Business conditions remained stalled for the landscape architecture industry in the fourth quarter of 2013, but may be entering a turnaround, as shown by the latest American Society of Landscape Architects’ (ASLA) Business Quarterly survey. Although billable hours and inquiries for new work dipped during the fourth quarter, about half of all firms indicated plans to hire in early 2014—a sign they are expecting more work.
The Business Quarterly survey asks quarterly benchmarks on key statistics including billable hours, inquiries and hiring plans. The Q4 2013 national survey was fielded Jan. 16 to 31, with 287 primary firm contacts responding.
Some 75.7 percent of respondents reported stable to improved billable hours, a decline from the third quarter of 2013 (80.6 percent). Another 74.9 percent reported stable to higher inquiries from potential clients for new work, similar to what had been reported from the previous quarter (78 percent).
Year to year, 81.5 percent of respondents indicated fourth-quarter billable hours remained about the same or were higher. Additionally, 81.5 percent claimed steady or increased inquiries for new work compared to Q4 2012.
Across the board, the majority of respondents (68.4 percent) indicated slightly to significantly improved business results for 2013, compared to 2012. Of all firms with two or more employees, nearly half (48.5 percent) indicated they plan to hire in the first quarter of 2014. Half of all firms with 50 to 99 employees plan to hire an experienced landscape architect in the first quarter of 2014.
“The hiring picture is encouraging, a finding that is mirrored in the recent growth in postings to ASLA’s job board, JobLink,” said Nancy Somerville, executive VP and CEO of ASLA. “Furthermore, year-to-year comparisons also point in the right direction.”
Key Survey Highlights
Compared to the third quarter 2013, your fourth quarter 2013 billable hours were:
- Significantly higher (more than 10 percent) – 8.6 percent
- Slightly higher (5 to 10 percent higher) – 27.1 percent
- About the same (plus or minus 5 percent) – 40.0 percent
- Slightly lower (5 to 10 percent lower) – 12.1 percent
- Significantly lower (more than 10 percent) – 12.1 percent
Compared to the third quarter 2013, your fourth quarter 2013 inquiries for new work were:
- Significantly higher– 12.8 percent
- Slightly higher – 26.6 percent
- About the same– 35.5 percent
- Slightly lower– 14.2 percent
- Significantly lower– 11.0 percent
Year to year, compared to the fourth quarter in 2012, your fourth quarter 2013 billable hours were:
- Significantly higher– 25.4 percent
- Slightly higher– 36.2 percent
- About the same– 19.9 percent
- Slightly lower– 9.1 percent
- Significantly lower– 9.4 percent
Year to year, compared to the fourth quarter in 2012, your fourth quarter 2013 inquiries for new work were:
- Significantly higher– 24.9 percent
- Slightly higher– 33.5 percent
- About the same – 23.1 percent
- Slightly lower– 8.2 percent
- Significantly lower– 10.3 percent
Do you plan on hiring any employees in the first quarter of 2014 (multiple answers, including sole proprietors)?
- Yes, we’ll be hiring an experienced landscape architect – 13.6 percent
- Yes, we’ll be hiring an entry-level landscape architect – 11.1 percent
- Yes, we’ll be hiring an intern – 12.8 percent
- Yes, we’ll be hiring support staff – 10.7 percent
- Yes, we’ll be hiring other design/architecture/engineering staff – 11.9 percent
- Yes, we’ll be hiring other staff – 5.3 percent
- No, we’re not currently hiring – 57.6 percent
For those firms with two or more employees:
- Yes, we’ll be hiring an experienced landscape architect – 15.5 percent
- Yes, we’ll be hiring an entry-level landscape architect – 12.6 percent
- Yes, we’ll be hiring an intern – 14.6 percent
- Yes, we’ll be hiring support staff – 12.1 percent
- Yes, we’ll be hiring other design/architecture/engineering staff – 14.1 percent
- Yes, we’ll be hiring other staff – 6.3 percent
- No, we’re not currently hiring – 51.5 percent
How would you describe business results for 2013 compared to 2012?
- Significantly better– 33.3 percent
- Slightly better– 35.1 percent
- About the same– 15.8 percent
- Slightly worse– 6.8 percent
- Significantly worse– 9.0 percent
