Rentokil Survey: Pests Costs U.S. Businesses $6.8 Billion In Operating Costs

The company released new research findings revealing the significant impact of pests on business operations — from cost increases and loss of revenue to productivity and closure.


READING, Pa. — Rentokil North America today released research highlighting the threats posed by pests to businesses in the U.S. The report, commissioned by Rentokil Initial, and produced by the Centre for Economics and Business Research (Cebr), found that U.S. businesses incurred an increase of $6.8 billion in their operating costs in 2014 as a direct result of pest infestations on business premises, and a loss of revenue of $13.2 billion.  

The report, conducted by research agency Opinion Matters, was based on responses from over 200 decision makers from companies across the U.S. The study found that a staggering 90 percent of all businesses surveyed suffered at least one pest infestation in the past five years. With a pest infestation occurring on average just under three (2.8) times over that period, this equates to one infestation every 20 months.
 
Twenty-five percent of those businesses suffering a pest infestation incurred increased maintenance and repair costs, while between 10 percent and 18 percent reported replacement costs due to damaged equipment, materials or finished goods. Fewer than one in four companies (24 percent) were able to report no increase in business costs. Additionally, 36 percent of respondents indicated that the infestation had a negative impact on staff morale.
 
While the study highlighted the wider economic ramifications, the research also revealed how the impact of pests on business operations extended beyond financial terms. U.S. businesses stated key concerns relating to pest infestation also include the loss of reputation (65 percent) and risk of compensation claims and fines (66 percent).
 
“Pests don’t discriminate, so any size or type of business operating worldwide can be vulnerable and become prone to pests, experiencing damaging—and costly—consequences, as this study indicates,” said Randolph Carter, vice president of marketing for Rentokil North America.  “While an infestation may not cause the complete closure of a business, it certainly causes a host of disruptions, from maintenance and repair expense, to replacement of stock due to the contamination of raw materials and ingredients, and lowered staff morale. A structured approach to pest management is critical to avoiding these issues and reducing the likelihood of an infestation.” 
 
Proactive Recommendations 
In light of this study, businesses should put plans in place to suppress the risk of pest infestation. Rentokil North America recommends taking the following four steps as a proactive approach to pest management across any commercial environment:
 
1. Exclusion—minimize opportunities for entry, blocking gaps, proofing doors, windows and open areas, in order to halt entry into critical business areas.
 
2. Restriction—pest knowledge and training for staff in order to limit access to food and areas attractive to pests within businesses.
 
3. Destruction—includes innovative, effective solutions to eradicate existing infestations effectively and efficiently by professionally trained pest control technicians.
 
4. Monitoring—ensure regular checks for early warning signs of pest activity to enable a quick reaction to signs of activity, so that the impact on the business is kept to a minimum and halted as soon as possible.
 
Access these reports at http://impactus.rentokilna.com/.