Fastest Growing Industries in the US in 2020
Posted on 23rd Oct 2020
1. Online Grocery Sales
2019-2020 Revenue Growth: 74.5%
The Online Grocery Sales industry has grown rapidly as online shopping has increased, and thus, industry services have substantially improved. Over the five years to 2020, domestic consumers' affinity for the internet has driven industry growth. Broadband connections and per capita disposable income have increased, aiding robust revenue increases. Therefore, industry revenue has grown at an estimated annualized rate of 24.1% to $27.0 billion over the five years to 2020. Moreover, due to intensified consumer health concerns amid the COVID-19 (coronavirus) pandemic in 2020, IBISWorld expects revenue to increase 72.7% in 2020 alone as consumers opt for contactless delivery offered
2. Cough & Cold Medicine Manufacturing OTC
2019-2020 Revenue Growth: 68.8%
Operators in the Cough and Cold Medicine Manufacturing OTC industry benefited from an increasing number of consumers purchasing over-the-counter (OTC) medications to address ailments with at-home treatments. In the United States, a reported 81.0% of adults use OTC medications as the first line of defense against minor ailments, according to data from the Consumer Healthcare Products Association (CHPA). As such, the onset of the COVID-19 (coronavirus) outbreak has been the largest proponent for industry demand during the five-year period to 2020. In 2020 alone, IBISWorld expects industry revenue to increase a substantial 65.7%, as panicked consumers stockpile industry products to... Learn More
3. 3D Printing & Rapid Prototyping Services
2019-2020 Revenue Growth: 28.8%
The 3D Printing and Rapid Prototyping Services industry has grown quickly over the five years to 2020, driven by rapid technological developments, lower costs and new applications for 3D printing technology. While the falling price of 3D printing machines encouraged many companies to purchase their own machines and bypass industry services, demand has nonetheless flourished. Over the five years to 2020, industry revenue is expected to grow at an annualized rate of 27.3% to $309.9 million.Industry performance is closely tied to research and development expenditure within the manufacturing sector. Most companies use 3D printing to create prototypes because 3D printing is a highly cost-effective process. Developing a... Learn More
4. Online Pet Food & Pet Supply Sales
2019-2020 Revenue Growth: 28.5%
The Online Pet Food and Pet Supply Sales industry retails pet-related items ranging from dog treats to bird cages to cat carriers. Rising pet ownership and the popularity of e-commerce have driven revenue growth for the industry over the five years to 2020. Additionally, increases in consumer spending enabled shoppers to splurge on premium-priced goods for their furry friends during the period, further driving revenue growth. Over the five years to 2020, industry revenue has expanded at an annualized rate of 15.5% to $11.1 billion. This includes expected growth of 27.2% in 2020. Despite lower consumer spending levels, strong growth... Learn More
5. Hydraulic Fracturing Services
2019-2020 Revenue Growth: 27.8%
Hydraulic fracturing, commonly known as fracking, is a specialized technique used to extract crude oil and natural gas from otherwise inaccessible shale formations. Combined with horizontal drilling, hydraulic fracturing has been responsible for rapid growth in US petroleum and natural gas production over the five years to 2019. Earlier during the five-year period, the Oil Drilling and Gas Extraction industry (IBISWorld report 21111) invested substantial capital in contracting the Hydraulic Fracturing Services industry to stimulate oil and gas well production. As a result, industry revenue grew 43.9% in 2013 and 25.9% in 2014.
However, growth in domestic gas and oil production,... Learn More
6. Autonomous Underwater Vehicle Manufacturing
2019-2020 Revenue Growth: 26.7%
The Autonomous Underwater Vehicle (AUV) Manufacturing industry has experienced robust growth over the past five years, with industry revenue estimated to surge at an annualized rate of 26.5% to $885.4 million. First developed in the 1960s, AUVs are underwater vessels programmed to perform a set task; AUVs can travel independently with their own power source. The industry generates the majority of its revenue from military and security markets for surveillance, reconnaissance, mine countermeasures and antisubmarine warfare. Many AUVs are largely still developmental products, and the US military's focus on the product is indicative of future commercial growth potential. In fact,... Learn More
7. Stock & Commodity Exchanges in the US
2019-2020 Revenue Growth: 26.3%
The Stock and Commodity Exchanges industry has remained a vital part of the Finance and Insurance sector (IBISWorld report 52), especially as trade volumes have increased over the five years to 2020. Industry operators act as intermediaries and provide physical trading floors or electronic marketplaces where buyers and sellers arrange trades in securities, commodities and related contracts. Exchanges facilitate the transfer of assets between market participants in different locations and with various timeframes.
Total trade volumes have increased over the five years to 2020, which has helped industry revenue grow during the period. For example, the daily trade volume processed by... Learn More
8. Medical & Recreational Marijuana Growing
2019-2020 Revenue Growth: 25.2%
The Medical and Recreational Marijuana Growing industry, which includes both employer and nonemployer establishments that grow marijuana for medical and recreational use, flourished over the five years to 2019. Watershed legalization victories over recent years, most notably during the 2016 election cycle, proved that the cannabis industry is one of the fastest growing industries in the US. In 2016 alone, eight states passed initiatives to legalize marijuana. Consumer attitudes are also accelerating legalization efforts at the state level. Gallup reports that an estimated 80.0% of US citizens approve of legal access to medical marijuana, while 60.0% approve of full adult... Learn More
9. Thermometer Manufacturing
2019-2020 Revenue Growth: 23.7%
The Thermometer Manufacturing industry has experienced significant growth over the past five years; however, the onset of the COVID-19 (coronavirus) pandemic in 2020 is expected to precipitate the industry's largest annual revenue growth in recent decades. Overall, IBISWorld expects total industry revenue to increase at an annualized rate of 7.2% during the five-year period, totaling $164.0 million in 2020. Similarly, industry profit, measured as earnings before interest and taxes, is expected to rise in line with demand. In general, industry demand growth has been influenced by growth in the broader healthcare sector, benefiting purchases for clinical thermometer products. Similarly, growth... Learn More
10. Massage Franchises
2019-2020 Revenue Growth: 23.6%
The Massage Franchises industry includes franchised outlets that provide therapeutic and recreational massage services. The popularity of massage services has surged over the five years to 2020 as consumers increasingly spend on luxury goods. Furthermore, new research touts the health benefits of massages, benefiting the industry. The improving economic environment and increasing visibility of massage franchises are expected to encourage strong growth in the Massage Franchises industry during the period. While the majority of massage therapists are sole proprietors, the popularity of massage franchises has grown over the past decade.