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Commercial Cleaning Services in New Zealand - Market Research Report (2014-2029)

Disha Kartik Jeswanth Disha Kartik Jeswanth Melbourne, Australia Last Updated: October 2024 ANZSIC N7311NZ

Revenue

$2.9bn

2024-25

$2.9bn

Past 5-Year Growth

Profit

$XXX.Xm

Employees

27,217

Businesses

6,693

Wages

$X.Xbn

Commercial Cleaning Services in New Zealand industry analysis

The industry has faced mixed conditions over the past few years. Demand from different downstream markets has fluctuated variably. Increased competition among a growing number of providers has placed some downwards pressure on pricing, weighing on profitability. However, greater volumes of cleaning services have offset pricing trends, as cleaning demand has grown steadily across numerous markets and boosted industry revenue.

Trends and Insights

  • More businesses are outsourcing their cleaning services, benefiting the industry. Nonetheless, weak construction activity has constricted the industry’s client pool and weighed on revenue growth.
  • Commercial cleaning providers have faced a shifting landscape with varying demand across service segments. Increased competition and cost pressures have reduced revenue from interior and exterior cleaning, while the pandemic boosted demand for washroom services.
  • Many establishments are concentrated in Auckland. The region's large number of businesses and higher average household incomes drive demand for regular cleaning services.
  • Cleaning services providers mainly compete on price, service quality, service range and geographic coverage. With the large number of providers and the relatively generic nature of many cleaning services, it’s difficult for cleaning companies to charge high prices.

Access hundreds of analysis and data

  • Market estimates from 2014-2029
  • Critical performance data and rankings
  • Detailed analysis of competitive forces and the external environment
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Industry Statistics and Trends

Market size and recent performance (2014-2029)

Industry revenue has grown at a CAGR of 2.2 % over the past five years, to reach an estimated $2.9bn in 2024.

Trends and Insights

Construction and business slowdowns have hindered industry growth

  • Subdued growth in non-residential building construction capital expenditure has hindered the industry’s client pool. Low growth in the number of businesses has also stifled the industry, as there have been limited increases in the number of new and expanding firms that require commercial cleaning services.
  • Additional trends and insights available with purchase
Commercial Cleaning Services in New Zealand
Revenue (2014-2029)
IBISWorld Logo Source: IBISWorld

Industry outlook (2024-2029)

Market size is projected to grow over the next five years.

Trends and Insights

Heightening competition will lead to subdued revenue growth

  • Although industrywide profitability is set to grow thanks to increased demand and revenue, it could taper off as some markets and geographical regions reach saturation.

Biggest companies in the Commercial Cleaning Services in New Zealand

Company
Market Share (%)
2025
Revenue ($m)
2025
OCS
150.1
Downer
142.5
Paramount Services Ltd
80.0

To view the market share and analysis for all 6 top companies in this industry, view purchase options.

Products & Services Segmentation

Commercial Cleaning Services in New Zealand
Products & Services
IBISWorld Logo Source: IBISWorld

Industry revenue is measured across several distinct product and services lines, including Interior building cleaning services, Washroom cleaning services and Exterior building and window cleaning services. Interior building cleaning services is the largest segment of the Commercial Cleaning Services in New Zealand.

Trends and Insights

Interior building cleaning services have provided less revenue amid heightened competition

  • The interior building cleaning services segment includes office cleaning, dusting, vacuuming, and general cleaning tasks in offices and commercial buildings, like shops, hospitals, healthcare centres, hotels, restaurants, schools, universities and other institutions.
  • More insights available in the full report

Table of Contents

About this industry

Industry definition

Industry operators provide a range of cleaning services, including commercial, domestic, street, window and gutter cleaning services.

What's included in this industry?

Interior building cleaning servicesWashroom cleaning servicesExterior building and window cleaning servicesIndustrial cleaning servicesResidential cleaning servicesStreet and road cleaning services

Companies

OCSDownerParamount Services Ltd

Purchase this report to view all 6 major companies in this industry.

Related Terms

OUTSOURCINGFACILITIES MANAGEMENTINTEGRATED SERVICES

Industry Code

ANZSIC 2006

ANZSIC 7311 - Commercial Cleaning Services in New Zealand

Performance

Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.

Analyst insights

More businesses are outsourcing their cleaning services, benefiting the industry. Nonetheless, weak construction activity has constricted the industry’s client pool and weigh...

