At IBISWorld, we’re committed to producing accurate and comprehensive industry reports. This article outlines the primary data sources and methodologies used to gather and estimate data for our Canada Industry Reports.

Our Canada Industry Reports are grounded in a robust foundation of data, primarily sourced from Statistics Canada, complemented by industry-specific resources and insights from trade associations, regulators and major companies operating within the industries we cover. Our in-house databases and information gathered from industry contacts also play a crucial role in developing our reports.

Statistics Canada serves as the cornerstone for our Industry Data table, found in the Key Statistics chapter of all industry reports. This data underpins numerous charts, including the Performance Snapshot, Business Concentration, Cost Structure Benchmarks and International Trade charts.

Our analysts utilize several key resources within Statistics Canada to gather different categories of data found in all industry reports.

Data for specific sectors is extracted from Statistics Canada surveys, including but not limited to:

We source data on specific industries within sectors from Statistics Canada surveys, including but not limited to:

In addition to the surveys from federal statistical agencies, we also leverage a range of other credible data providers to supplement our research. These include but are not limited to industry federations, regulators and industry and trade associations such as:

To enhance the depth and relevance of our reports, we analyze financial statements and media releases from major companies operating within the industries we cover. This data provides valuable real-time perspectives on company strategies, market dynamics and industry trends.

To estimate data in the years not covered by our sources, we employ a variety of methods depending on the industry, type of data and availability of data.

To fill gaps in Canadian industry data, our analysts employ strategic methods that leverage insights from comparable US industry reports. This approach allows us to create reliable and comprehensive data series, providing stakeholders with valuable information even when Canadian statistics are limited.

Data availability can be scarce in Canada's household furniture manufacturing industry. For example, the latest available enterprises data was recorded in 2019. To estimate more recent figures, our analysts utilize data from the analogous US industry (NAICS 33712). We begin by calculating the ratio of enterprises to establishments from the US data to establish a comparative baseline. By applying the growth rates of changes in enterprises relative to establishments observed in the US, we can extrapolate historical data for Canada. This method is further refined by using the number of industry-relevant establishments in Canada, ensuring precision in our estimates.

By integrating US data into Canadian forecasts, our analysts not only bridge information gaps but also empower stakeholders with the reliable data necessary to confidently navigate industry dynamics. This approach is the vital to our goal of providing stakeholders with valuable information, even when Canadian data is limited.

When complete annual data is unavailable, particularly for product and service segmentation, our analysts employ strategic approaches to uphold the thoroughness and accuracy of our industry insights. We effectively incorporate year-to-date figures and estimates to ensure stakeholders receive credible and actionable information.

In the Fertilizer Manufacturing industry in Canada, product and service segmentation relies on quarterly data from Statistics Canada’s Fertilizer Shipments Survey. While we aim to include full-year data when possible, we adapt by supplementing year-to-date information or using estimates based on year-to-date growth. This targeted focus is essential as quarterly data, if viewed in isolation, could misrepresent trends due to seasonal variations in fertilizer demand.

For NAICS 32531CA, our approach might involve using trailing twelve-month data, year-to-date figures or applying growth rates from recent data to extrapolate from the previous year’s segments. Our methods are carefully chosen to ensure accuracy, with each approach rooted in solid research, industry expertise and reliable analysis.

To estimate revenue for the years not reported by Statistics Canada, we calculate the percentage of revenue that accrues to wages during the reported years. Then, we apply a Compound Annual Growth Rate (CAGR) to estimate how this wage percentage changes over time. Once we have this estimated wage share, we can use the actual wage expenses each year to calculate total industry revenue by dividing wage expenses by the estimated wage share. This approach is commonly used across the construction sector.

Our analysts apply BED growth rates to the latest reported data to estimate recent unreported figures. Business Environment Drivers are external factors that influence industries' performance, growth and profitability. These drivers can include economic indicators, demographic trends and market-specific variables that provide valuable insights for forecasting industry trends.

The following example uses a US industry report. The same method is applied to relevant Canada Industry Reports.

The US Census provides market segmentation data for the construction industry for the years 2002, 2007 and 2012. To estimate more recent trends, analysts use various Business Environment Driver (BED) growth rates specific to different market segments within the Construction sector.

For residential construction markets, analysts apply the growth rates of the Value of Residential Construction (b221) to the 2012 data to estimate more current figures. In the industrial construction market, the Industrial Production Index (b106) is used to project growth. The municipal construction market is estimated using the growth rates of Local and State Government Investment (b222). For nonbuilding construction markets, analysts apply the growth rates of the Value of Private Nonresidential Construction (b223).

When estimating unreported data with this method, IBISWorld analysts use the 6-digit NAICs codes, or sub-industries, that the broader 5-digit NAICS code is comprised of. Analysts apply the growth rates of the 6-digit NAICS codes to granular segments (e.g., product lines) to estimate data for the broader 5-digit NAICS code.

The following example uses a US industry report. The same method is applied to relevant Canada Industry Reports.

The US Census provides annual product segmentation data for this industry until 2017. To estimate product-level data post-2017, we use the product segmentation data for the two 6-digit NAICS codes that this industry is comprised of: 333111 and 333112. We apply the growth rates of the 6-digit NAICS codes to their respective product lines to estimate the product segmentation data of the overarching 5-digit NAICS code (33311).

Analysts sometimes use the revenue growth rates of major companies to estimate unreported data, particularly in industries where a few companies dominate the market. By examining the performance of these key players, analysts can make educated assumptions about the industry's overall growth. This method can be especially useful when up-to-date or detailed data for the entire industry is not available.

The following example uses a US industry report. The same method is applied to relevant Canada Industry Reports.

In the Video Conferencing Software in the US industry, the top 5 companies account for more than 80.0% of the market. Due to this concentration, the financial performance of these major players significantly influences the industry as a whole. By analyzing the recent annual and quarterly reports of these leading companies, analysts can gain insight into the overall market dynamics.

For instance, if these top companies reported an average revenue growth of 5% over the past year, analysts might extrapolate this growth rate to estimate the industry's performance. This approach allows analysts to produce more accurate and timely estimates, even when comprehensive industry-wide data is not readily available.

Such an estimation method provides a pragmatic way to understand market trends, making it a valuable tool in the absence of complete data sets. However, analysts must consider any significant anomalies or external factors affecting the major companies to ensure their estimates remain as accurate as possible.

Analysts apply industry ratios of parent industries to estimate specific Key Statistics figures.

For any additional questions regarding IBISWorld’s Canadian data sources, please reach out to your Client Relationship Manager. If you’re not an IBISWorld member, please contact us to learn more about our membership options.