From smart homes to microgrids, the electrical industry continues to evolve to become more sustainable and tech-focused. This evolution affects everything from the services electricians offer to the solutions they use to run their businesses.
To offer the best solutions to homeowners and commercial customers, an electrical company must be up to date on industry trends and technological advances. Spark your electrical contracting construction industry knowledge by brushing up on these electrical industry trends for 2025.
Trend #1: Smart Buildings (and Cities) are Rising
Smart homes and the Internet of Things (IoT) aren’t going anywhere. In fact, technology is only becoming more affordable and accessible. Electricians will see residential and commercial clients request more smart installations of digital technologies, such as:
Connected doorbells
Smart alarm systems
Voice-activated home controls
Smart outlets
Additionally, 5G’s higher performance and improved efficiency is expected to allow for more smart cities. In smart cities, the integration of technology and data work together to improve the connectivity, quality of life, sustainability, and efficiency of urban areas.
Bryan Lefever, the sales manager at Streamline Electric in Detroit, has only seen the smart home and smart cities trend grow in the last few years. Lately, his electrical business has seen a large demand for residential electric vehicle charging stations, smart panels and motion sensors for laundry rooms, basements, bedrooms and circuit breakers.
“Now you can control your light, your circuit breakers—just about everything in your home with your (smart device),” Lefever said. “(The customer) is able to see their energy consumption.”
Trend #2: Prefabrication is Growing
With a growing demand for residential construction projects in developing regions, the modular and prefabrication construction market continues to grow, thanks to its ability to lower cost, waste, and site disturbances.
“Materials are cheap and labor is expensive,” Lefever said. “Anything you can do to reduce time on the job site is best.”
In a controlled environment like an office, warehouse or prefabrication station, you can accomplish work before you arrive on an electrical construction site. For example, Streamline is working on a 16-story Detroit high-rise project where around 90% was prefabbed, including the 16th floor, which was built and wired at ground-level.
“Something like this is the way of the future,” Lefever said. “If you're not doing prefabrication, you're behind the times.”
Trend #3: Contractors are Leveraging SaaS Solutions
Electrical contractors are leveraging SaaS solutions to grow their businesses and streamline their operations. So what is SaaS? It stands for software as a service, and it allows users to connect to cloud-based apps on the internet—apps like ServiceTitan.
A SaaS option like ServiceTitan allows electrical contractors in residential, commercial and construction to automate:
Streamline selected ServiceTitan as their SaaS solution. And they haven’t looked back since.
“We've built our company around ServiceTitan and its capabilities, and it has helped us grow and has also set us up for future growth. Without software, we would be pen and paper trying to set up business plans and expectations,” Lefever said. “Having ServiceTitan truly set us up in a way that we would not be able to grow without it.”
Trend #4: Building Information Modelling (BIM) is on the Rise
Building information modeling (BIM) is a trend so new that many in the electrical industry haven’t heard of it yet. BIM plays a crucial role in the design, project management coordination, and fabrication of modular components. It allows for the creation of 3D models that contain information about the building's components, systems, and construction processes.
During new construction, BIM models help detect clashes among various building systems, such as electrical, plumbing, and HVAC, early in the design stage. By identifying clashes before fabrication, electricians can make modifications to ensure the smooth integration of systems within the prefabricated modules.
Electricians can use BIM to enhance their electrical services in several ways, including:
Collaboration: BIM helps electricians work with architects, engineers, and other trades in the BIM environment to ensure accurate placement and routing of electrical systems.
Layout: Electricians utilize BIM to plan the optimal placement of switches, fixtures, outlets, and other electrical equipment.
Quantity takeoff: With BIM modeling, electricians can more accurately estimate the required quantities of project materials.
Trend #5: Contractors are Expanding in the Digital World
Electrical contractors are leveraging digital marketing to expand inon the digital world and attract new customers.
Digital marketing methods like PPC (pay per click), email marketing, SEO, direct mail and advertising are trends that are only growing in popularity.
ServiceTitan’s Home Services Marketing Software provides data-driven marketing solutions that help you attract, convert, and retain customers while offering valuable insights into the performance of your campaigns. You can track ROI on every campaign, see where your ads are working, create trackable phone numbers and more.
