Insights

 

Q3 2005 State of the Industry Report

Executive Search Continues Strong Momentum

Average Industry Gross Revenues Rose Slightly From Q2; Asia/Pacific and Central/South America Saw Slight Uptick

According to the latest quarterly AESC State of the Executive Search Industry Report from the Association of Executive Search Consultants (AESC), average gross executive search industry revenues increased slightly over the previous quarter (+1%) despite a decrease in new searches worldwide of 8%.

Asia/Pacific and Central/South America reported net increases in number of search assignment starts (of 1.2% and 3.4%, respectively) while North America and Europe showed decreases of 7.9% and 14.2% respectively.

Commenting on these figures, AESC President Peter Felix noted, "These quarterly figures indicate that executive search revenues are continuing their momentum through 2005 — by year-end we expect that most member firms will be reporting significant year on year increases over 2004. A declining number of searches, despite increased revenues, indicates that the average search is increasing in level and compensation and thus significance to the hiring organization."

The Financial services sector captured the largest percentage of new searches started in the third quarter, at 23.5 percent. The industrial sector captured 22 percent of new searches started; consumer products - 17.5 percent; technology - 17.1 percent; Life Sciences/Healthcare - 12.1 percent; and Non-Profit - 3.6 percent.

Searches started; consumer products - 17.5 percent; technology - 17.1 percent; Life Sciences/Healthcare - 12.1 percent; and Non-Profit - 3.6 percent.

This data was collected from a sample of AESC member search firms representing the activity of over 1,200 executive search consultants in 42 countries worldwide. AESC access to job search data positions this report as a leading indicator of the future worldwide job market and a barometer of hiring trends in key market sectors.

Read the full report.

 

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