United States (USA) Funeral and Cremation Service Market Research Report, 2029

The Funeral and Cremation Services in the United States is undergoing a significant transformation as more and more families are opting for simple cremations as a more affordable and environmentally friendly alternative to traditional burial services. This shift in consumer preferences is reshaping the way funeral homes and crematories operate, leading to changes in pricing, services offered, and overall industry practices. The COVID pandemic had a radical impact on this, highlighting the need for funeral streaming and virtual memorial services when families were unable to even gather locally at a funeral home. All accepted the notion of ‘Zoom Funerals’ and more funeral homes invested in the technology. Though most people are familiar with traditional burials when laying loved ones to rest, cremation is actually one of the oldest ways to handle the dead. People across human history have used cremation as a way to honor their loved ones in death. Cremation has been the preferred way for lots of families when looking for a simple and less costly way to send off their beloved ones. According to the National Funeral Directors Association, in the last two decades, the number of people who opt for cremation has slowly been on the rise. For example, in 2019, the cremation rate for the first time in history surpassed the burials rate in United States. While the ideas surrounding direct cremation services are still highly debatable, the inferences are easy to make that much change has, in fact, been brought about in the industry, as many families are quickly embracing cremation from the point of view of expense to the bereaved families and cheaper methods of disposing of the dead. In US, the shifting of consumers' interests has reshaped how the funeral homes and the crematories conduct their activities, impacting the pricing, services offered, and other practices within the industry. According to the research report "United Sates Funeral and Cremation Services Market Research Report, 2029," published by Actual Market Research, the United States funeral and cremation services market is anticipated to grow at more than 5% CAGR from 2024 to 2029. As the demand for cremation services continues to grow, crematories are also facing increased pressure to meet the needs of families seeking affordable and efficient cremation services. Some crematories have invested in new technology and equipment to streamline the cremation process, reducing wait times and improving efficiency. Others have introduced eco-friendly cremation options, such as aquamation (also known as alkaline hydrolysis), which uses water instead of fire to break down the body, resulting in a more environmentally friendly alternative to traditional cremation in United States. The increasing cost of conventional burial services, especially in population centers with diminished cemetery space, has prompted consumers to consider lower-cost cremation. However, traditional burials still remain the most popular service offered. Additionally, households increasingly view their pets as an integral part of the family. This, combined with a rising pet ownership rate, has boosted demand for pet burial and cremation services. In US, the rise in popularity of cremation has forced funeral homes and crematories to adapt to the changing needs and preferences of their customers. Many funeral homes now offer cremation services in addition to traditional burial services, providing families with more options and flexibility in how they choose to say goodbye to their loved ones. Some funeral homes have also started offering direct cremation services, which bypass traditional funeral services altogether and focus solely on the cremation process.

