ARA Publishes State of the Rental Industry Report

March 10, 2009 – The American Rental Association released the “2008 State of the Equipment Rental Industry” report last week at The Rental Show in Atlanta, Ga. The report marks the fourth year ARA and economic forecasting firm IHS Global Insight have partnered to produce this research document. Content in the report allows those involved in the equipment rental industry to better understand the dynamics that take place within the business, the association said, including identifying the influential economic factors outside the industry and future drivers for each industry segment.

 

According to the report, the total size of the North American rental market was $38.3 billion in 2008 ($35.3 billion in the United States and $3 billion in Canada). In the United States, the construction and industrial equipment rental segment remained the largest in 2008 with rental revenues of $24.5 billion, of 69.4 percent, of the total U.S. rental market. General tool rental revenue was $8.4 billion, or 23.8 percent, and party and event accounted for $2.4 billion, or 6.8 percent. Construction and industrial equipment also remained the largest equipment rental revenue segment in Canada, accounting for $2.2 billion, or 73 percent, of the market.

 

U.S. rental revenues fell 2.7 percent in 2008; according to the report, this performance was significantly better than the broad U.S. construction market. While the report states that further declines are likely in 2009 and 2010, it forecasts rental revenue growth in 2011 and total revenues in 2012 that equal or exceed the 2007 market peak.

 

The full report is available to ARA members for $495 and $1,195 for non members.