By: Dianne Crocker, LightBox research director and Alan Agadoni, senior VP, LightBox EDR
With market uncertainty intensifying with the second quarter well underway, up to be a year where agility matters more than ever. Environmental consultants are facing a new wave of political, economic, and market uncertainty—and the difference between firms that thrive and those that struggle will come down to proactive strategy, not luck.
At the Environmental Bankers Association winter conference earlier this year, a survey of due diligence professionals showed that while only 5% felt fully bullish about the near-term market, 67% were cautiously optimistic. With inflation, interest rate pressure, and federal policy shifts clouding the outlook, firms need to stay nimble and intentional to stay ahead.
Which of the following best characterizes your view of the near-term market forecast?
Questions linger around federal policy shifts that could affect labor markets, inflation, economic growth, and spending. In volatile times like these, the difference between businesses that thrive and those that struggle comes down to strategy and how well managers lead their staff to adapt to change and respond to market shifts.
If you’re wondering how to keep your business strong and resilient during these uncertain times, you are not alone. The good news? You have more control than you think. As Michael Watkins wrote in The 6 Disciplines of Strategic Thinking, “It’s about being intentional and disciplined in how you allocate your attention and resources.”
Here are five practical strategies environmental consultants can use now to navigate uncertainty, deepen client trust, make smart investments, and build long-term resilience.
1. Deepen Client Relationships Through Proactive Engagement
In uncertain markets, loyal clients are one of the most valuable assets a firm can cultivate. Strengthen relationships by offering curated insights, reconnecting with clients who may have paused projects, and providing value without always asking for work. Consistent, thoughtful contact builds trust and reinforces your role as a strategic partner.
Loyalty-building efforts such as exclusive briefings or early access to new services can further reinforce trust. Consulting is inherently relationship-driven—your ability to stay top-of-mind with helpful, tailored touchpoints will set you apart. Consistent, thoughtful contact fosters credibility and strengthens the perception of your firm as a partner, not just a vendor.
2. Stay Agile and Diversify Service Lines
Firms that are too concentrated in a single client type or sector face greater vulnerability—especially when economic conditions are unpredictable. Firms that proactively broaden their service offerings and monitor market signals are better positioned to weather uncertainty and capitalize on growth opportunities.
In 2024, environmental consultants saw mixed performance across sectors. Firms working in climate resilience, energy transition, and infrastructure benefited from federal investment, while those tied to commercial real estate felt the strain of still-high interest rates and reduced activity. Looking ahead, firms must closely track both federal and state policy changes, as regulatory drivers may decentralize, shifting opportunities regionally.
Some markets have strong regulatory drivers while others have favorable underlying business fundamentals. The individual performance of any firm will depend on the mix of clients and their relative sensitivity to ebbs and flows in the CRE market, geographic areas of operation, and diversity of clients in public versus private markets. To stay ahead, firms should explore growing service lines—such as PFAS risk management or climate risk mitigation—and assess where client demand is evolving. Encourage project managers to identify emerging needs and redirect internal resources to higher-performing segments. Balancing public and private sector work and expanding into markets with strong regulatory or funding backstops can reduce exposure to downturns.
“2025 is ‘the year of the pivot.’ It can feel like a game of ‘whack-a-mole’ as one client or service line weakens and another strengthens. As a manager, I’m training our staff to learn how to redirect resources as market demand shifts.”
– Dale M. Allison, National Market Director, TRC
The key is to act early, stay agile, and focus on the strongest markets for your services.
3. Embrace Technology to Drive Efficiency and Innovation
For environmental consulting firms, adopting digital tools and AI-enabled solutions offers powerful ways to improve operations, enhance client services, and stay competitive in uncertain markets.
Start by examining your internal workflows: What tasks are particularly labor- or time-intensive? Which manual processes are ripe for automation? Engaging staff in these questions can uncover valuable opportunities for efficiency gains. Automating repetitive tasks, accelerating document review, and using predictive analytics are just a few examples of how AI and digital platforms are transforming traditional workflows.
Large language models like ChatGPT have made AI accessible, acting as virtual assistants capable of drafting reports, synthesizing large data sets, and accelerating communication. These tools not only improve productivity but also free up your team to focus on higher-value, strategic work.
Technology is also a powerful magnet for talent. Younger professionals expect to work in tech-forward environments where innovation is encouraged. Firms that invest in digital infrastructure, such as GIS portals or AI-driven data platforms, signal to both clients and employees that they’re future-ready. Clients, too, are demanding faster turnaround and more responsive decision-making. Firms with strong data management and AI capabilities will be better positioned to meet these expectations, offering near real-time insights and differentiated service delivery. Embracing a strategy rooted in technology-driven tools will allow your firm to be more efficient, forward-thinking, and attractive to top talent.
4. Lean Into Your “Why”
Now is the time to reinforce what sets your firm apart. Whether it’s technical expertise, niche market specialization, or exceptional responsiveness, your differentiators should be deeply understood across your team and clearly communicated to clients and prospects. A strong, consistent message strengthens reputation and client loyalty.
5. Prioritize Proactive Business Development
Firms can no longer afford to be passive. Success in 2025 will require intentional outreach, thought leadership, and staying alert to emerging client needs. Staff at all levels should be encouraged to think entrepreneurially and seek out new opportunities.
Lead with Confidence, Not Concern
The good news? Many environmental consultants are entering 2025 with strong project pipelines and renewed momentum—an encouraging shift from last year’s challenging market.
By focusing on what makes your firm unique, strengthening client relationships, exploring new markets, and embracing technology, you can position your team for resilience and growth. Stay focused, stay proactive, and remember: Now is not the time to worry—it’s the time to lean in, embrace new opportunities, adopt cutting-edge technology, and lead with intention. Follow Watkins’ advice, and you’ll not only weather uncertainty—you’ll thrive in challenging times!
NOTE TO READERS
This blog is an excerpt from the Inside the Industry column authored by Dianne Crocker, LightBox’s research director, and Alan Agadoni, senior VP, LightBox EDR published monthly by the Air & Waste Management Association in its EM magazine. The column covers a mix of timely business, strategic, and technical topics impacting the world of environmental management.
The full article appears in the April 2025 issue of EM Magazine, a copyrighted publication of the Air & Waste Management Association (www.awma.org), and is accessible in its entirety here in the full-issue PDF that can be downloaded and printed, or via AWMA’s online, interactive EM flipbook.
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