According to the latest market research study on “Equipment Rental Software Market Forecast to 2028 - COVID-19 Impact and Global Analysis - by Component, Deployment, Organization Size, and End User,” the market is projected to reach US$ 430.61 million by 2028 from US$ 266.78 million in 2021; it is expected to grow at a CAGR of 7.1% from 2021 to 2028.
Internet of Things (IoT) is producing a massive amount of data that can transform the rental industry. Organizations may work efficiently, better understand their processes, and gain profits by utilizing these data. The application of analytical tools makes IoT data more potent for business flourishment. The insights obtained from these analyses can be used for predictive analysis, ensuring that maintenance is completed before the occurrence of a defect. Companies can forecast when equipment needs to be maintained through data analysis, revolutionizing asset management. Maintenance is usually dictated by time or use. To ensure that equipment is in good working order, rental businesses adhere to the OEM's maintenance schedules. However, if companies can predict when equipment needs to be serviced, they may save money on wasteful early maintenance, thereby enhancing usage and attaining greater overall efficiency. Thus, the use of IoT and predictive analytics is likely to emerge as a significant trend in the equipment rental software market by complementing its growth.
The expansion in the number of public infrastructure projects in Italy, Germany, and France, such as airports and railways, is propelling the regional construction sector forward. The expanding number of building operations in these regions is driving the demand for construction equipment rental services. For instance, in March 2019, the Milan Bergamo airport in Italy proposed a US$ 503.09 million investment for its growth plan until 2030. The investment will fund the airport's expansion, including the enlargement of the terminal and the development of new facilities. Such factors are expected to impact the growth of rental services and cumbersome machinery, expanding the equipment rental software market.
Similarly, WeShare announced its development intentions in seven more cities across Europe in January 2020. WeShare intends to operate an electric car fleet of 8,400 vehicles in Prague, Hamburg, Madrid, Paris, Munich, and Budapest. WeShare cooperates with Skoda in Prague and Budapest, while Volkswagen is scheduled to deliver e-Golf1 and other vehicles in Germany, Spain, Italy, and France. As a result, many rental service companies turn to digital solutions to manage their operations and business efficiently, resulting in equipment rental software market growth.
The rapid development in the construction sector across APAC is propelling the equipment rental software market growth. Due to the rising construction and infrastructure transformation projects across all industrial verticals, the construction sector in India, China, and other Asia Pacific countries is booming. For instance, Pune Metro Rail, Navi Mumbai International Airport, Delhi Mumbai Industrial Corridor, Charanka Solar Park, and Chenab River Railway Bridge are a few of the important projects now underway in India's construction industry. These reasons and the requirement for efficient construction machinery at lower prices in small and large infrastructure projects are driving the demand for rental equipment, thereby leading to equipment rental software market growth. Similarly, in China, ongoing mega projects necessitate the relocation of a large amount of machinery and materials from one region of the country to another. Many construction devices are likely to be used on the Tianhuangping hydroelectric project, the South-North water transfer project, the Belt and Road Initiative, and the Beijing airport. In 2019, China's fixed-asset infrastructure development grew at a monthly average of 5.3%. Excavator sales in China increased by 25% in 2019, indicating an increase in construction activity. As a result, the growing number of infrastructure development projects across APAC is expected to fuel the growth of the construction equipment rental business during the forecast period, resulting in the equipment rental software market expansion.
The global equipment rental software market is assessed on four fronts: Component, deployment, organization size, end user. Based on component, the equipment rental software market is segmented into software and services. Based on deployment, the equipment rental software market is segmented into on-premise and cloud. Based on organization size, the equipment rental software market is segmented into SMEs and large enterprises. Based on end user, the equipment rental software market is segmented into manufacturing, construction, medical, mining, transportation, consumer electronics, and others.
Reasons to Buy
Rising Use of IoT and Predictive Analysis Drives Equipment Rental Software Market Growth
Internet of Things (IoT) is producing a massive amount of data that can transform the rental industry. Organizations may work efficiently, better understand their processes, and gain profits by utilizing these data. The application of analytical tools makes IoT data more potent for business flourishment. The insights obtained from these analyses can be used for predictive analysis, ensuring that maintenance is completed before the occurrence of a defect. Companies can forecast when equipment needs to be maintained through data analysis, revolutionizing asset management. Maintenance is usually dictated by time or use. To ensure that equipment is in good working order, rental businesses adhere to the OEM's maintenance schedules. However, if companies can predict when equipment needs to be serviced, they may save money on wasteful early maintenance, thereby enhancing usage and attaining greater overall efficiency. Thus, the use of IoT and predictive analytics is likely to emerge as a significant trend in the equipment rental software market by complementing its growth.