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Having made serious inroads into the U.S. funeral and cremation service market, cremation remains the largest segment due to changing societal attitudes, growing affordability, and environmental concerns. Eventually, cremation began to gain acceptance as a respectful and practical alternative to expensive traditional burial options and space problems of large towns. More and more families began choosing it. Fuelling its popularity still further is the desire for memorial services that can be really unique and very personal. On the other hand, funeral planning services are on an upward swing because consumers are availing themselves, more and more, of the benefits accruing from pre-planning, which alleviates emotional stress from families at such troubled times. It is also driven by the newest trend of online ordering of funeral arrangements and, in general, the demand for customized services. The transportation segment includes requisite services related to the transportation of the deceased and enabling the family's presence at funeral events. This is important for the entire funeral process in terms of respect and logistical convenience. Body preparation and interment involve services such as embalming, dressing, and burial processes necessary for the completion of conventional funeral rites. This will continue to be an important market because there are cultural and regulatory requirements to maintain a professional approach towards handling a body with dignity. It is ancillary services that take care of various other needs not covered under the main categories, such as grief counseling and memorial products. This becomes an important segment in that it makes a funeral home able to provide comprehensive care and support to families during their loss, thus reflecting the many differences in consumer preference and needs. In the U.S. funeral and cremation service market, the immediate need segment comes at the forefront of the industry because this industry represents a time of sudden crisis, such as when someone has just passed away. Families seek immediate arrangements as a form of respect toward the deceased individual and to uphold cultural or religious traditions. Urgency is the underlying mode in which services like embalming, transportation, and memorial services are provided. These are the times of emotional stress when the family requires immediate support, and thus, generates demand for these necessary services. On the other hand, the pre-planned segment is on its way to growth as more and more people are realizing the benefits of pre-planning their funerals. Much of this growth is contributed to by raising awareness about the benefits of pre-planning, which generally allows a person to make his or her own decisions regarding the end-of-life arrangements and eventually eases stress for loved ones when that hard time does come. Additionally, financial planning and burden easing from hard choices for the loved ones make pre-planning more attractive. This segment is further supported by the availability of a range of options in pre-planned services, such as payment plans and customized packages. While the pre-planned segment would continue to grow with the societal attitude in terms of acceptance of the openness to discuss death and planning for the same, the immediate need segment is equally important as death is a natural inevitability, which needs support at the right time. The offline distribution channel dominates the funeral and cremation service market in the U.S. because it was the first one that established itself, and funerals are traditionally done in person. Many families still prefer in-person consultation while making such sensitive arrangements, like feeling the consultation face-to-face for personal touch and support one gets from the funeral director at the time of loss. The offline services include local funeral homes, cemeteries, and crematoriums that have built people's trust and credibility over the years. Most of these institutions offer comprehensive packages and guided services to cater to varied cultures and religious customs, hence becoming the instant choice for urgent needs. The online distribution channel is growing at a rapid pace with increased digitalization of services, backed by a change in consumer preference. The more comfortable people become with online transactions, the more the funeral service providers are increasing their web presence to reach more customers. It is convenient, as much as one needs to, right from the comfort of their homes surfing for services, comparing prices, or even pre-planning funerals. Digital exposure to information and arranging services was especially appealing to the young group of people in this age group, who value efficiency and transparency. Much that is notable in this trend was accelerated by the COVID-19 pandemic when families searched for safe alternatives to face-to-face traditional meetings. While telecommuting and digital solutions continue to rise, this online channel supplements offline services in serving an only growing demographic who consider accessibility and flexibility as major priorities.

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Kripa Shah

Senior Analyst

Considered in this report • Historic year: 2018 • Base year: 2023 • Estimated year: 2024 • Forecast year: 2029 Aspects covered in this report • Funereal Service market Outlook with its value and forecast along with its segments • Various drivers and challenges • On-going trends and developments • Top profiled companies • Strategic recommendation By Provider • The Funeral Director • Embalming Services • Mortician Services • Funeral Homes With Crematories • Visitation Or Viewing Services • Graveside Committal • Selling Funeral Supplies • Transporting The Deceased

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By Service • Cremation • Funeral Planning Services • Transportation • Body Preparation And Interment • Others By Application • Immediate need • Pre-Planned By Distribution Channel • Online • Offline The approach of the report: This report consists of a combined approach of primary and secondary research. Initially, secondary research was used to get an understanding of the market and list the companies that are present in it. The secondary research consists of third-party sources such as press releases, annual reports of companies, and government-generated reports and databases. After gathering the data from secondary sources, primary research was conducted by conducting telephone interviews with the leading players about how the market is functioning and then conducting trade calls with dealers and distributors of the market. Post this; we have started making primary calls to consumers by equally segmenting them in regional aspects, tier aspects, age group, and gender. Once we have primary data with us, we can start verifying the details obtained from secondary sources. Intended audience This report can be useful to industry consultants, manufacturers, suppliers, associations, and organizations related to the Funereal Service industry, government bodies, and other stakeholders to align their market-centric strategies. In addition to marketing and presentations, it will also increase competitive knowledge about the industry.