Knowing where the future construction projects are going to be and taking advantage of them is the key to growing a successful business. Whether you are a subcontractor or an architect, if you are bidding on construction projects, you need to know not only what sectors of the construction industry are growing, but also where which sectors are slowing down and should be avoided. Your business plan should focus in developing new business in the growth sectors and efforts should be made to network and grow contacts in those fields.
Construction Forecasts for 2013 and 2014
According to the Consensus Construction Forecast of the American Association of Architecture the overall nonresidential construction sector is set to grow 5% in 2013 and 7.2% in 2014. Leading the way in the commercial/industrial sector is the hotel industry with a projected of growth of 15.7% this year and 12.6% in 2014. The Institutional sector predictions show the strong growth in health care facilities with a 4.4% increase in 2013 and a 4.8% increase in 2014.
The AIA Consensus panel is conducted twice annually and is the average forecast from the Associated Builders and Contractors, FMI, IHS Global Insight, McGraw-Hill Construction, Moody’s Economy.com, Reed’s Construction Data and Wells Fargo Securities.
Shifting Your Business into Growth Sectors
Taking advantage of growth sectors does not mean changing your business overnight, you should make gradual changes to slowly shift your business in the direction to take advantage of areas of predicted growth.
One of the most important things you can do is to grow your network to include these industries. You should spend time developing your Linkedin contacts to include contacts from growth industries and start participating in discussions with related groups. You should also use Google+ and join circles and communities that focus on these industries.
If you belong to trade associations, you should educate yourself on key contacts in these fields and build relationships with them. You should also seek and join specialized trade associations in fields you want to pursue such as the Association of Hospital Engineers or the National Association of Church Design Builders.
If there is a sector that you are breaking into, it is important to stay on top of industry news. Online news services such as Google News and Yahoo News make it easy to stay on top of industry specific news. A simple keyword search can allow you to customize a news page or have email alerts sent directly to you.