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AMSA Industry Trends Document Transcript

  • 1. ISSUE 1, 2012 trendsA QUARTERLY DATAPUBLICATION OF THEAMERICAN MOVING &STORAGE ASSOCIATION
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  • 3. industry industryyear fourmid-atlantic report trends trends 2011 |Volume 3 | Number 2 2012 | Volume 1 22 shipmentvolumeTT shipment volume his his issue starts the fourth year of Industry As issue highlights the Mid-Atlantic region. theTrends,Presidential election starts to heat up, 2012 a publication highlighting various 3 shipment summary 3 population growth especially of the Republican side, a industry aspects on the moving and storagelot of 44 regional shipments do business attractive cities to attention is focusedstatistical perspective. The from a data and on the nation’s capital. 65 timing onmoves people of the movefinancial capital of its country, on interstate moves, AMSA focusesthe attentionNew York, is also in the 6 inbound/outbound report and we partner with numerous state associationsnews as the economic suffering continues in most parts 8 existing home salesofthat are focused on two cities intrastate moves in has the country. These local and anchor a region that 8 existing home salesbeen very important for the data we collectbefore it was their state. As a result, our country since also tends 9 new home sales 9 new home sales to emphasize interstate migration. We are open toa country. We find, starting on page 10, that it is really 100 corporate spotlight 1 regional reporttwo different regions, split betweenobtain reliable points suggestions, however, on how to the two focal dataofon local moves, along with any other types of reports New York City and Washington, DC. Published quarterly, Industry Trends provides This would like to see in future issues. you issue also contains our normal update on ship- anPublished quarterly, Industryand business overview of current trends Trends activity within the sector, and offers data on provides an overview of current trendsment volume,the datashows the in this issue is from our year-end 2011 data recover from Much of which included moving and storage industry continuing to study, so it shipment volume, both aggregate and and business activity within the sector, regional; demand factors; timing; inbound/the housing crisis of the whereas other issues have partial year to is a lot slower than the covers the entire year, last decade. Unfortunately, the recovery date information or and offers data on shipment volume, both outbound data; and market-specific trends aggregate and regional; demand factors;fall was, types willdata. time for a return to the good old days. other so it of take and outlooks. Most data is based on timing; inbound/outbound data; and information submitted confidentially to For movers seeking aside our standard practice of examining a particular region of the This time we set greener pastures, we take a look at attractive cities to do business in, AMSA by its members. and outlooks. Most market-specific trends data is based on information submittedfrom a variety of perspectives. We also review sector of the industry. Starting on page 10, country to instead concentrate on a specific inbound/outbound data for states and re- Industry Trends providesby its members. the confidentially to AMSA subscribers withgions,look at corporate moves.in the traffic flow. The housing market is alwaysnext issue. we to pinpoint imbalances We will return to the regional reports for the of interest most comprehensive look at this $16.5 billion industry available each quarter.to our industry, as it has a direct impact on the economic condition of movers.country This edition also contains inbound/outbound reports, noting areas of the Industry Trends provides subscribers Industry Trends is published quarterly by the with the most comprehensive look at this This issue ismoves