Economic improvement in the United States will continue in 2024, the nation’s purchasing and supply management executives predicted in the latest semiannual economic forecast from the Institute for Supply Management.
In the service sector, which includes retail, 43 percent of services supply management executives expect their 2024 revenues to be higher than in 2023. They expect a 6.9 percent net increase in overall revenues for 2024, compared to a 4.2 percent increase reported for 2023.
The top service industries expecting revenue increases in 2024 include:
- Retail trade (ranked first for the sector)
- Professional, scientific and technical services
- Construction
- Transportation and warehousing
- Management of companies and support services
- Wholesale trade
“Services supply executives report operating at 86.5 percent of normal capacity, less than the 91 percent reported in May 2023,” said Anthony S. Nieves, Chair of the ISM Services Business Survey Committee. “They are guarded about the first half of 2024, but expect robust growth in the second half, with a projected increase in capital reinvestment. They forecast that their capacity to produce products and provide services will rise by 4.1 percent during 2024, and capital expenditures will increase by 2.9 percent. Services panel members also predict their overall employment will increase by 0.8 percent during 2024.”