IBISWorld - Industry Market Research, Reports, and Statistics (2024)

1.

Profit Margin 2024: 51.5%

Stock and commodity exchanges have remained a vital part of the Finance and Insurance sector (IBISWorld report 52). Exchanges act as intermediaries and provide physical trading floors or electronic marketplaces where buyers and sellers arrange trades in securities, commodities and related contracts. Exchanges facilitate the transfer of assets between market participants in different locations and with various timeframes.

The industry has performed well over the past five years. Wage growth was high and unemployment was low in the years preceding the COVID-19 pandemic, increasing corporate profit and the savings rate. Higher corporate profit encouraged companies to invest in the stock market,... Learn More

2.

Profit Margin 2024: 48.9%

The industry consists of funds that raise capital to invest in various asset classes. Industry assets have become increasingly integral to institutional investors' portfolios and the larger asset-management market in recent years. Institutional investors are individuals or organizations that trade securities in such substantial volumes that they qualify for lower commissions and fewer protective regulations, since it's assumed that they're knowledgeable enough to protect themselves. Increasing demand from institutional investors has contributed to the surge in the industry's assets under management (AUM) and revenue during the current period.

In recent years, the industry has continued to enmesh itself more deeply within... Learn More

3.

Profit Margin 2024: 47.8%

Cigarette and tobacco manufacturers produce various tobacco products, including cigarettes, cigars and smokeless tobacco. The industry excludes electronic cigarettes. The industry performs countercyclically to the business cycle. In periods of economic downturn, increased unemployment and decreased consumer confidence, smoking and tobacco usage increases as people find ways to self-medicate and ease stress. The COVID-19 pandemic has significantly increased tobacco consumption. Lockdown mandates forced establishments to close to curtail the virus's spread, causing rising unemployment. Enhanced unemployment benefits and stimulus checks also contributed to disposable income, increasing revenue. Consumers couldn't spend money in many other sectors of the economy, resulting in... Learn More

4. Land Leasing in the US

Profit Margin 2024: 47.4%

Land leasing companies rent land for residential or commercial use, often for manufactured homes. Leasers range from individuals with small plots to large companies that manage entire communities. Manufactured homes offer a more affordable alternative to traditional on-site housing. In the past five years, land leasing revenue grew at a CAGR of 2.0% but will fall 5.2% to $17.7 billion in 2023. Profit remains high at 50.3% of revenue.

New housing starts slowed and supply fell in the past few years, pushing prices to extreme highs. The rush to build homes and apartments brought a surge in revenue for private landowners.... Learn More

5. Credit Card Issuing in the US

Profit Margin 2024: 41.5%

The Credit Card Issuing industry in the US provides transaction and credit services to consumers and businesses by issuing credit cards with available credit lines that must be repaid in full to the issuer, often in installments. Commercial banks are excluded from this industry since credit card issuance is not a primary business activity. Industry operators generate revenue from cardholders primarily through fees and interest earned on revolving credit. Companies compete by offering customers lower interest rates, flexible and secure payment options and rewards programs based on spending levels.

Industry revenue is set to increase an annualized 1.6% over the years... Learn More

6.

Profit Margin 2024: 36.8%

Credit bureaus and credit rating agents faced much volatility from downstream markets during the period as COVID-19 disruptions hung over the US Economy. The diverse nature of downstream clients helped to shield the industry from more significant troubles. Throughout 2020, only a few credit reporters and CRA's downstream clients were greatly affected; consumers and non-banking businesses took a big hit as unemployment skyrocketed and business closures spiked. Banking institutions and federal and state governments stopped any other falling demand. The strong demand from select downstream markets caused revenue to grow at a CAGR of 2.9% to $14.0 billion over the... Learn More

7.

Profit Margin 2024: 34.8%

Venture capital (VC) and principal trading have been integral to the start-up ecosystem for many years, providing crucial funding for entrepreneurs and start-ups. The industry has undergone significant changes in recent years, benefiting from rising security prices, increased trading volumes, unprecedented investment opportunities and greater merger and acquisition activity.

VC and principal trading revenue will grow at a CAGR of 4.4% to $59.6 billion through the end of 2023, including a 2.0% increase in 2023 alone, when profit will drop to 34.5%. The stock market has been mostly strong in recent years. Venture capitalists benefit from the high valuation on the... Learn More

8.

Profit Margin 2024: 33.6%

Portfolio Management industry operators manage asset portfolios for a fee or commission. In the last five years, the industry has experienced countervailing trends. For the majority of the period, rising assets under management (AUM) as a result of rising asset prices and growing disposable income have increased the base of assets industry operators charge fees on. Increased investor preference for passive asset management, including through exchange-traded funds (ETFs), has driven expenses charged for the management of assets down during the period.

Financial markets play an integral role in AUM growth and, consequently, base and performance fees earned by managers. Growth in... Learn More

9. Social Networking Sites in the US

Profit Margin 2024: 30.1%

Since going mainstream over a decade ago, hundreds of millions of Americans have embraced social networking sites, including Meta, Twitter, LinkedIn and dozens more. People use these networks to maintain relationships with friends, follow the news and share photos and videos. By leveraging user data for targeted advertisem*nts, where most revenue is derived, sites have been able to capitalize on the popularity of their platforms. As a result, industry revenue has increased at a CAGR of 16.7% over the past five years, including an increase of 15.0% to total an estimated $95.2 billion in 2023 alone. The industry has benefited... Learn More

10. Intellectual Property Licensing in the US

Profit Margin 2024: 25.5%

The Intellectual Property Licensing industry is involved in assigning rights to assets (patents, trademarks, brand names and franchise agreements). Licensors own the rights to these assets and charge fees to other businesses for the usage rights, typically in royalties. This industry excludes franchise agreements that allow the use of named contingent payments on purchasing products from a franchisor and tangible asset leasing. Benefits include more exposure, customer loyalty and the capacity to charge a premium for a product without building a brand name from the ground up.

An uptick in business activity and consumer spending has been huge for lessors and... Learn More