in or out. Some regions are starting their recovery from to cut pro- with many being transmitted to the membership electronically, as we seek the latest American Moving & Storage Association. $12.6 billion industry available each quarter. The publication is available on a Industry Trends is published quarterly byduction times andthan the publication see individuals moving to todifferent part of the recession faster get others, and we into your hands. We plan a split distribution be- subscription basis for $550 for non- the American Moving & Storage Association.tween paper andeffort to improve and welcome your feedback on Movers are a key country in an electronic issues their economic circumstances. both the delivery members. Information provided in this The publication is available on a subscription publication cannot be reproduced withoutmethodologymigration. element in and for content suggestions for future issues. basis for $550 for nonmembers. Information the express permission of AMSA. For more provided in this publication cannot be Since home sales are so closely tied to the outlook for movers’ business, we will information, contact Scott Michael, Vice President of Military and express permission reproduced without the Government continue to report on the latest numbers in each issue. It looks like the light at the endScott Michael of AMSA. For more information, contact Relations and Advisor to the President, at Scott Michael, Vice President of Military smichael@moving.org.Vice the tunnel is finallyand Government into closer focus, and we are hoping it will be of President of Military starting to come and Government Relations and Advisor to © AMSA, 2011 bright.Relations and Advisor to the President the President, at smichael@moving.org. © AMSA, 2012 Scott Michael Vice President of Military and Government Relations and Advisor to the President This issue was designed by The YGS Group, AMSA’s new publishing partner. Interested in Advertising? Contact heather.troast@theygsgroup.com Issue 2 / 2011 Vol. 1 » INDUSTRY TRENDS1 1 2012, ➤ INDUSTRY TRENDS
  • 4. REPORT 1 shipment volume 2011 up slightly over past years A comparison of household goods 2011 over 2010, for the third consecutive Segment Snapshot shipment volume for the past year. These sectors had held fairly steady Mar 12 vs Mar 11 three years, based on AMSA several years ago as the private sector moves data studies, shows that in 2011, plummeted. The decline in military business Corporate 2.8% total household goods traffic was up 1% from could reflect carriers focusing more on the Account - NAC 2010. That is less of an increase than the 5.1% rebounding commercial sectors. Some of the that was reported for 2010 versus 2009, but it decline in GSA moves can be attributed to Private reflects a continuation of the upward growth. agencies using relocation companies as middle 3.3% Transferee - COD It is important to note that the overall men, causing their moves to be booked with shipment volume increased in 2011 while the mover as something other than a GSA the total number of movers decreased during move, but government budget cutbacks are General Services -14.7% Admin - GSA 2007-2011. According to a recent report also playing a role here. by the Moving and Storage Institute, mover 2012 is looking like a better year so far, with employees decreased 19% and the number of most sectors improving from the same period Military 6.9% independent contractors fell 31% from 2007- in 2011. For March, military shipments were 2011. leading the way, as DOD gets a head start Corporate shipments continue to lead the on the summer peak moving season. GSA Total HHG Traffic 3.7% way, up 6.6% over 2010, following a 10% continues to be down significantly, and the increase in that sector in 2010. Government corporate and individual shipper segments of shipments, including military, were down in the business are up about 3%. Source: AMSA Data Studies Shipment Volume Comparison based on pickup date Traffic Type 2011 vs. 2010 2010 vs. 2009 2009 vs. 2008 Corporate Account - NAC 6.6% 10.2% -26.7% Private Transferee - COD 0.1% 5.6% -11.1% General Services Admin - GSA -15.9% -4.6% -0.5% worst year Military -4.2% -1.6% -1.9% average year Total HHG Traffic 1.0% 5.1% -14.7% best year Source: AMSA Data Studies 2 INDUSTRY TRENDS » 2012, Vol. 1