ServiceTitan Marketing Pro is for those looking for a leg-up on their competition. The all-in-one marketing automation solution for the trades leverages customer data and supercharges your contracting business with more calls, booked jobs and higher customer spend with features like:
Streamline Electric in Detroit loves Marketing Pro. That’s because, instead of the painstaking manual follow-ups and reaching out to new and existing customers to offer discounts, Marketing Pro allows Streamline to automatically follow up and generate opportunities with customers via email and direct mail.
“We've gotten a lot of people email (us) back saying, ‘You know what, I do want to schedule this work,” Tim Leonard, Streamline’s CEO, said. “I really like that automated (aspect).”
Trend #6: PPE is Leveling Up
Electricians have always worn PPE, such as insulated gloves, hard hats, work boots, and flame retardant clothing, to protect themselves from hazards associated with electrical work. And who could forget the protective masks worn during the pandemic?
But as the electrical industry changes, so has its PPE requirements.
One of the first steps in safety, Lefever explained, is a general awareness. “The electrical panel hasn't really had too many advances in the last 100 years. But now with relays and all sorts of ethernet lines coming into the electric panel, it looks a lot different,” he said. “You need to be aware of what people are working on and the potential safety hazards.”
For instance, Lefever highlighted the different voltages in electric vehicles as one concern. He also detailed a brand new phenomenon in the industry: electricians installing solar panels on roofs.
“Typically, an electrician is never stepping on a roof. Now, we need to have proper harnesses, hard hats, tie-off points, proper ladders, and proper lifts,” he said. “The industry is changing. We have to adapt to those changes, and so does our safety equipment.”
Trend #7: Microgrids are on the Rise
A microgrid is a local electrical grid that has the ability to operate independently or in collaboration with other small power grids.
Microgrids offer increased energy efficiency, as they rely on renewable energy sources of power generation, like solar panels or wind turbines. “So if there’s a power loss, solar is producing power for the home,” Lefever said. “It's also recharging the battery system, essentially creating an independent microgrid.”
Lefever thinks energy-saving microgrids are the way of the future, and that backup generators will be a thing of the past.
“Within the next 10 years, we're going to see a large percentage of homes with microgrids on them.”
Trend #8: Consumers Need Smarter Payment Options
Today’s consumers prefer smarter and more convenient payment options—and fewer lost and wrinkled receipts. Easy payments also means closing deals faster.
ServiceTitan’s Payments allows users to get paid faster—from anywhere. Get paid in the field, in the office, or online. Streamline your shop’s most time-consuming accounting tasks with ServiceTitan Payments.
“It's lean,” said Carmen Carbone, Chief Operating Officer at Kasper Electric. “I used to handle the collection calls. Within the first two months of using ServiceTitan’s Payment feature, I saw over a 50% reduction in outstanding invoices.”
If customers prefer a financing option, look no further than the ServiceTitan Finance feature. ServiceTitan Finance keeps your company’s biggest jobs moving forward. It makes it easier for customers and clients to apply for financing and receive instant approval right in ServiceTitan Mobile with an easy presentation, automatic calculations and customizable rules.
Trend #9: Personalized Experiences Matter
Today’s electrical customers and clients expect a superb experience. Many times, a great customer experience and first impression differentiates a business from its competitors and creates loyal, happy customers.
ServiceTitan’s Customer Experience feature allows you to send appointment reminders and alert customers that you’re en route. It even provides technician bios via SMS text so customers know what (and who) to expect when your truck arrives.
“The customer already knows that I’m coming and I’m not just a stranger walking up to their door,” Lefever said. “(And with technician bios), they've already had an introduction to me, which is great because they greet me and they go, ‘Hey, Bryan, how's it going?’”
To Sum Things Up
From the rise of smart buildings and cities to the growing popularity of prefabrication and the integration of SaaS solutions, electricians need to stay up to date with industry growth and advancements to remain competitive in the market.
In addition to the electrical trends listed above, ServiceTitan provides electrical industry news, tips, and tricks in our blog articles, podcast episodes, and webinars. By embracing trends and leveraging the latest tools and new technologies, electrical contractors can position themselves for success and meet the evolving demands of their clients.
ServiceTitan is a comprehensive business software solution built to help electrical companies streamline their operations, boost revenue, and achieve growth. Our award-winning, cloud-based platform is trusted by more than 100,000+ contractors across the country.
