What’s Eating Your Margins? (It’s Not Termites.)

How Pest Control Companies Are Staying Ahead in a Changing Industry

The pest control industry is changing fast, and not just because of shifting consumer expectations. Between AI-driven changes in how people search online, rising competition, and the growing importance of recurring revenue, owners are facing more pressure than ever to adapt.

According to IBISWorld, the U.S. pest control industry reached $25.4 billion in 2024, with more than 33,000 businesses competing for a share of that revenue. The good news? The demand is still there. Homeowners need your help, but they’re just finding it differently. The companies winning right now are the ones that know where to show up, how to earn trust fast, and how to turn one job into long-term revenue.

We sat down with two Scorpion leaders, Jamie Adams, Chief Revenue Officer, and Ryan Jump, Director of Business Growth for Pest Control, to talk about what’s shifting, what’s working, and what pest control companies should be focused on next.

Generative AI is choosing for your customers. Are you the one it recommends?

IBISWorld found many companies feel like "one of many" in a crowded space, competing on price, professionalism, and service quality. But that’s not the only thing pest control companies are up against.

Search is no longer just about showing up on page one. “In the age of generative AI, your business isn’t just competing for a spot on page one. You’re competing to be the answer,” says Jamie Adams.

That means your prospects may never even see your website unless your brand is one of the few AI recommendations in a response to a question like, “What’s the best pest control company near me?”

To compete in this new generative engine optimization (GEO) environment, pest control companies need:

• A search-friendly website with strong technical SEO
• Consistently updated, helpful content that focuses on eco-friendly treatments, rapid response times, family-owned service, and more
• A reputation of at least 4-star reviews to even be considered
• A brand presence across multiple channels, including social media and YouTube

“Today’s homeowners don’t want a list, they want a trusted answer,” Adams explains. If your online presence doesn’t clearly communicate your credibility, reliability, and expertise, you’ll be invisible to both AI and your ideal customer.

Recurring Revenue and Route Density Still Rule

While digital is essential, core pest control fundamentals still apply. The most successful companies are those that have built recurring revenue through maintenance plans. In fact, approximately 75% of revenue in the pest control industry is derived from recurring services. Companies are also focused on increased route density, which helps lower per-service costs and improve technician efficiency.

Scorpion supports these goals by aligning digital marketing strategies (including Google Local Services Ads) with where and how customers are searching. It uses AI to help you target high-value zip codes and repeat-service intent, so your online visibility matches your route goals.

Digital marketing shouldn’t replace your boots-on-the-ground strategy; it should make it stronger. Door-to-door still plays a role, but its limitations (like poor timing, low reach, or reputation risks) mean you need digital working alongside it, warming up neighborhoods before your reps ever knock. As Ryan Jump puts it: “Why wouldn’t you want to tap into every area you can?”

Combining digital marketing with field fundamentals like route density and service plans gives you a formula that scales without sacrificing profit. That’s where Scorpion can help. As Jump explains, “Incremental growth allows you to grow at scale. Where companies are now won’t get them to the next level.”

Most PCOs Still Struggle with ROI, Here’s What to Do

One of the biggest challenges in the industry is measuring what’s actually driving revenue.

1 in 4 home services operators report that channel attribution is a challenge.

If you’re unsure whether your ads are driving new treatments or your SEO is turning into recurring customers, you’re not alone. But that uncertainty comes at a cost: wasted ad spend, misaligned strategy, and lost opportunities.

That’s why Scorpion developed RevenueMAX, the only complete marketing solution that uses AI on your behalf to turn leads into revenue. It ties your marketing efforts directly to what's driving you the most value, then invests your budget into what's working for your business. “Too many PCOs are flying blind,” Jamie says. “RevenueMAX removes the guesswork.”

Fast Response Is the New Standard

IBISWorld highlights that referrals and word-of-mouth remain a significant source of new customers, which emphasizes the importance of maintaining a strong reputation and high service quality. Reputation is also mentioned as a competitive differentiator, particularly as companies compete not only on price but also on perceived professionalism and customer experience.

That reputation isn’t only built on the quality of your service, it starts the moment a potential customer reaches out. If you’re not responding to leads within minutes, you’re likely losing them.

“More than half of customers decide on a provider in under four hours,” Adams notes. “If your site can’t respond quickly, you’re losing business.”

That’s why tools like Scorpion Convert are critical to help pest control companies grow. Convert uses AI-powered Voice and Messaging Assistants to instantly respond to inquiries via phone, text, chat, and forms 24/7.

This ensures you:

• Never miss a lead, even after hours
• Automatically filter out spam
• Schedule appointments in real time
• Reduce manual tasks for your team

It’s not just about getting more leads. It’s about getting more revenue from the leads you’re already getting and providing a better customer experience.

Actionable Takeaways for Pest Control Owners

If you want to stay competitive, build a consistent revenue stream, and reduce marketing waste, here’s where to focus:

• Invest in a search-optimized digital presence: Your next customer may find you through an AI answer, not a Google list.
• Build trust through strong branding and reviews: A website alone isn’t enough. Today’s customer wants proof and they want it fast.

• Use AI to fill service gaps and convert leads instantly: Chatbots and AI assistants aren't just add-ons; they’re now essential tools.
• Track marketing by revenue, not vanity metrics: Page views and clicks (and even phone calls and forms) don’t matter if they don’t lead to booked jobs. Use data that ties directly to your bottom line.
• Combine digital and local tactics: Door-to-door, LSAs, and Google Ads all work better when backed by accurate targeting and consistent follow-up.

Let’s Talk About Real Growth

Thinking about adding another truck? Want more recurring customers on maintenance plans? Tired of wondering if your marketing is actually bringing in new treatments? We hear that every day.

Scorpion has helped pest control companies grow for over 20 years. Trusted across the industry, we deliver the solutions and reporting to show what’s working and where your revenue is coming from, then use that data to double down on what drives the results that matter: more treatments, more revenue, and stronger ROI.