  • 5. REPORT 2 detailed shipment summary Total shipments down 30% 2001-2011 T he 2011 shipment summary shows a significant almost as high as COD customers. decrease in both corporate (NAC) and individual After increasing across the board from 2001 to 2006, (COD) shipments over the past five years. COD average weight has fallen in 2011 for all traffic types. In the shipments dropped from 44% of the total in 2006 to corporate sector, the decline in weight has fallen even below only 39% of total household goods shipments, while NAC 2001 levels. Overall, average weight is down 6% from 2006 shipments continue to account for about 37% of all moves. and 2% below 2001 levels. Military shipments held steady at about 110,000 shipments By contrast, average distance appears to be increasing, reported by the carriers in this study, but the decline in although a closer look at the numbers indicates that military other traffic types brought the percentage of military shipments are the only ones with larger average miles. The shipments from 17% to 23%. overall increase, like the overall decline in shipment weight, From 2001 to 2006, there was very little change in the is largely a product of the increased role played by military total number of COD shipments, from 300,000 to 280,000. shipments as a share of the total market. In those years, the big story was the drop in corporate The total number of shipments is down almost 30% over account shipments, from 300,000 to about 240,000. In fact, the past decade, with almost all of that drop (26%) occurring back in 2001, account shipments made up 42% of the total, in the past six years.Shipment Summary 2011 2006 2001 # shipments avg. avg. # shipments avg. avg. # shipments avg. avg. shipments % of total weight miles shipments % of total weight miles shipments % of total weight miles Corporate Account - 185,605 37.0% 9,214 1,102 241,326 37.8% 9,819 1,116 297,220 42.4% 9,432 1,090 NAC Private Transferee - 193,909 38.7% 6,964 1,230 280,190 43.9% 7,452 1,221 300,030 42.8% 6,722 1,250 COD Military 113,463 22.6% 6,656 1,292 106,151 16.6% 6,668 1,248 94,527 13.5% 6,361 1,225 General Services 8,499 1.7% 8,024 1,025 10,633 1.7% 9,380 1,047 9,928 1.4% 8,017 1,165 Admin - GSA Total HHG 501,476 100.0% 7,709 1,195 638,300 100.0% 8,197 1,185 701,705 100.0% 7,840 1,178 TrafficSource: AMSA Data Studies 2012, Vol. 1 » INDUSTRY TRENDS 3
  • 6. REPORT 3 regional shipment information Heaviest shipments in great lakes region T he 2011 report of shipment weights by region shows Southwest leads with the heaviest COD shipments, as it also that New England has the lightest shipments on average, did three years ago. The Mid-Atlantic region boasts heavier with the Great Lakes surpassing the Mid-Atlantic Military and GSA shipments than other regions, presumably due region for the largest shipment average weights. The to a concentration of high-ranking officers and staffers in the Great Lakes still has the largest average weights for corporate Washington DC metropolitan area, hosting the nation’s capital shipments, although it has dropped below 10,000 pounds. The and the military headquarters at the Pentagon. Regional Shipment Information average shipment weights (in pounds) by region comparing 2011 to 2008 New 2011 Mid-Atlantic Great Lakes Central Southeast Southwest West Average England Corporate Account 7,916 8,050 9,725 7,662 9,050 9,258 7,723 8,483 - NAC Private Transferee 6,193 6,874 6,830 6,966 7,131 7,200 6,848 6,863 - COD General Services 6,035 