|
Forecast Period
|
2026-2030
|
|
Market Size (2024)
|
USD 12.56
Million
|
|
CAGR (2025-2030)
|
12.73%
|
|
Fastest Growing Segment
|
Repairs & Maintenance
|
|
Largest Market
|
North Island
|
|
Market Size (2030)
|
USD 25.78 Million
|
Market Overview
New
Zealand On-Demand Home Services market was valued at USD
12.56 Million
in 2024 and is expected to grow
to USD 25.78 Million by
2030 with a CAGR of 12.73%. The New Zealand On-Demand Home Services
market is experiencing significant growth, driven by several factors that cater
to the evolving needs of consumers. As lifestyles become increasingly busy,
there is a rising demand for timesaving, convenient services that allow
consumers to access home maintenance, cleaning, repairs, and other services
with ease. Digital platforms have played a crucial role in facilitating this
shift, offering seamless user experiences that connect customers with service
providers quickly and efficiently. The widespread adoption of smartphones and
the internet has made accessing these services more convenient, with many
customers preferring the flexibility of on-demand solutions over traditional
booking methods. Also, as New Zealand's urban population grows, the need for
efficient and accessible home services is expected to increase, further
propelling market growth.
Key Market Drivers
Growing
Working Population Across the Region
The growing working
population across New Zealand is a significant driver of the on-demand home
services market. As a part of this, according to a recent study, as of 2023,
the seasonally adjusted working-age population grew by 31,000 to 4.2 million in
the September 2023 quarter. As more individuals engage in full-time
employment, the demand for convenient, time-saving solutions has increased.
On-demand platforms offer services such as cleaning, maintenance, and repairs,
allowing consumers to manage household tasks without disrupting their work
schedules. This trend is particularly evident in urban areas, where busy
professionals seek efficient ways to balance work and home responsibilities.
The rise of digital platforms has further facilitated this shift, providing
easy access to services via smartphones and online portals. As the working
population continues to grow, the need for accessible and flexible home
services is expected to drive sustained market expansion.
Rapid
Urbanization & Rising Disposable Income
Rapid urbanization and rising disposable income are
key drivers for the growth of the New Zealand on-demand home services market. As
a part of this, according to World Bank, New Zealand's urban population (as a
percentage of the country's overall population) was 84.98% in 2023.As more
people move to urban areas, there is a corresponding increase in the demand for
convenient, accessible services to manage household tasks. Busy professionals
and families in urban centers often have limited time to attend to home
maintenance, cleaning, and other chores, making on-demand services a valuable
solution. Also, as disposable income rises across New Zealand, more consumers
can afford to outsource these tasks, leading to increased demand for a variety
of home services. The availability of on-demand platforms through smartphones
and online portals further supports this trend, offering flexibility and
convenience for busy consumers. As urbanization continues and income levels
grow, the on-demand home services market is expected to expand, meeting the
evolving needs of modern households.
Technological
Advancement
Technological advancements are a significant driver
of the New Zealand on-demand home services market. The increasing adoption of
mobile technology and digital platforms has transformed how consumers access
and schedule home services. Over 68% of users in metropolitan areas now utilize
mobile apps to book services like cleaning, plumbing, and electrical repairs,
valuing the convenience and speed these platforms offer. Also, features such as
real-time tracking, upfront pricing, and background-verified professionals
enhance user trust and satisfaction, contributing to higher retention rates.
The integration of artificial intelligence (AI) for personalized services and
the expansion of service offerings further fuel market growth. As technology
continues to evolve, it enables service providers to offer more efficient,
reliable, and tailored solutions, meeting the growing consumer demand for
convenience and quality in home services.
