Propane marketers diversify into home services

Source: Gray, Gray & Gray 2024 propane industry survey

Marty Kirshner, a partner and head of the Energy Practice Group at Gray, Gray & Gray, says he’s not surprised to see plumbing near the top of the new products or services propane retailers are considering in 2024.

“This is a great time for people in the propane space to diversify their portfolio of services to the homeowner, and plumbing and HVAC are some of the most natural next steps,” he says.

Propane marketers that are already skilled at servicing systems outside of the home tend to stop short of servicing systems inside of the home. Kirshner thinks those marketers are leaving revenue on the table.

Source: Gray, Gray & Gray 2024 propane industry survey

Higher costs, higher wages, a limited workforce, warm winters and anti-fossil fuel sentiment are among the business pressures that are driving marketers to diversify.

“I think the future of this industry is home service business,” says Kirshner. “Technology is evolving. Heating systems are evolving. Obviously, we’ll always have political pressures. So you want to have a business you can either cash in on or pass to the next generation, and what we’ve all learned is that continuing to just do what we’ve been doing only will get you so far.”

Read more: Industry survey: Propane retailers boost operational efficiency