6,911 6,429 6,686 6,493 6,158 6,003 6,388 Admin - GSA Military 6,184 7,049 6,414 6,958 6,527 6,172 6,201 6,501 Total 1st Proviso 6,582 7,221 7,350 7,068 7,300 7,197 6,694 7,059 Traffic New Great 2008 Mid-Atlantic Central Southeast Southwest West Average England Lakes Corporate Account 8,352 8,616 10,022 8,709 9,138 9,376 7,648 8,837 - NAC Private Transferee 6,168 7,024 6,756 7,043 6,794 7,238 6,908 6,847 - COD General Services 6,025 7,285 6,246 6,650 6,406 6,031 6,065 6,387 Admin - GSA Military 6,029 7,213 6,137 6,696 6,351 6,116 6,027 6,367 Total 1st Proviso 6,644 7,535 7,290 7,275 7,172 7,190 6,662 7,110 Traffic Source: AMSA Data Studies 4 INDUSTRY TRENDS » 2012, Vol. 1
  • 7. REPORT 3timing of movesJune still most popular month to moveI n 2011, June continued to be the most popular month to 2009 when over 13% of the moves occurred in June. The move, with 11.9% of moves picked up that month. August flattening of the volume in the peak months may have been was a close second at 11.6%. February continued to be a result of the capacity limits hit last summer. September the slowest month, down to only 5.7% of the moves in continued to be strong, with 8.8% of the moves that month,the year, as there are fewer possible dates in that month as well higher than the May numbers, as more moves got pushed backas winter doldrums. Overall, volume was spread out better later in the year. In a typical year, 52% of total move volume isthroughout the year last year, compared to previous years, like handled between May 1 and September 30.Shipments Picked Up by Monthcomparison of years 2003-2011 15% 13% 11% 9% 7% 5% 3% JAN FEB MAR APR MAY JUN JUL AUG SEPT OCT NOV DECSource: AMSA Data StudiesKEY 2003 2009 2005 2011 2007 2012, Vol. 1 » INDUSTRY TRENDS 5
  • 8. REPORT 4 inbound/outbound information Northern residents move south and west M yrtle Beach, SC and Monmouth, NJ are the most and San Jose, CA are all sizeable areas with significant numbers unbalanced markets in AMSA’s data studies for of inbound shipments headed to these growing towns. The two 2011, with 68% of Myrtle Beach’s shipments largest cities on the outbound list are suburbs of NewYork, on inbound and 69% of Monmouth’s going Long Island and across the river in New Jersey. outbound. Chattanooga,TN had the heaviest inbound shipments The outbound list is dominated by rust belt cities, with three on average for the second year in a row (9,265 lbs.). Racine,WI, from New York and two each from New Jersey and Michigan. just south of Milwaukee, had the heaviest outbound shipments The inbound cities are generally found in the South and West, (9,374 lbs.). including three from Texas and two from Florida, California, Many of the locations on these lists are relatively small in size, Colorado, and North Carolina. with few shipments each year, but Charlotte, NC, Austin,TX, 2011 Inbound and Outbound Markets Average Average Total % Average Average Total % Inbound Cities Outbound Cities Weight In Weight Out Shipments Inbound Weight In Weight Out Shipments Outbound Myrtle Beach, SC 7,949 6,978 798 68.2% Monmouth, NJ 7,072 7,970 2,479 69.3% Fort Myers, FL 6,199 6,324 2,471 67.9% Flint, MI 7,301 8,411 485 69.1% Punta Gorda, FL 6,756 6,084 443 66.6% Pine Bluff, AR 9,241 8,836 51 68.6% San Jose, CA 5,579 6,577 6,195 65.6% Nassau, NY 5,844 6,648 4,125 68.3% Wilmington, NC 7,916 7,829 1,295 65.6% Lafayette, IN 9,000 6,967 775 68.3% Chattanooga, TN 9,265 8,984 1,270 63.0% Utica, NY 7,873 6,484 466 67.6% Pueblo, CO 6,407 7,065 448 62.1% Topeka, KS 9,420 7,329 591 67.3% Odessa, TX 8,389 9,597 476 61.3% Sharon, PA 8,101 6,315 117 66.7% Fort Collins, CO 8,592 7,586 1,344 61.2% Champaign, IL 7,022 6,807 936 66.6% Sherman, TX 8,503 9,905 118 61.0% Lewiston, ME 5,048 5,793 215 66.0% Charlotte, NC 8,151 7,513 7,722 61.0% Lansing, MI 7,314 6,711 999 65.7% San Luis Obispo, 7,360 6,940 593 60.5% Vineland, NJ 5,924 7,262 86 65.1% CA Binghamton, Austin, TX 7,709 7,481 6,881 60.5% 6,860 7,399 490 64.9% NY Hagerstown, MD 5,033 4,895 1,160 60.0% Racine, WI 7,966 9,374 284 63.7% Medford, OR 7,865 8,106 556 59.5% Altoona, PA 7,251 6,836 159 63.5% Source: AMSA Data Studies 6 INDUSTRY TRENDS » 2012, Vol. 1
