Economic Outlook 2021 – Member Survey Results

Each year, the Chamber partners with the Federal Reserve Bank of Philadelphia to take a pulse of the region’s business community through a survey of Chamber members. The survey asks Chamber members to offer a perspective on the region’s economic competitiveness and the issues that will affect the business community in the coming year. The survey, now in its 11th year, was conducted in December 2020 and polled 85 Chamber members.

While many respondents expect 2021 to yield slightly better business conditions than 2020, nearly 62% of the respondents believe that the pandemic will further decrease their sales or revenues this year.

Many respondents also experienced increased wage and benefit costs (45%) as well as increased capital expenditures (36%) in 2020. Additionally, most respondents expect these same costs to increase even further in 2021.

When asked about the most important problems currently facing their businesses, the respondents identified labor availability and firm solvency due to the pandemic and poor sales. 

The survey is released in conjuncture with the Chamber’s Annual Economic Outlook program, presented in partnership with Firstrust Bank. The program was held virtually January 13 and featured conversations between Joseph Davis, Vanguard’s Global Chief Economist, interviewed by Timothy J. Abell, President, Firstrust Bank and Patrick Harker, President of the Federal Reserve Bank of Philadelphia, interviewed by Madeline Bell, President and CEO, Children’s Hospital of Philadelphia. 

In our annual survey with the Federal Reserve Bank of Philadelphia, Chamber members reported that business conditions deteriorated in 2020 but they expect conditions to improve in 2021.