20 Fun Statistics from the Construction Equipment Rental Industry

The rental industry is booming because the world is transitioning to sharing economy, where people tend to rent things rather than buy them paying the full price. 

In this article, we collected 20 fun statistics from the construction equipment rental industry to give you general knowledge about this industry and possibly guide you in the right direction if you are trying to start your own business in this segment or looking for ways to improve the existing rental business.

1. 84% of construction companies in the United States rent equipment instead of buying them. If you are planning to start a rental business, then construction equipment rental will be one of the good options.
2. The demand for hybrid and electric rental equipment is increasing due to environmental concerns. For example, 40% of United Rental’s purchases are of electric and hybrid equipment. And it is expected to go up. So, replenishing your rental inventory with low-emission equipment will be wholesome for your business.
3. The United States has the largest market share of the global equipment rental business. Its estimated market share is around $50 billion. The United States sounds like an excellent place to start an equipment rental business.
4. The global equipment rental businesses generate around $93 billion in revenues. The good news is that the trend is projected to increase after a dip caused by the coronavirus pandemic.
5. Rental construction equipment helps companies save about 30-50% of the total cost of ownership. It is a promising statistic showing the sustainable demand for construction equipment rentals.
6. The temporary heating and cooling equipment rental market is also in high demand in the United States. This segment is expected to generate $4.1 billion by 2024. If you start a portable AC and Heater rental business, you may generate good profit.
7. Most equipment rental businesses digitize their businesses to allow customers to book online and automate rental processes. For instance, rental software solutions like Reservety help businesses seamlessly transition to the online realm.
8. The average rental duration of construction equipment is two weeks. It is a motivational statistic as more extended rental periods create bigger profits.
9. The global statistics indicate that the global rental power-generating equipment market is expected to reach $21 billion by 2025. It is a good sign suggesting you must stock more generators, batteries, and other power-generating devices in your inventory.
10. The equipment rental industry is expected to grow at a CAGR of 4.9% until 2025. This statistic can truly motivate the global equipment rental businesses.
11. The largest equipment rental company in the world is United Rentals, which generates more than 7.2 billion euros per year.
12. The North American equipment market is twice as high as that of Europe. More specifically, the equipment rental market generates about $53 billion in annual revenues, while the equipment rental businesses in Europe generate around 25.2 billion euros.
13. The most highly rented equipment are aerial work platforms, generators, and earthmoving equipment. This statistic will give you an idea of what to include in your rental inventory.
14. Sweden, Norway, and Ireland have achieved the highest growth rate in Europe’s equipment rental market, over 10% each.
15. The global construction equipment rental market occupies the biggest share in the global equipment market, with a 50% market share.
16. Europe’s largest rental equipment and machinery provider is Loxam Group, which generates over 1.8 billion annually. If you want to start an equipment rental business in Europe, you can look at the company for inspiration.
17. Earthmoving equipment (e.g., loaders, excavators, bulldozers, trenchers, backhoe loaders, etc.) is the largest segment in the construction equipment rental industry, generating over $23 billion annually.
18. The highest growth in the equipment rental market, with a CAGR of 8%, is projected to take place in the Asia Pacific region due to the rapid urbanization and infrastructure development projects in China, India, and other countries in Southeast Asia.
19. The construction rental industry in the Middle East and Africa is also expected to grow by 5.8% in upcoming years because of large-scale projects like Neom City, Lusail City, and Saudi construction projects.
20. Statistics suggest that most construction companies rent equipment because of cost savings, access to newer technology, and flexibility.