ARA survey finds growing rental confidence
By Murray Pollok01 February 2011
The latest quarterly economic survey by the American Rental Association (ARA) reveals that more than 80% of North American rental managers and owners expect 2011 to be a much better year than 2010.
More than a third of respondents expect revenue growth of 10% or more this year, while another 46% expect single digit growth. ARA said the results showed "a growing optimism for a significant rebound in 2011".
The survey also shows that that 2010 was a difficult year for many rental companies in North America, with almost 30% reporting declines in revenues. Around half of respondents said revenues increased in 2010. Just 4% expect a drop in revenues in 2011.
The findings on capital expenditures plans are also more positive than last year, with nearly 70% of respondents expecting to spend more on new equipment in 2011, which ARA said was a significant increase over last year. More than 83% of associate ARA members (mainly suppliers of equipment) expect increased sales to rental, with slightly more than half expecting double-digit increases.
"Clearly ARA members are more optimistic about 2011 and have a positive mindset," said Christine Wehrman, ARA's executive vice president and chief executive officer. "This underscores the importance of The Rental Show in Las Vegas. The timing is right for solidifying the buyer and seller connections, learning how to further promote the rental concept and taking advantage of tax benefits.
"Rental companies can benchmark their businesses against these survey results and The Rental Show also provides a great opportunity for attendees to validate the survey results by visiting with other rental operators and exhibitors," Wehrman says.
The Rental Show is scheduled for Feb. 27-March 2, 2011, at the Mandalay Bay Convention Center in Las Vegas, Nevada.