In this chapter (4)

  • Current Performance
  • Outlook
  • Volatility
  • Life Cycle

Key metrics

  • Annual Revenue, Recent Growth, Forecast, Revenue Volatility
  • Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
  • Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
  • Total Profit, Profit Margin, Profit per Business

Charts

  • Revenue, including historical (2014-2023) and forecast (2024-2029)
  • Employees, including historical (2014-2023) and forecast (2024-2029)
  • Businesses, including historical (2014-2023) and forecast (2024-2029)
  • Profit, including historical (2014-2024)
  • Industry Volatility vs. Revenue Growth
  • Industry Life Cycle

Detailed analysis

  • Trends in supply, demand and current events that are driving current industry performance
  • Expected trends, economic factors and ongoing events that drive the industry's outlook
  • Key success factors for businesses to overcome volatility
  • How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.

Products and Markets

Learn about an industry's products and services, markets and trends in international trade.

Analyst insight

Commercial cleaning providers have faced a shifting landscape with varying demand across service segments. Increased competition and cost pressures have reduced revenue from ...

In this chapter

  • Products & Services
  • Major Markets

Key metrics

  • Largest market segment and value in 2024
  • Product innovation level

Charts

  • Products & services segmentation in 2024
  • Major market segmentation in 2024

Detailed analysis

  • Trends impacting the recent performance of the industry's various segments
  • Innovations in the industry's product or service offering, specialization or delivery method
  • Key factors that successful businesses consider in their offerings
  • Buying segments and key trends influencing demand for industry products and services

Geographic Breakdown

Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.

Analyst insights

Many establishments are concentrated in Auckland. The region's large number of businesses and higher average household incomes drive demand for regular cleaning services.

In this chapter (1)

  • Business Locations

Charts

  • Share of revenue, establishment, wages and employment in each region
  • Share of population compared to establishments in each region in 2024

Tables

  • Number and share of establishments in each region in 2024
  • Number and share of revenue each region accounts for in 2024
  • Number and share of wages each region accounts for in 2024
  • Number and share of employees in each region in 2024

Detailed analysis

  • Geographic spread of the industry across Asia Pacific, and trends associated with changes in the business landscape
  • Key success factors for businesses to use location to their advantage

Competitive Forces

Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.

Analyst insights

Cleaning services providers mainly compete on price, service quality, service range and geographic coverage. With the large number of providers and the relatively generic nat...

In this chapter (4)

  • Concentration
  • Barriers to Entry
  • Substitutes
  • Buyer & Supplier Analysis

Key metrics

  • Industry concentration level
  • Industry competition level and trend
  • Barriers to entry level and trend
  • Substitutes level and trend
  • Buyer power level and trend
  • Supplier power level and trend

Charts

  • Market share concentration among the top 4 suppliers from 2019-2024
  • Supply chain including upstream supplying industries and downstream buying industries, flow chart

Detailed analysis

  • Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
  • Key success factors for businesses to manage the competitive environment of the industry.
  • Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
  • Key success factors for potential entrants to overcome barriers to entry.
  • Competitive threats from potential substitutes for the industry’s own products and services.
  • Key success factors for how successful businesses can compete with substitutes.
  • Advantages that buyers have to keep favorable purchasing conditions.
  • Advantages that suppliers have to maintain favorable selling conditions.
  • Key success factors for how businesses can navigate buyer and supplier power.

Companies

Learn about the performance of the top companies in the industry.

Analyst insights

The Commercial Cleaning Services industry is highly fragmented, primarily consisting of small-scale businesses. These smaller providers comprise most of the industry, while O...

In this chapter

  • Market Share Concentration
  • Companies
  • Company Spotlights

Charts

  • Industry market share by company in 2020 through 2024
  • Major companies in the industry, including market share, revenue, profit and profit margin in 2024
  • Overview of OCS's performance by revenue, market share and profit margin from 2018 through 2024
  • Overview of Downer's performance by revenue, market share and profit margin from 2018 through 2024
  • Overview of Paramount Services Ltd's performance by revenue, market share and profit margin from 2018 through 2024
  • Overview of revenue, market share and profit margin trend for 3 additional companies

Detailed analysis

  • Description and key data for OCS, and factors influencing its performance in the industry
  • Description and key data for Downer, and factors influencing its performance in the industry
  • Description and key data for Paramount Services Ltd, and factors influencing its performance in the industry
  • Description, key data and performance trends for 3 additional companies

External Environment

Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.   

Analyst insights

Businesses are a major source of revenue for commercial cleaning service providers. That’s why a rise in the number of businesses in New Zealand is advantageous to industry g...

