Funeral home executives reported modest or flat revenues despite raising their prices an average of 12 percent during the last year, according to a recent survey by Citrin Cooperman.
The accounting firm, which has an office in White Plains, released the results of its annual survey last week.
“We believe the increases in pricing reflects a pricing correction as funeral home executives come to grips with the service costs associated with low-margin services such as direct cremations and immediate burials,” said Ed Horton, partner-in-charge of the Funeral Industry Services practice at Citrin Cooperman. “In the past, the industry has been slow to raise prices, instead attempting to control or cut overhead costs. You can only cut overhead costs so much before risking a diminished quality of service. Funeral homes are still sensitive to cost issues, but there”™s a better understanding that previous pricing structures had eroded profits to the point that threatened many funeral homes”™ ability to stay in business.”
Citrin Cooperman annually surveys funeral home owners and directors primarily in the Northeast, and this year polled more than 230 respondents primarily from New York, New Jersey, Pennsylvania and Connecticut.