  • 9. REPORT 5inbound/outboundinformationMetro area rankingsW hen only the 25 highest volume metropolitan and Portland are the most heavily inbound locations on the areas are analyzed, Baltimore and Tampa have list for 2011, at 61% and 59%. Charlotte and Detroit also more shipments inbound now compared to an headed the 2006 lists. While it has fewer shipments, Chicago outbound flow five years ago. Chicago and has moved from fourth to second in total shipments, while SanDetroit are the most heavily outbound metropolitan areas, with Diego moved from eighth to fifth, switching places with its59% of the shipments headed outbound in 2011. Charlotte neighbor to the north, Los Angeles.Inbound and Outbound Shipments in Top Metro Areas 2011 2011 2006 2006 2011 Total 2006 Total Highest Volume Cities Shipments % Shipments % Shipments % Shipments % Shipments Shipments Inbound Outbound Inbound Outbound Washington, DC 32,370 54.2% 45.8% 41,906 50.0% 50.0% Chicago, IL 19,244 40.8% 59.2% 22,792 45.8% 54.2% Phoenix, AZ 18,587 53.1% 46.9% 26,450 55.8% 44.2% Atlanta, GA 18,379 49.6% 50.4% 25,308 57.8% 42.2% San Diego, CA 15,997 48.3% 51.7% 17,541 47.8% 52.2% Seattle, WA 15,708 54.1% 45.9% 20,448 58.4% 41.6% Houston, TX 14,561 57.0% 43.0% 17,422 58.8% 41.2% Los Angeles, CA 14,371 48.9% 51.1% 21,201 40.5% 59.5% Dallas, TX 14,322 58.4% 41.6% 19,014 59.2% 40.8% New York, NY 13,294 44.5% 55.5% 16,078 44.5% 55.5% Boston, MA 13,052 46.9% 53.1% 15,708 44.6% 55.4% Denver, CO 12,494 55.1% 44.9% 15,240 56.1% 43.9% Philadelphia, PA 12,356 43.3% 56.7% 15,494 45.2% 54.8% Norfolk, VA 11,625 50.2% 49.8% 16,111 51.4% 48.6% Minneapolis, MN 10,846 47.6% 52.4% 13,720 50.6% 49.4% Tampa, FL 10,244 52.7% 47.3% 14,406 46.8% 53.2% Baltimore, MD 9,771 52.0% 48.0% 12,092 42.9% 57.1% Detroit, MI 9,204 41.0% 59.0% 11,911 33.4% 66.6% San Antonio, TX 8,771 58.3% 41.7% 10,501 61.0% 39.0% St Louis, MO 8,706 43.7% 56.3% 11,104 47.4% 52.6% Las Vegas, NV 8,589 52.4% 47.6% 12,994 55.8% 44.2% Portland, OR 8,187 58.6% 41.4% 11,068 59.7% 40.3% Anaheim, CA 7,778 46.0% 54.0% 11,300 37.2% 62.8% Charlotte, NC 7,722 61.0% 39.0% 11,699 67.8% 32.2% Raleigh, NC 7,690 55.2% 44.8% 10,823 61.0% 39.0%Source: AMSA Data Studies 2012, Vol. 1 » INDUSTRY TRENDS 7
  • 10. REPORT 6 existing home sales Sales looking strong T he National Association of REALTORS® reports that up 16% from last April. If prices are finally headed upwards, that sales of existing homes increased 1.7% in 2011, after a could spur homebuyers to get off the sidelines and purchase a 3.5% drop in 2010. Sales for the month of April were home before the prices go higher. Increased prices also reduce strong, up 10% over the previous April. At this rate, the the number of homeowners who are unable to sell due to large total sales for 2011 would be significantly higher than any of the loan balances. past few years. Sales were only up 3.4% from March, as we have These numbers are for all home sales, to include condo and co- had several good months in a row. op sales in addition to the traditional single-family sales. The last The Northeast and Midwest regions are showing the largest issue of Industry Trends looked at only single-family homes, which increases compared to last year, and sales in the Northeast were make up the bulk of total sales. up 21% from March. Prices were up the most in the West region, Snapshot of Existing Home Sales (2009 - April 2012) Number of Existing Sales US Northeast Midwest South West 2009 4,340,000 590,000 980,000 1,640,000 1,130,000 2010 4,190,000 570,000 910,000 1,630,000 1,080,000 2011 4,260,000 540,000 910,000 1,680,000 1,130,000 Annual based on April 2012 4,260,000 620,000 1,030,000 1,790,000 1,180,000 April 12 vs March 12 3.4% 5.1% 1.0% 3.5% 4.4% April 12 vs April 11 10% 19.2% 14.4% 6.5% 7.3% April 12 Raw Numbers 400,000 52,000 89,000 155,000 104,000 April 12 vs March 12 11.1% 20.9% 8.5% 10.7% 9.5% Median Sales Price US Northeast Midwest South West Actual April 12 $177,400 $256,600 $141,400 $153,400 $221,700 April 12 vs April 11 10.1% 8.8% 7.4% 8.0% 15.9% Source: National Association of REALTORS® 8 INDUSTRY TRENDS » 2012, Vol. 1
