The rental industry exploded in 2019 and according to Rental Management Magazine 2020 is looking to the positive side too.
The equipment and event rental industry in North America is expected to finish the year with total revenue up 5.35 percent to $61.56 billion, the first time combined rental revenue for Canada and the United States has surpassed $60 billion, according to the latest forecast released by the American Rental Association (ARA).
The latest updated figures, released Nov. 7, show rental revenue in the U.S. forecasted to be $56.02 billion in 2019, with Canada generating $5.54 billion in revenue from rentals of construction and industrial, general tool, and party and event equipment.
The five-year forecast calls for continued growth with U.S. rental revenue in 2023 reaching $64.1 billion and Canada at $6.35 billion.
Although the outlook calls for slightly slower growth rates than the previous quarterly forecast in August, the industry continues to outpace the general economy in the U.S. where gross domestic product (GDP) growth slowed from a 3.1 percent annual growth rate in the first quarter to 2.0 percent in the second quarter. The third-quarter GDP growth estimate is 1.9 percent.
According to the full report in December’s issue, Steve Mau reports, “As we look toward 2020, it is safe to say we are cautiously optimistic.” We are excited to start another amazing year and can’t wait to help the rental industry grow!
Be sure to read his entire report on the construction outlook, as well as, corresponding reports on general tool and event outlooks.