Varying Fortunes for US Top 50

2007 was a mixed bag for US research providers, some reporting impressive growth and others struggling, according to figures in the latest Honomichl 50, just out. Overall, growth was a respectable 6%, the mean of the two previous years, achieved despite a US workforce reduction of c.1,300 among the top 50 firms.

Total US revenue for the 50 in 2007 was $7,828m, up from $7,351m in 2006. Total non-US revenue was $9,809m, up from $8,290m. The total number of US employees was 32,073, down from 33,388.

In context, growth in 2007 showed no real sign of a downturn. Over the last five years the total revenue for the Top 50 firms has grown by 5.9%, 10.0%, 5.3%, 6.5% and 6.0% respectively (note that the 50 are slightly different each time, so this is not the growth shown by the current Top 50, many of whom didn't exist in 2003).

In the same period, the percentage of revenue the firms make from outside the US has risen steadily, passing the halfway mark - and it leapt last year (47.4%, 50.5%, 50.7%, 50.9%, 53.5% respectively).

Unlike in 2003-4 when they underperformed the Top 50 and 2005 when they beat it, the smaller members of CASRO (c.150) have for the last two years shown broadly similar growth to those making the top table.

The stormy economy is apparent from the number of firms showing a decrease in revenue. Among the top 20, only Harris (-3.6%) and Abt Associates (-16.8%) reported a decline last year (three companies did so in 2006) but among no.s 21-50 there were 12 with falling revenues in 2007, against only two in 2006. At the same time - as is obvious from the overall figure - some companies have managed to grow impressively, among them Westat which grew 10.4% to overtake IRI for 4th spot, and the NPD Group, with growth also just in double figures. comScore (26.0%), OTX (into the top 20 with 32.6% growth), Hitwise (highest new entry with 50.0% growth) and Compete, Inc. (fastest grower, up 53.6%) all underlined the ascendancy of online and high-tech research with very good years.



Notes: U.S. revenues may include non-research activities for some companies that are significantly higher. See Honomichl's individual company profiles for details. Rates of growth are adjusted to exclude effects of acquisitions and divestitures. * Kantar figure estimated.

The complete Top 50 will appear soon at www.marketingpower.com .

All articles 2006-23 written and edited by Mel Crowther and/or Nick Thomas, 2024- by Nick Thomas, unless otherwise stated.

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