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Market Analysis Summary

Consumers are demanding environmental safe cleaners in public spaces. Additionally, janitorial firms are finding that biodegradable, environmentally safe are cleaners are a strong selling point when competing for contracts.

Last year, 1.5 billion dollars was spent on commercial cleaners. Of those sales, biodegradable, environmentally safe cleaners represented 15% of total sales. This is a 20% increase over sales the previous year.

4.1 Market Segmentation

ChemSafe will focus on three customer groups:

  • Wholesale Distributors: This group is the critical supplier to retail outlets and pivotal to the success of ChemSafe cleanser products.
  • Janitorial Professionals: An important key to the janitorial market is the ability to add value to cleaners through innovative products or techniques.  We believe that ChemSafe products are an invaluable tool to janitorial professionals.
  • Consumers: Concern for the environment has created a group of consumers who will only use biodegradable, environmentally safe cleaners in their homes.
Cleaning products business plan, market analysis summary chart image

Market Analysis
Year 1 Year 2 Year 3 Year 4 Year 5
Potential Customers Growth CAGR
Wholesale Distributors 4% 20,000 20,800 21,632 22,497 23,397 4.00%
Janitorial Companies 6% 35,000 37,100 39,326 41,686 44,187 6.00%
Consumers 10% 100,000 110,000 121,000 133,100 146,410 10.00%
Total 8.40% 155,000 167,900 181,958 197,283 213,994 8.40%