In this chapter

  • External Drivers
  • Regulation & Policy
  • Assistance

Key metrics

  • Regulation & policy level and trend
  • Assistance level and trend

Charts

  • Regulation & Policy historical data and forecast (2014-2029) 
  • Assistance historical data and forecast (2014-2029) 

Detailed analysis

  • Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
  • Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
  • Key governmental and non-governmental groups or policies that may provide some relief for industry operators.

Financial Benchmarks

View average costs for industry operators and compare financial data against an industry's financial benchmarks over time. 

Analyst insights

Rising average wages and intense competition, which has limited pricing growth, have weakened the industry’s profitability. However, elevated demand and a growing number of s...

In this chapter

  • Cost Structure
  • Financial Ratios
  • Key Ratios

Key metrics

  • Profit margin, and how it compares to the sector-wide margin
  • Average wages, and how it compares to the sector-wide average wage
  • Largest cost component as a percentage of revenue
  • Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio

Charts

  • Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
  • Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
  • Investment vs. share of economy

Data tables

  • Cash Flow & Debt Service Ratios (2014-2029)
  • Revenue per Employee (2014-2029)
  • Revenue per Enterprise (2014-2029)
  • Employees per Establishment (2014-2029)
  • Employees per Enterprise (2014-2029)
  • Average Wage (2014-2029)
  • Wages/Revenue (2014-2029)
  • Establishments per Enterprise (2014-2029)
  • IVA/Revenue (2014-2029)
  • Imports/Demand (2014-2029)
  • Exports/Revenue (2014-2029)

Detailed analysis

  • Trends in the cost component for industry operators and their impact on industry costs and profitability 

Key Statistics

Industry Data

Data Tables

Including values and annual change:

  • Revenue (2014-2029)
  • IVA (2014-2029)
  • Establishments (2014-2029)
  • Enterprises (2014-2029)
  • Employment (2014-2029)
  • Exports (2014-2029)
  • Imports (2014-2029)
  • Wages (2014-2029)

Top Questions Answered

Unlock comprehensive answers and precise data upon purchase. View purchase options.

What is the market size of the Commercial Cleaning Services industry in New Zealand in 2024?

The market size of the Commercial Cleaning Services industry in New Zealand is $2.9bn in 2024.

How many businesses are there in the Commercial Cleaning Services in New Zealand industry in 2024?

There are 6,693 businesses in the Commercial Cleaning Services industry in New Zealand, which has grown at a CAGR of 4.6 % between 2019 and 2024.

Has the Commercial Cleaning Services industry in New Zealand grown or declined over the past 5 years?

The market size of the Commercial Cleaning Services industry in New Zealand has been growing at a CAGR of 2.2 % between 2019 and 2024.

What is the forecast growth of the Commercial Cleaning Services industry in New Zealand over the next 5 years?

Over the next five years, the Commercial Cleaning Services industry in New Zealand is expected to grow.

What are the biggest companies in the Commercial Cleaning Services market in New Zealand?

The biggest companies operating in the Commercial Cleaning Services market in New Zealand are OCS, Downer and Paramount Services Ltd

What does the Commercial Cleaning Services in New Zealand include?

Interior building cleaning services and Washroom cleaning services are part of the Commercial Cleaning Services industry.

Which companies have the highest market share in the Commercial Cleaning Services in New Zealand?

The company holding the most market share in New Zealand is OCS.

How competitive is the Commercial Cleaning Services industry in New Zealand?

The level of competition is high and increasing in the Commercial Cleaning Services industry in New Zealand.

Related Industries

Widen your competitive advantage with related industries

Competitors

  • Temporary Staff Services in New Zealand

Complementors

  • Real Estate Services in New Zealand
  • Commercial Property Operators in New Zealand
  • Catering Services in New Zealand

International industries

  • Janitorial Services in the US
  • Snowplowing Services in the US
  • Janitorial Services in Canada
  • Commercial Cleaning Services in Australia
  • General Building Cleaning in the UK

View all industries in New Zealand

Methodology

How are IBISWorld reports created?

IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.

Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.

IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.

What data sources do IBISWorld analysts use?

Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.

Key data sources in New Zealand include:

  • Statistics New Zealand
  • New Zealand Company Register
  • Ministry of Business, Innovation & Employment

Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.

These sources include:

  • Industry and trade associations
  • Industry federations or regulators
  • Major industry players annual or quarterly filings

Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.

How does IBISWorld forecast its data?

IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.

IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.

Learn more about our methodology and data sourcing on the Help Center.