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Key Market Challenges
Intense
Competition Among Key Players
Intense competition among key players is a
significant challenge in the New Zealand on-demand home services market. The proliferation
of digital platforms has lowered entry barriers, leading to a surge in service
providers offering similar services, which intensifies price competition. This
environment pressures companies to differentiate themselves through competitive
pricing, which can erode profit margins. Also, maintaining consistent service
quality is crucial; any lapses can lead to customer dissatisfaction and
attrition. To stay competitive, companies must invest in technology, streamline
operations, and uphold high service standards. However, these investments
require significant capital, posing financial challenges, especially for
smaller players. Also, the lack of standardized pricing models and service
quality benchmarks across the industry adds complexity to market dynamics,
making it challenging for consumers to compare services effectively and for
providers to establish consistent pricing strategies.
High Operational
Cost
High operational costs are a significant challenge for
the New Zealand on-demand home services market. Providers must invest heavily
in technology to develop and maintain user-friendly platforms, ensuring
seamless customer experiences. This includes costs related to app development,
backend systems, payment gateways, and data security. Also, the logistics of
managing a large pool of service professionals, including dispatch, scheduling,
and customer support, requires considerable resources. Marketing expenses also
contribute to high operational costs, as companies compete to attract and retain
customers in a crowded market. Also, the need to maintain service quality and
reliability can lead to increased costs associated with background checks,
training, and insurance for service providers. As a result, businesses must
carefully balance these operational costs with competitive pricing to remain
profitable while ensuring a high standard of service, which is essential for
long-term success in the market.
Key Market Trends
Flexible
Payment Options
Flexible payment options are becoming a key trend in
the New Zealand on-demand home services market, as service providers seek to
enhance convenience and accessibility for customers. With the growing adoption
of digital platforms, many companies are offering a variety of payment methods,
such as credit/debit cards, digital wallets, and instalment payment plans. As
a part of this, according to a recent study, as of 2024, the total value of
digital payments in New Zealand continues to increase each year and is expected
to reach USD 23.3 billion by 2028.These flexible options cater to a broader
customer base, including those who prefer to spread costs over time or use
mobile payment solutions. The ability to pay via digital wallets or other
online methods also enhances the user experience by providing a seamless,
contactless transaction process. This trend aligns with the increasing demand
for convenience and ease of access, which is crucial in attracting and
retaining customers. By offering diverse payment options, service providers not
only enhance customer satisfaction but also improve cash flow and operational
efficiency, ultimately supporting market growth.
Focus
on Customer Reviews and Ratings
Customer reviews and ratings have become pivotal in
shaping the New Zealand on-demand home services market. With the proliferation
of digital platforms, consumers increasingly rely on peer feedback to assess
the quality and reliability of service providers. Positive reviews can
significantly enhance a provider's reputation, leading to increased bookings
and customer trust. Conversely, negative feedback serves as a valuable tool for
companies to identify areas for improvement and address customer concerns promptly.
This transparency fosters a competitive environment where service providers are
motivated to maintain high standards and deliver exceptional customer
experiences. Also, platforms that integrate user reviews and ratings often see
higher user engagement and satisfaction, as customers feel more informed and
confident in their service choices. In essence, the emphasis on customer
reviews and ratings not only empowers consumers but also drives service
excellence within the industry.
Increased
Focus on Eco-Friendly Practices
A growing trend in New Zealand's on-demand home
services market is the increased focus on eco-friendly practices. As
environmental awareness rises among consumers, there is a strong preference for
sustainable and responsible service providers. Homeowners are increasingly
opting for services that use non-toxic, biodegradable cleaning products,
energy-efficient tools, and sustainable materials. In response, many companies
in sectors such as home cleaning, maintenance, and renovations are shifting
toward greener business models to meet this demand. This includes reducing
carbon emissions, minimizing waste, and incorporating eco-conscious practices
in daily operations. Businesses that prioritize environmental sustainability
are gaining a competitive edge, as consumers actively seek out providers
aligned with their values. Also, the rise of green certifications and
eco-labels is influencing purchasing decisions, encouraging providers to adapt.
As sustainability becomes a central priority for both consumers and businesses,
the integration of eco-friendly practices is expected to be a long-term trend
shaping the future of the on-demand home services industry in New Zealand.
