Stewart Enterprises - Competitors

Stewart Enterprises Competition

Now Viewing Stewart Enterprises's competition in: Funeral Operations (primary)

Recent Developments

Several Factors Drive Demand for Cremation - Cost isn't the only factor driving increasing demand for cremation, according to the National Funeral Directors Association. Some religions that once forbade cremation now permit it, and environmental concerns, such as the amount of space taken up by cemeteries, are also factors. Between 30 and 35 percent of families at one New Jersey funeral home now request cremations, according to facility's director, who expects that figure to rise to 45 percent.

Legislation Would Increase Regulation of Crematory Operators - Legislation passed in Mississippi would increase regulation of crematory operations and enforcement efforts in the state. States have done too little to regulate the industry as demand for cremation increases, according to the Cremation Association of North America. Only 12 states require crematory operators to become certified before going into business.

Accused Body Parts Thief Pleads Guilty - Michael Mastromarino, a former dentist charged with illegally harvesting and selling parts from bodies received from funeral homes, pled guilty in March 2008, and is expected to receive an 18- to 54-year jail sentence. Unsuspecting doctors across the US and Canada used the body parts in disk replacements, knee operations, dental implants, and a variety of other surgical procedures.

Competitive Landscape

Demand for services is driven mainly by the number of older Americans. The profitability of individual companies depends on good marketing and efficient operations because local demand is relatively fixed. The main advantage of large companies is their ability to share resources (like cars, personnel, and marketing costs) among clusters of funeral homes. Small operators can compete successfully with national companies because the funeral business is intensely local. The industry is fairly labor-intensive: annual revenue per employee is $100,000.

Full Industry Overview For Funeral Operations

Funeral Operations Industry Forecast

from Hoover's/D&B subsidiary First Research

US personal consumption expenditures for funeral and burial expenses are forecast to grow at an annual compounded rate of 2.9 percent between 2007 and 2012.

Flat Consumer Spending on Funeral & Burial Expenses

First Research forecasts are based on INFORUM forecasts that are licensed from the Interindustry Economic Research Fund, Inc. (IERF) in College Park, MD. INFORUM's "interindustry-macro" approach to modeling the economy captures the links between industries and the aggregate economy.