Architectural Industry
Insights from D&B Hoovers

Industry Overview

Description

Companies in this industry plan and design residential, institutional, leisure, and industrial buildings and spaces, as well as landscapes. Prominent firms include US-based AECOM, Gensler, HDR, and Perkins + Will, as well as IBI (Canada), Nikken Sekkei (Japan), and Woods Bagot (Australia).

Competitive Landscape

Demand for architectural services depends heavily on the volume of residential and commercial construction. Because most costs are fixed, profitability depends on a constant inflow of work. Architectural firms are often small because there are few economies of scale in the industry: architectural design costs for a large company are typically greater than for a small company. The industry is highly fragmented: the 50 largest US firms account for about 20% of revenue.

Products, Operations & Technology

Building-related architectural services account for about 90% of industry revenue; landscape architecture accounts for about 10%. Among building-related services, nonresidential buildings account for about 75% of industry revenue. Residential buildings account for about 15%.

Geographic Segmentation

See where the Architectural Services industry is concentrated geographically and research companies by financials and key corporate data.

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