The objective of any good business owner is to provide a great service at a reasonable price. Some people ultimately hope to grow and expand reaching across states and even countries, while others prefer the intimate relationship of a small business. However you run your business is entirely up to you, but growth in the industry you’re dealing in is almost always a good thing for all involved.
Despite the struggles that many facets of the U.S. economy continue to go through, the heating, ventilation, and air conditioning (HVAC) industry is steadily growing. According to Achrnews.com, a new report has come out that indicates the industry grew by about 5.7% in 2015.
The latest report comes from the not-for-profit international industry organization, Heating, Air-conditioning, and Refrigeration Distributors International (HARDI). Compared to the previous two years, the rate of growth did slow slightly for the HVAC industry (6.1% in 2014 and 7.3% in 2013), but the slight decrease in growth rate shouldn’t be a cause for concern.
“The core economic drivers for HARDI members remain positive, but a softer macroeconomic environment the first half of 2016 year means they will have to work hard to achieve aggressive growth targets,” said Connor Lokar, senior economist, HARDI.
New innovations in the HVAC industry are certainly helping to spur this production and sales. For example, the lowest efficiency allowed by law for new gas furnaces is 78%. However, some new models can reach levels of near-total efficiency (97%). Upgrading from an older furnace that provides only 56% to 90% can save about 1.5 tons of carbon dioxide emissions each year if you heat with gas, or 2.5 tons if you heat with oil.
Even the president of one of the biggest economic trends, information, and analysis firms, ITR Economics, believes that this could be a particularly strong bounce-back year for the HVAC industry.
“A strong consumer sector will carry the economy and provide HARDI members with willing-and-able customers on the residential side of the business,” said Alan Beaulieu. “U.S. housing starts are on the rise, and U.S. retail sales for automobiles are strong. These indicators help confirm our expectations of overall consumer strength and signal that consumers are willing to buy big-ticket items.”
Air conditioners alone can be found in approximately two-thirds of all U.S. homes and with better, more efficient models being created every year, there will always be a reason to think about upgrading.