Computer & Office Equipment Repair

Industry Profile Report

Dive Deep into the industry with a 25+ page industry report (pdf format) including the following chapters

Industry Overview Current Conditions, Industry Structure, How Firms Operate, Industry Trends, Credit Underwriting & Risks, and Industry Forecast.

Call Preparation Call Prep Questions, Industry Terms, and Weblinks.

Financial Insights Working Capital, Capital Financing, Business Valuation, and Financial Benchmarks.

Industry Profile Excerpts

Industry Overview

The 4,500 industry firms in the US repair and maintain computers and office machinery, including terminals, storage devices, network devices, printers, and copiers. Computer and office equipment repair providers typically operate as third-party maintenance (TPM) providers. They may serve a broad range of customers or specialize in a particular vertical, such as manufacturing or healthcare.

Competition from Alternative Sources

Original equipment manufacturers (OEM) still dominate the computer and office equipment maintenance and repair market.

Replace Versus Repair

Falling prices characterize the information technology industry, and, in many cases, customers may choose to replace older hardware rather than repair and maintain aging technology.

Industry size & Structure

The average computer and office equipment repair firm operates out of a single location, employs fewer than 10 workers, and generates about $1 million annually.

    • The computer and office equipment repair industry consists of about 4,500 firms that employ about 30,200 workers and generate about $4.7 billion annually.
    • The industry is concentrated at the top and fragmented at the bottom; the top 50 companies account for about 45% of industry revenue. According to Gartner, a limited number of firms generate more than $100 million in TPM revenue, and most providers generate less than $10 million from TPM.
    • Large firms, which include SMS/Curvature, Maintech, Park Place Technologies, and Service Express, may have international operations.
    • TPMs maintain more than 10 million data center/network storage devices, according to Gartner.
                                Industry Forecast
                                Computer & Office Equipment Repair Industry Growth
                                Source: Vertical IQ and Inforum

                                Recent Developments

                                Mar 18, 2024 - Weak Sales Growth Expected
                                • Computer and office equipment repair and maintenance industry sales are forecast to grow at a 1.31% compounded annual rate from 2022 to 2027, slower than the growth of the overall economy, according to Inforum and the Interindustry Economic Research Fund, Inc. Industry labor costs increased during 2023 as employment was unchanged during the period while average wages for nonsupervisory employees increased significantly, according to the US Bureau of Labor Statistics.
                                • The US office vacancy rate rose to a record-breaking 19.6% in the fourth quarter of 2023, according to Moody’s Analytics. Computer and office equipment repair firms may be negatively impacted by an increasing office vacancy rate. More US office space is currently empty than at any point since 1979. Increasing office vacancy may negatively impact sales of computer and office equipment. Suburban office spaces fared better than those in cities due to their proximity to residential communities and, in some cases, shorter commute times for employees.
                                • More large firms are likely to face high risk of insolvency during 2024 due to the “double whammy” of high borrowing costs and pressure on consumer budgets, according to insolvency experts including Rob Hornby, partner and managing director of AlixPartners. Computer and office equipment repair firms may be negatively impacted as a result. The director at the restructuring and advisory specialist said that typically high-growth areas, such as technology, could see turbulence as financing comes under increased pressure. Hornby and Richard Fleming, also of AlixPartners, both said that they expected more firms to use restructuring plans this year in an effort to avoid full insolvency administrations.
                                • Workplace occupancy, an indicator of demand for computer and office equipment repair, was 51.8% for the seven-day period ending on February 21, up from 50.4% for the seven-day period ending on February 14, according to data gathered from swipes of access control cards in buildings with security systems provided by Kastle Systems. Occupancy has rarely hit the 50% mark since the early days of the coronavirus pandemic despite attempts by many organizations to bring employees back. The Austin, TX, metropolitan area had the highest occupancy for the seven-day period ending on February 21 at 64.9%. The Philadelphia, PA, metropolitan area trailed all others tracked at 43.3%.
                                Get A Demo

                                Vertical IQ’s Industry Intelligence Platform

                                See for yourself why over 60,000 users trust Vertical IQ for their industry research and call preparation needs. Our easy-to-digest industry insights save call preparation time and help differentiate you from the competition.

                                Build valuable, lasting relationships by having smarter conversations -
                                check out Vertical IQ today.

                                Request A Demo