Segmental Insights
Type Insights
Home Cleaning dominated the New Zealand On-Demand Home
Services market, due to increasing demand for regular and deep cleaning tasks,
particularly in urban areas where busy lifestyles limit the time homeowners can
dedicate to household chores. Home cleaning services appeal to a broad
demographic, including busy professionals, elderly residents who may struggle
with physical tasks, and renters looking to maintain properties to avoid
penalties on lease agreements. The convenience of booking these services online
and the assurance of professional standards are key factors driving customer
loyalty and repeat business. Also, the growing awareness of hygiene and
cleanliness standards further propels the demand for professional cleaning
services across various residential settings.
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Regional Insights
North Island dominated the New Zealand On-Demand Home
Services market, driven by several key factors. A significant portion of the
country's population resides in this region, particularly in urban centers like
Auckland and Wellington, leading to higher demand for convenient home services.
The proliferation of smartphone and internet usage in these areas facilitates
easy access to online platforms offering such services. Also, the North
Island's economic activities, including a concentration of businesses and
industries, contribute to a greater need for maintenance, cleaning, and other
home-related services. These factors collectively make the North Island a
dominant player in the market, with a substantial share of service providers
and consumers engaging in on-demand home services.
Recent Developments
- In March 2024, Traffic's
franchise brands, including Refresh Renovations, Zones Landscaping, and Oncore,
have collectively completed over half a billion dollars in renovations, landscaping,
repairs, and reinstatement services across New Zealand. Also, Traffic has
introduced a new brand, We Sort It, expanding its range of home service
offerings in the country.
- In November 2023, AMI launched
HomeHub, a new home repair service. The AMI HomeHub initiative aims to provide
customers with timely and convenient high-quality repairs. Soon, a digital AMI
HomeHub portal will allow customers to book and reschedule visits and
assessments, upload photos and videos, track claim progress, and select
alternative products and materials.
Key Market Players
- Jim’s
Group Pty Ltd
- Premium
Clean
- Clean
Planet
- Restoration
Experts Limited
- Green
Acres Franchise Group Limited
- Kia
Ora Sunshine Cleaning Limited
- Urbanclap
Technologies India Private Limited
- Balaji
Nursery
- Angi
Inc.,
- Lawn
Starter Inc.
|
By Type
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By Payment Mode
|
By Booking Mode
|
By Region
|
- Home Cleaning (Car Wash, Maid, Pest Control, Others)
- Repairs & Maintenance (Plumbing, Electrical, Carpentry,
Others)
- Health & Wellness (Beauty/Salon Services, Fitness Coach,
Others)
- Others
|
- Pre-Availing Online Payment
- Cash Payment
- Post-Availing Online Payment
|
|
|
Report Scope:
In this report, the New Zealand On-Demand Home
Services Market has been segmented into the following categories, in addition
to the industry trends which have also been detailed below:
- New Zealand On-Demand Home Services
Market, By
Type:
o Home Cleaning (Car Wash,
Maid, Pest Control, Others)
o Repairs & Maintenance
(Plumbing, Electrical, Carpentry, Others)
o Health & Wellness
(Beauty/Salon Services, Fitness Coach, Others)
o Others
- New Zealand On-Demand Home
Services Market, By
Payment Mode:
o Pre-Availing Online Payment
o Cash Payment
o Post-Availing Online
Payment
- New Zealand On-Demand Home
Services Market, By
Booking Mode:
o Online
o Offline
- New Zealand On-Demand Home
Services Market, By Region:
o North Island
o South Island
Competitive Landscape
Company Profiles: Detailed analysis of the major companies presents
in the New Zealand On-Demand Home Services Market.
Available Customizations:
New Zealand On-Demand Home Services Market report
with the given market data, TechSci Research offers customizations according
to a company's specific needs. The following customization options are
available for the report:
Company Information
- Detailed analysis and
profiling of additional market players (up to five).
New Zealand On-Demand Home Services Market is an
upcoming report to be released soon. If you wish an early delivery of this
report or want to confirm the date of release, please contact us at [email protected]