Read Larry Kaye's White Paper on OEM/distributor rental strategies

By Murray Pollok26 July 2012

IRN is making available as a free download a White Paper on OEM distribution strategies by experienced rental consultant Larry Kaye.

Mr Kaye, who has worked both as an equipment dealer and a consultant on rental start-ups for more than 20 years, argues in the paper that equipment manufacturers and distributors need to consider a proper rental strategy.

Either click on the 'Related Files' box below right to start the download, or click here to download directly to your Desktop.

He says that distributors will face difficulties if they rely on the traditional model of new sales, parts and service and used equipment sales. To attract investment, distributors need to diversify into rental to make their businesses more profitable and more attractive to inward investment.

"If the [traditional] business model was really profitable, investors would be lined up."

Mr Kaye says distributors who do enter the rental market need to include it in a marketing strategy; "A dealer's rental revenue will not evolve much past 12-15% of overall sales unless it is a strategic platform of the company. This requires vision, capitalisation and implementation."

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