  • 11. REPORT 7 new home sales Sales up 16% 1st Q 2012T he US Census reported that sales of new homes in homes being more likely to see a moving van parked in the first quarter of 2012 increased 16% over the first front. New home sales in the over $750,000 category were quarter of 2011. This was the second-best quarter the brightest spot in the quarter, up 52% from the previous out of the last seven, and with warmer weather, the year. Homes of that size are also more likely to have lots of second quarter of 2012 should be even better for home sales. furniture, thus increasing the weight of the move. The only The cost of the home also factors into the purchaser’s category to see a decrease from the same quarter of the decision to hire a professional mover, with higher-cost previous year was homes between $500,000 and $750,000. Number of New Houses Sold (Quarterly, 2010-2012) 100000 90000 80000NEW HOME SALES 70000 60000 40000 20000 20000 0 1st Q 2nd Q 3rd Q 4th Q 1st Q 2nd Q 3rd Q 4th Q 1st Q 2010 2011 2012 Source: US Census New Houses Sold by Price Range Under $125,000 $150,000 $200,000 $250,000 $300,000 $400,000 $500,000 $750,000 Period   to to to to to to to $125,000 $149,999 $199,999 $249,999 $299,999 $399,999 $499,999 $749,999 and over 4th Qtr 5,707 7,000 16,728 14,185 8,995 10,042 4,378 3,235 1,462 2011 1st Qtr 5,489 7,892 17,198 16,242 11,471 11,978 7,148 3,725 1,622 2012 Source: AMSA Data Studies 1st Qtr 2012 vs. 1st Qtr 30.9% 5.8% 11.2% 15.8% 36.9% -6.6% 3.9% -13.8% 52.2% 2011 Source: US Census 2012, Vol. 1 » INDUSTRY TRENDS 9
  • 12. REPORT 8 spotlight on corporate Sector has been leading recovery D uring the last few years, the main The Worldwide ERC®, the workforce Average Cost bright spot for the moving and mobility association, represents many of the of Corporate storage industry has been the companies who hire movers, as well as movers Household Goods Corporate relocation sector, defined and other service providers involved with a Shipment as shipments where a company is paying the relocation. The organization estimates their mover directly for the moving costs of their members relocate 216,143 employees within the 2010 $12,230 employees. Corporate moves tend to be US each year. Of the 216,143, approximately executive level employees, where the company 1/3 are new hires (77,811) and 2/3 are current 2009 $11,900 has an on-going contract with the mover and employees (138,332). 38% (82,134) are expects top-level service in return for repeat homeowners and 62% (134,009) are renters. 2007 $11,680 business. The table at right shows the average As shown on the next page, corporate moves 2006 $10,342 cost of this service. are heavily weighted to the summer months, The chart below looks at the weight of with over 13% picking up in June last year, and 2005 $9,514 each shipment, sorted by category. Military July and August closely behind. The dropoff was shipments are more common in the under rapid, with corporate being the slowest segment 2004 $10,387 2,000 pound category, but the largest grouping, in September and May, on the shoulder of the from 2,000 to 4,000 pounds, has the highest summer peak. February is the slowest month for 2003 $9,745 percentage of corporate moves. Corporate all sectors. As noted earlier, military moves were 2002 $9,658 moves are also most common from 12,000 to much more evenly distributed last year than in 18,000 pounds, which is well above the average the past, causing their line to be flatter than the Source:Worldwide ERC® size for all customers. other sectors. Distribution of Weight of Corporate Shipments Corporate Individual Versus Other Shipments Military 30% 25% 20% 15% 10% 5% 0% 0-2K 2-4K 4-6K 6-8K 8-10K 10-12K 12-14K 14-16K 16-18K 18K+ Source: AMSA Data Studies 10 INDUSTRY TRENDS » 2012, Vol. 1
