Industry experts expect the equipment rental industry to outperform the general economy.
Today’s economy magnifies the benefits of renting equipment, and many contractors have started exploring the rental option as the construction industry recovers.
A shift to renting equipment in North America has begun as some construction businesses see the advantages of the fixed cost of renting, which also covers maintenance, storage and delivery.
As a result, the equipment rental industry has outperformed the general economy and the industries it served in 2011, and this should happen again in 2012. Overall, IHS Global Insight, the economic forecasting firm based in Lexington, Mass., has projected total rental revenue in North America to grow by 5.2 percent in 2012 to reach nearly $30 billion, including three industry segments—construction and industrial, general tool, and party and event.
“In the long run, total rental revenue in North America is expected to continue its expansion, reaching $45.9 billion in 2015,” IHS Global Insight states in its November 2011 update to the ARA Rental Market Monitor, a subscription-only service provided by the American Rental Association (ARA) and Rental Management.
