Construction Market Outlook for 2024: GC Feedback on Technology Adoption, Labor Shortages & More

This article is sponsored by GCPay

The U.S. construction market for 2024 seems uncertain based on many leading indicators. In a survey, GCPay asked 120 GCs, specializing in commercial construction, what their 2023 project portfolio looked like and what they expect for 2024.

This report goes into detail on what 2023 produced and what changes GCs expect in 2024. In addition to the market outlook, learn about software technology challenges and what key trends are being experienced by many GCs.

Market Outlook

GCs have been paying close attention to industry reports as economists and market experts have alluded to an unknown forecast for construction projects. The year 2023 was the beginning of macro indicators that typically lead to a softer industry (interest rate increases, inflation, etc.) — with this, GCPay asked GCs to forecast project starts and delays for 2024.

According to the GCs that participated in the survey, 2023 wasn’t as bad as some predicted, and the forecast for 2024 remains similar (lack of growth or decline). Most participants mentioned a normal 2023 with regard to project starts and delays, and they anticipate the same levels continuing into 2024.

Subcontractor Challenges

GCPay asked questions related to subcontractor challenges that affected GC project management and payment processes. Even though only 39% of respondents indicated problems finding subcontractors, ongoing issues such as labor shortage and material availability remain issues that affect GC project management.

Additionally, 64% of respondents indicated that subcontractors created delays in projects due to labor shortages during 2023, and 62% of respondents indicated that subcontractors created project delays due to material shortages in 2023.

These issues continue to plague GCs in multiple sectors, and the expectation for 2024 is for them to remain.

Payment challenges related to subcontractor management included change orders for 54% of GCs that responded to the survey.

Software Technology Trends

GCPay also investigated software solutions and technology that helps GCs manage subcontractor management, including payments.

GCs have migrated to process automation via software technology significantly since COVID-19; when asked if the trend will continue, 62% of respondents mentioned that they are not likely to add more software technology in 2024.

Why Not?

Over 70% of respondents that mentioned no plans to add more software indicated that the reason is because they’ve already automated their processes in recent years and don’t want to add more technology to their suite of products.

One of the biggest takeaways from the survey results was the amount of GCs (65%) who admit to having software automation gaps and the amount that are unwilling to add more software at this time unless they can consolidate their existing product suite (75%).


Based on the results of this research, 2023 may have been a struggle for some GCs who saw a decrease in project starts, however, most respondents maintained start levels to 2022 and even forecast similar levels in 2024.

The results are generally more optimistic than some reports attempting to forecast 2024 indicate. However, software technology may have a steeper hill to climb in 2024, not due to GC need, but rather because focus has shifted to consolidating software applications before adding more fragmented services to product portfolios.

About the Author

Nick Overmann

Nick Overmann is a Product Marketing expert at GCPay, with over 15 years’ experience in the construction and payment industries. Nick is the head of market research with a keen understanding of general contractors’ needs and future technology trends for financial management.

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