#Canada #Toronto #Home Service #Jobber #economic report

Home Service Sector Resilience

The home service industry has shown remarkable resilience in the fourth quarter of 2025, marking a shift towards stabilization as we head into 2026. Jobber, a prominent software provider for blue-collar businesses, released its latest Home Service Economic Report, providing a comprehensive analysis of key trends and economic indicators that are shaping this critical sector.

2025: A Year in Review

The report, grounded in proprietary data from over 350,000 service professionals across diverse fields such as landscaping, cleaning, contracting, and construction, reveals a significant evolution in the home service landscape. Even though the demand for services varied earlier in the fourth quarter, an uptick in economic conditions towards the year's end contributed to a rebound, leading to an overall growth expectation for 2026.

Despite facing economic uncertainty, several factors played a role in maintaining robust demand. As inflation eased and the Federal Reserve began to lower interest rates in 2025, homeowners experienced some financial relief. However, they remained discerning in their spending habits. The predominant drivers of demand continued to be repairs, maintenance, and upscale projects, indicating a shift in consumer behavior towards value.

“Q4 2025 signified a clear transition towards stability for businesses in the home service industry,” stated Sam Pillar, CEO and co-founder of Jobber. “While there wasn't an overwhelming surge in demand, those businesses that priced their services strategically and executed their operations effectively ended the year on a positive note. This suggests that growth in 2026 will hinge on businesses' operational capabilities, not merely the demand aspect.”

Insights from the Report

A deeper dive into the report reveals crucial insights regarding the industry's performance:
1. December Stabilization: Following inconsistent demand in October and November, December saw a significant recovery, which positively impacted revenues across the main service sectors.
2. Pricing Power: Even with erratic job volumes, the sector recorded revenue growth due to elevated average invoice sizes and a favorable job mix. This pricing strategy effectively counterbalanced fluctuations in demand.
3. Housing Market Recovery: Improvements in the housing market towards the end of 2025, bolstered by lower mortgage rates and increased year-end home sales, led to heightened demand for move-related services. However, limited housing inventory kept many homeowners focused on necessary maintenance and selective improvements.
4. Cautious Consumer Behavior: As we enter 2026, consumers remain vigilant with their spending. Although inflation is easing and initial rate cuts are observed, the pressure of affordability significantly influences consumer behavior, marking operational efficiency and customer retention as paramount.

Sector Highlights

The report analyzed various segments within the home service category, showcasing the stabilization and potential for growth:

• - Green Services: Lawn care and landscaping businesses reported a 3% increase in scheduled jobs year-over-year, while December witnessed a noteworthy 19% spike in job volume. A rise in average invoice sizes contributed to a remarkable 10% increase in revenues.
• - Cleaning Services: Residential and commercial cleaning experiences portrayed steady growth, with job numbers climbing by 2% and median revenue by 5%, thanks to an emphasis on higher-value projects.
• - Contracting: Although job volume remained flat for contractors, larger and higher-ticket jobs, particularly in December, triggered a 4% year-over-year increase in revenue.
• - Construction: The construction sector faced lower job volumes, but larger-scale projects helped achieve a 5% growth in revenue, bolstered by a 4% rise in average invoice sizes.

Looking Forward

Abheek Dhawan, Senior Vice President of Strategy and Analytics at Jobber, forecasts a gradual market improvement in 2026, with slight gains anticipated in housing turnover and enduring demand for repairs and maintenance services. “The data suggests a transition towards a more balanced environment in 2026, where steady fundamentals will govern growth rather than volatility,” Dhawan noted.

To explore the complete findings, you can download the full Jobber Home Service Economic Report for 2025 as well as the outlook for 2026 from their website.

About Jobber

Jobber positions itself as a pivotal platform that places blue-collar businesses at the forefront, facilitating streamlined and automated operations to foster efficiency and profitability. With more than 350,000 service professionals across over 50 industries leveraging Jobber, it serves an impressive portfolio, managing operations for over 27 million properties globally. Jobber consistently earns accolades as one of Canada's fast-growing and innovative companies, recognized by major industry publications.