Dump Truck Services
The Dump Truck Services industry exhibits a low level of market share concentration, with the top four companies generating less than 5.0% in industry revenue. This is due to a combination of low barriers to entry and transportation costs incentivizing companies to operate within a small geographic radius. However, market share concentration may increase as operators seek to lower costs and take advantage of economies of scale.
Low barriers to entry
This industry has low barriers to entry, with the primary barrier being the ability to purchase a dump truck. Many operators purchase dump trucks through financing, a process which has been made easier by record low interest rates during the last five years.
Many companies based locally to limit transportation costs
Serving a larger geographic area increases transportation and fuel costs for industry operators. As a result, many smaller operators choose to operate within a small local area to keep transportation costs at a manageable level.
Some consolidation expected as companies seek to lower costs
Although this industry is likely to remain fragmented, some consolidation is expected to take place, as companies seek to lower costs by taking advantage of economies of scale. Furthermore, consolidation can allow companies to expand their geographic regions by increasing their stock of dump trucks and pooling together knowledge of different regions.
The Dump Truck Services industry primarily provides dump trucking services of material, such as sand, gravel or dirt. Operators offer their services within cities, towns or other local areas, including adjoining towns and suburban areas.
This report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecasts, growth rates and an analysis of the industry key players and their market shares.
Learn how to effectively navigate the market research process to help guide your organization on the journey to success.Download eBook