ARA Survey States Rental Revenue Declining to COVID-19
March 20, 2020 - The effects of the coronavirus (COVID-19) are significantly impacting the equipment and event rental industry. According to a recent survey of the American Rental Association (ARA) membership, rental revenues are declining and are projected to significantly deteriorate in the coming months.
The survey results representing construction/industrial and general tool/DIY members indicate a lesser economic impact, albeit concerning. As of March 16, 37% have indicated no revenue loss, 32.92% are experiencing up to 15% revenue loss, and less than 3% reporting loss of more than 60% of rental revenue.
“This is a dire time for our industry. We’re putting the needs of our members in the rental community first. ARA and ARA Insurance have put initiatives in place to ease the financial stress on our members as it relates to membership dues and insurance premiums. Our goal is to continue assisting our members and keep them informed on resources that are available to help them manage through these unprecedented times,” says Tony Conant, ARA CEO.
Some rental operations have temporarily closed, but those that remain open indicate that they are taking every precaution to protect employees and customers by implementing recommendations from the Centers for Disease Control and Prevention (CDC), and extra cleaning and sanitizing of equipment. Many rental operations remain open in order to provide necessary equipment and services for customers that are continuing working.
ARA member surveys will be deployed weekly in effort to continually monitor the impact the virus, legislation, regulations, and social distancing are having on our industry. All industry employees are encouraged to join the ARA Coronavirus Discussion Group on Facebook to engage in discussion and understand how others are coping during this time. More information on coronavirus (COVID-19) can be found at ARArental.org.