Pawn Shops in the US - Industry Market Research Report

Pawn Shops in the US - Industry Market Research Report

Pawn Shops in the US

The Pawn Shops industry has performed poorly through the end of 2023. Prior to 2020, strong performance in the broader economy reduced demand for pawn loans from low-income consumers that experienced improvements in their financial positions. Consumers who fall below the poverty line represent the primary source of demand for pawn loans and when their number is reduced, pawn loan demand declines. While merchandise sales grew in line with rising consumers, the COVID-19 pandemic prompted large-scale fiscal programs by the federal government in 2020 and 2021, resulting in lower demand for pawn loans by low income consumers who lost their jobs or experienced reduced incomes otherwise. Also, reducing consumer spending in 2020 reduced demand for merchandise sales. Industry revenue has been shrinking at an annualized rate of 0.3% over the past five years and is expected to total $3.6 billion in 2023 when revenue will sink an estimated 4.9%.

Companies in this industry offer secured loans to individuals, who then provide items of personal property as collateral. These companies also retail used goods that are often acquired from unpaid loans or purchased directly from consumers.

This report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecasts, growth rates and an analysis of the industry key players and their market shares."