450 individuals with a net worth of USD 30 million and above. With the global growth of 3.5%, this is acting as a major factor for the residential segment growth.
In terms of revenue, the standard cleaning segment dominated the market with a share of 60.9% in 2019. Services such as trash removal, dust and detail, restroom cleaning, and carpet cleaning are the cleaning services that most of the commercial spaces opt for. Demand for this segment is majorly driven by healthcare, office spaces, and educational institutes.
The damage restoration cleaning segment is estimated to expand at a CAGR of 2.5% over the forecast period. These services generally encompass water extraction, dehumidification, mold and mildew remediation, debris removal, and site reconstruction depending on the cause. Natural calamities and remodeling of the sites are the major factors for the segment growth. Exterior window cleaning is estimated to expand at a CAGR of 2.8% over the forecast period. Demand for these services is higher in the commercial complex, skyscrapers, and office building.
North America dominated the market with a share of 27.8% in 2019. The presence of international companies and higher adoption in the region are acting as major factors for market growth. Moreover, the rising demand for green treatments is driving demand in the market. As per the White House Office of Management and Budget, investments in LEED projects with proper janitorial maintenance can save businesses over $18 billion over the life of a project. This is boosting demand in the region. The U.S. remains the major shareholder owing to the presence of leading corporates and strong demand for hygiene and wellness of the working space.
Asia Pacific is expected to expand at the fastest CAGR of 4.3% from 2020 to 2027. Growing commercial construction activities in developing countries of Asia Pacific are expected to positively influence market growth. The growing trend of co-working space, a rising number of startups, and increasing investment of international companies in the region are driving the demand for janitorial services in the region.
The global market is characterized by high competition. In order to gain market share, companies in the market are focusing on mergers and acquisitions. For instance, in February 2018, Coverall North America, Inc., a franchised brand majorly operating in Florida, acquired Orlando-based 4444 International, Inc. engaged in the manufacturing of sanitation and cleaning chemicals. This acquisition enabled the company to offer consistency in the product offering to its franchise owners.
In February 2022, Mitie Group launched a cleaning and hygiene center of excellence to feature its latest products and service developments in the cleaning industry.
In December 2021, ISS World Services A/S finalized the sale of its single-service janitorial and specialized services contracts in the U.S. to Argenbright Holdings V, LLC.
In September 2021, ABM Industries Inc. acquired Able Services. Able Services is a leading facilities services company that is headquartered in San Francisco.
In June 2021, Aeon Delight Co., Ltd. collaborates with Coca-Cola Bottlers Japan Inc. With this collaboration, the company intends to create new value by strengthening the facility management services and vending machine business.
Some of the prominent players in the janitorial service market include:
ABM Industries Inc.
ServiceMaster Global Holdings, Inc.
Coverall North America, Inc.
Jani-King International, Inc.
Stanley Steemer International, Inc.
Aeon Delight Co., Ltd.
CNS Consorzio Nazionale Servizi Soc. Coop.
ISS World Services A/S
Mitie Group plc
WISAG Facility Service Holding GmbH
Market size value in 2020
USD 255.82 billion
Revenue forecast in 2027
USD 322.95 billion
CAGR of 3.1% from 2020 to 2027
Base year for estimation
2016 - 2018
2020 - 2027
Revenue in USD billion and CAGR from 2020 to 2027
Revenue forecast, company ranking, competitive landscape, growth factors, and trends
Application, end-use, region
North America; Europe; Asia Pacific; Central & South America; MEA
U.S.; U.K.; Germany; China; Japan; Brazil; UAE
Key companies profiled
ABM Industries Inc.; ServiceMaster Global Holdings, Inc.; Coverall North America, Inc.; Jani-King International, Inc.; Stanley Steemer International, Inc.; Aeon Delight Co., Ltd.; CNS Consorzio Nazionale Servizi Soc. Coop.; ISS World Services A/S; Mitie Group plc; WISAG Facility Service Holding GmbH
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This report forecasts revenue growth at the global, regional, and country levels and provides an analysis of the latest industry trends and opportunities in each of the sub-segments from 2016 to 2027. For the purpose of this study, Grand View Research has segmented the global janitorial service market report on the basis of application, end-use, and region:
Application Outlook (Revenue, USD Billion, 2016 - 2027)
End-use Outlook (Revenue, USD Billion, 2016 - 2027)
Damage Restoration Cleaning
Exterior Window Cleaning
Floor Care Services
Regional Outlook (Revenue, USD Billion, 2016 - 2027)
Central & South America
Middle East & Africa
b. The global janitorial service market size was estimated at USD 252.79 billion in 2019 and is expected to reach USD 255.82 billion in 2020.
b. The global janitorial services market is expected to grow at a compound annual growth rate of 3.1% from 2020 to 2027 to reach USD 322.95 billion by 2027.
b. North America dominated the janitorial services market with a share of 27.8% in 2019. This is attributable to rising healthcare awareness coupled with cloud-based technologies acceptance and constant research and development initiatives.
b. Some key players operating in the janitorial services market include ABM Industries Inc., ServiceMaster Global Holdings, Inc., Coverall North America, Inc., Jani-King International, Inc., Stanley Steemer International, Inc., Aeon Delight Co., Ltd., CNS Consorzio Nazionale Servizi Soc Coop, ISS World Services A/S, Mitie Group plc, and WISAG Facility Service Holding GmbH.
b. Key factors that are driving the market growth include declining office vacancy rates and a rise in commercial activities is acting as a major driver for the rising demand for janitorial services. Fewer rules and regulation for business operation apart from general state occupational health and safety regulations is the increasing number of new entrants in the market.
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