With the recent crisis, it’s more important than ever to keep your business stable and strong. We’ve seen drastic changes in how people travel, spend money, and behave overall. And that forces us to assess how we do business. And to focus our efforts on what makes the most sense. We’ve seen how virtual conferences were a solution to one kind of a problem. But, it’s also important to adjust your business strategy overall if you want to grow. One metric that can be quite useful is the most profitable relocation types and sizes in 2020. And while statistics aren’t everything it provides a unique insight into the moving industry in general.
How knowing the most profitable relocation types and sizes in 2020 can help you?
Before we dive into statistics and start looking at all the types and sizes, it’s important to reflect on how exactly it can benefit you. It’s often said that information is the most valuable commodity. So being informed on the latest moving industry news can mean the difference between profitability and failure. With the proper insight, you will be able to focus your effort on what makes the most sense. COVID 19 has drastically changed our entire way of life. So it’s important to adjust and find ways not only to survive but to thrive. And with our data about the most profitable relocation types and sizes, you will be able to better focus on your business.
Moving industry statistics in general
The moving industry remains one of the most dynamic domestic industries. The average American moves more than 11 times in their lifetime. Last year we’ve seen nearly 31 million people move across the entire country. Taking into account the average size of the household of 2.3, that makes for more than 15 million households that have relocated. That makes for a very active market and a very live industry.
With the COVID 19 crisis in full swing throughout the second half of 2020, a lot of industries have suffered. From tourism to travel. And we at Verified Movers have been in the center of it all, keeping track of the changes and their impact on the moving industry. Fortunately, the moving industry has been declared as an essential service. And for a good reason. Especially with people from the urban centers moving to rural, less crowded parts of the country. Which allowed it to keep growing and even thriving in 2020.
What are the most common relocation types in 2020?
Residential relocations are still the most common relocation types in the US. With individual and family relocations making up for the bulk of it, with around 51%. That’s an increase of 7% from last years’ 44%. Followed by corporate moves at 29%, and military and government movers making up 18% and 2% respectively. That means that the average American family remains the top customers. Out of those relocations, the most profitable types and sizes in the percentage of participation are:
- Single bedroom home relocation at 31.61%
- Two-bedroom home relocation at 20.32%
- Three bedroom home relocation at 18.47%
- Partial relocations at 13.43%
- Studio moves with 10.37
- And four-bedroom and larger relocations making up the remaining 5.8%
This data has been gathered from various databases maintained by various US-based organizations including AMSA and United Van Lines.
Impact of this data on the most profitable relocation types and sizes
Compared to the last year, there are some important changes. And they can greatly impact the most profitable relocation types and sizes in 2020. As well as post-crisis recovery for the moving industry. The most noticeable ones are the individual relocation type. In 2019 this relocation type made 44% of overall relocations. But this year it has risen to 51%. Showing a growing trend. We also see an increase in smaller-scale relocations, with 1-bedroom apartment relocations being the most common type.
There’s a rise in smaller individual relocations
With all the changes that have been happening in this turbulent year, we see a clear trend in individual and family relocations. And most notably, we see a trend of people moving away from smaller apartments. While downsizing was probably the first wave of changes at the beginning of the crisis, upsizing might very-well be the second one. As the economy stabilizes, people feel more relaxed with their savings. And as they spend more time indoors they start thinking about moving to more comfortable accommodation.
What does this tell us?
On the surface, this data might seem like something obvious. But, under the surface, we are beginning to see an interesting trend. One probably impacted by the COVID 19 crisis. A lot of people are seeking shelter with either friends or family out of the urban areas. Moving to a different home has been a constant trend throughout the year. And that definitely makes residential relocation from smaller apartments the most profitable relocation types and sizes in 2020. So focusing both your marketing and your moving capacity towards those groups of people is definitely worth your time.
Focusing on the most profitable relocation types and sizes in 2020
While the moving industry wasn’t hit as hard as some other industries in 2020, it’s still important to stay on top of the crisis. Moving companies responded to coronavirus in various ways. Mostly successfully. But, we are still uncertain how long it is going to last. Or what impacts it will have on the economy in the coming years. It’s important to focus your efforts and spending on what is the most profitable. And the most profitable relocation types and sizes in 2020 are individual and family relocation from one and two-bedroom apartments. If the crisis continues throughout 2021 it’s reasonable to assume that we will see more and more people move cross country to less populated areas.