  • 13. REPORT 8...continued Like military moves, corporate moves are corporate sector is the recent use of lump Top Outboundconcentrated in certain communities with a sum reimbursements for employees, rather Corporate Markets bystrong corporate presence of multi-location than direct payments to the mover. Under Percentagecompanies. Lafayette, Indiana had nearly the lump sum scenario, the relocating62% of their moves in the corporate sector, employee is given a sum of money and told Lafayette, IN 61.6%followed closely by Fayetteville, Arkansas, to hire their own mover, or move themselves.which includes the nearby headquarters of As a result, these moves are booked with Fayetteville, AR 61.0%Walmart. movers and look just like an individual move. Provo, UT 58.2% The top states by percentage of corporate They appear in our statistics as individualmoves are Indiana, Iowa, Minnesota, Arkansas, moves, not corporate moves, because the Brazoria, TX 58.1%and Ohio, along with Wisconsin, Michigan, mover doesn’t know that the employee isUtah, Illinois, and Massachusetts. Only being reimbursed. A study by Atlas Van Richland, WA 57.8%Indiana had more than 50% of their moves Lines found that lump sum payments havein the corporate area. By sheer number of increased from about 30% five years ago to Jersey City, NJ 57.8%moves, Chicago, Washington, DC, Atlanta, over 50%, especially for new hires, as shown Baton Rouge, LA 57.1%Houston, and Boston are the largest on the next page.metropolitan areas for corporate moving, Looking to the future, companies are Bloomington, IN 56.8%followed by Phoenix, New York, Los Angeles, expecting that the improved economicSeattle, and Dallas. conditions will result in a continued increase Birmingham, AL 56.7% One challenge with looking at the in the number of corporate moves, although Benton Harbor, MI 56.4%Timing of Corporate Moves Compared All US 34.3%to Other Sectors Source: AMSA Data Studies 15% 13% 11% 9% 7% 5% 3% JAN FEB MAR APR MAY JUN JUL AUG SEPT OCT NOV DECSource: AMSA Data StudiesKEY Corporate Individual Military 2012, Vol. 1 » INDUSTRY TRENDS 11
  • 14. REPORT 8 ...continued the percentage suggesting a decrease in future moves is growing from the last time that question Lump Sum Reimbursement was asked. The percentage projecting an increase is also down from the previous three surveys done 60% by Worldwide ERC in the chart below. 50% These same companies also project more 40% employees will be given temporary assignments in 30% lieu of relocating for a new job. This could result in the employee using temporary quarters or a 20% hotel, rather than moving to the new location, or 10% it could result in smaller size moves if they leave 0% much of their furniture behind. 2007 2008 2009 2010 2011 2012 The corporate sector has been an important one Source: Atlas Corporate Relocation Study for the moving industry for years, and we expect it to continue to be a strong source of business for KEY Transferees New Hires movers in the years to come. Do you anticipate Do you anticipate more the number of current temporary assignments in employee moves will lieu of relocations? increase? 100% 90% OCT 2011 80% 70% significant increase 20% 60% 50% somewhat increase 35% 40% 30% about the same 40% 20% 10% somewhat decrease 5% 0% OCT 2011 MAY 2011 OCT 2010 MAY 2010 Source:Worldwide ERC ® significant decrease 0% significant increase somewhat increase Source:Worldwide ERC ® about the same somewhat decrease significant decrease 12 INDUSTRY TRENDS » 2012, Vol. 1
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  • 16. 4 INDUSTRY TRENDS » 2012, Vol. 1