Industry Analysis & Industry Trends
Demand for Funeral Homes industry services does not strongly fluctuate with the business cycle and is more a product of demographic factors and consumer preferences. Canada's growing and aging population has resulted in the number of deaths trending upward over the past five years, boosting demand for funeral services. However, traditional burials are costly and a growing number of Canadians are opting for cremations to alleviate the financial pressure of honouring their loved ones. During the five years to 2021, demographic and societal factors will continue to drive industry growth. As more baby boomers (individuals born between 1946 and 1964) become seniors, the number of adults aged 65 and older is anticipated to increase... purchase to read more
Industry Report - Industry Investment Chapter
The Funeral Homes industry has a low level of capital intensity. For every dollar spent on wages, operators allocate about $0.09 toward capital investment. Funeral homes must purchase buildings, motor vehicles and equipment such as mortuary cots and cot covers, casket display racks, casket carriers, chairs, devotional stands, casket biers, operating tables, body and casket lifts, tents and vault carts. The appearance of a funeral home is an important factor in attracting customers, leading operators to invest a significant amount of money in maintaining their property.
In addition to capital expenses, funeral homes must invest heavily in their staff... purchase to read more