How The Pandemic Is Killing The Death Business

I

But rather than boost SCI’s revenues, Ryan insists that the pandemic will actually hurt business. “Our ability to get in front of the consumer is limited,” says Ryan. Death is not a one-size-fits-all business. A simple cremation with a plain-Jane urn and no reception costs around $3,000. But an elaborate funeral with a big crowd, a mahogany casket, lavish flowers and an ornate tombstone could run $20,000 or more. And the pandemic severely limits SCI’s ability to upsell the bereaved.

Also affected—so called pre-need sales, which are typically arranged by people well in advance of their actual death, most of which occur face-to-face with SCI’s salespeople. According to Raymond James analyst John Ransom, “pre-need” cemetery plot sales are expected to decline to $158 million in the second quarter of 2020, from $226 million a year ago, down 30%. Death may be on people’s minds right now, according to Ryan, but not many are in the mood to tour cemetery plots or select a headstone.

Ryan, a C.P.A. by training, joined SCI 24 years ago as an accountant and became president in 2003. He spent his early tenure cleaning up the balance-sheet mess left behind by founder Robert Waltrip, who began rolling up mom-and-pop funeral parlors in the 1960s before embarking on an ill-advised round of international acquisitions. Ryan made his own round of domestic acquisitions, including the San Francisco-based Neptune Society in 2011 and Stewart Enterprises of Louisiana .

Despite Ryan’s complaints about SCI’s revenue woes, there may be a silver lining. Many people who were denied an expensive, well-attended funeral may choose to have a pricey memorial service once the pandemic passes and SCI is angling for that business. “There’s real pent-up want and need to provide that closure, by having your loved ones around you at this time,”says Ryan.

Majority of funeral homes in US are small family owned businesses, not focused on stockholder returns. Funeral professionals are caring for others with innovative ways to honor life lived given restrictions. There is much good that funeral professionals are doing.

Business Business Latest News, Business Business Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

How The Pandemic Is Killing The Death BusinessThe rising bodycount means lower revenues for the nation’s largest funeral home and cemetery owner. The novel coronavirus has already killed 200 people in Texas, hospital and ICU admissions are grimly ticking higher—but the Service Corporation International, America’s largest funeral home proprietor, is quieter than usual THEY MAKE IT UP IN VOLUME!! Only when a person lives will he do business...Coronavirus has made human life a hell...It is the duty of all of us to save the lives of humans first...Because humans are dying in many ways other than Coronavirus at this time...People has many problems..Which cannot be ignored.
Source: Forbes - 🏆 394. / 53 Read more »

How The Pandemic Is Killing The Death BusinessDeath is not a one-size-fits-all business. A simple cremation with a plain-Jane urn and no reception costs around $3,000. But an elaborate funeral with a big crowd, a mahogany casket, lavish flowers, and an ornate tombstone could run $20,000 or more give my body to science. it's free. and quasi-useful. if they really do science anymore anywhere... maybe people they should stop offering the tombstones and whatnot because why? hmmm, I lost more than that while divorcing my first husband but he and his family STILL want to have a decisive say against me in my NEW LIFE away from them, in fact in another country!
Source: Forbes - 🏆 394. / 53 Read more »

Forbes Firsthand: Critical Small Business Survival StrategiesThe nation’s 30 million small businesses are the backbone of the nation, employing nearly half of all Americans. Here are their stories, as they strive to survive: XVGWhaleReal DomainsVvs PROSOLUTIONS 🗝️
Source: Forbes - 🏆 394. / 53 Read more »