The expansion in the number of public infrastructure projects in Italy, Germany, and France, such as airports and railways, is propelling the regional construction sector forward. The expanding number of building operations in these regions is driving the demand for construction equipment rental services. For instance, in March 2019, the Milan Bergamo airport in Italy proposed a US$ 503.09 million investment for its growth plan until 2030. The investment will fund the airport's expansion, including the enlargement of the terminal and the development of new facilities. Such factors are expected to impact the growth of rental services and cumbersome machinery, expanding the equipment rental software market.
Similarly, WeShare announced its development intentions in seven more cities across Europe in January 2020. WeShare intends to operate an electric car fleet of 8,400 vehicles in Prague, Hamburg, Madrid, Paris, Munich, and Budapest. WeShare cooperates with Skoda in Prague and Budapest, while Volkswagen is scheduled to deliver e-Golf1 and other vehicles in Germany, Spain, Italy, and France. As a result, many rental service companies turn to digital solutions to manage their operations and business efficiently, resulting in equipment rental software market growth.
The rapid development in the construction sector across APAC is propelling the equipment rental software market growth. Due to the rising construction and infrastructure transformation projects across all industrial verticals, the construction sector in India, China, and other Asia Pacific countries is booming. For instance, Pune Metro Rail, Navi Mumbai International Airport, Delhi Mumbai Industrial Corridor, Charanka Solar Park, and Chenab River Railway Bridge are a few of the important projects now underway in India's construction industry. These reasons and the requirement for efficient construction machinery at lower prices in small and large infrastructure projects are driving the demand for rental equipment, thereby leading to equipment rental software market growth. Similarly, in China, ongoing mega projects necessitate the relocation of a large amount of machinery and materials from one region of the country to another. Many construction devices are likely to be used on the Tianhuangping hydroelectric project, the South-North water transfer project, the Belt and Road Initiative, and the Beijing airport. In 2019, China's fixed-asset infrastructure development grew at a monthly average of 5.3%. Excavator sales in China increased by 25% in 2019, indicating an increase in construction activity. As a result, the growing number of infrastructure development projects across APAC is expected to fuel the growth of the construction equipment rental business during the forecast period, resulting in the equipment rental software market expansion.
Key Findings of Study:
The global equipment rental software market is assessed on four fronts: Component, deployment, organization size, end user. Based on component, the equipment rental software market is segmented into software and services. Based on deployment, the equipment rental software market is segmented into on-premise and cloud. Based on organization size, the equipment rental software market is segmented into SMEs and large enterprises. Based on end user, the equipment rental software market is segmented into manufacturing, construction, medical, mining, transportation, consumer electronics, and others.
Reasons to Buy
- Save and reduce time carrying out entry-level research by identifying the growth, size, leading players and segments in the global equipment rental software market
- Highlights key business priorities in order to assist companies to realign their business strategies
- The key findings and recommendations highlight crucial progressive industry trends in the global equipment rental software market, thereby allowing players across the value chain to develop effective long-term strategies
- Develop/modify business expansion plans by using substantial growth offering developed and emerging markets
- Scrutinize in-depth global market trends and outlook coupled with the factors driving the market, as well as those hindering it
- Enhance the decision-making process by understanding the strategies that underpin commercial interest with respect to client products, segmentation, pricing and distribution
Table of Contents
1. Introduction
3. Research Methodology
4. Equipment Rental Software Market Landscape
5. Equipment Rental Software Market - Key Market Dynamics
6. Equipment Rental Software Market -Regional Analysis
7. Equipment Rental Software Market Analysis - By Component
8. Equipment Rental Software Market - By Deployment
9. Equipment Rental Software Market - By Organization Size
10. Equipment Rental Software Market - By End Users
11. Equipment Rental Software Market - Geographic Analysis
12. Equipment Rental Software Market- COVID-19 Impact Analysis
13. Industry Landscape
14. Company Profiles
15. Appendix
List of Tables
List of Figures
Executive Summary
The equipment rental software market is expected to grow from US$ 266.78 billion in 2021 to US$ 430.61 million by 2028; it is estimated to grow at a CAGR of 7.1% during 2021-2028.Emerging technologies, such as big data, artificial intelligence (AI), and machine learning (ML), are gaining significant traction, aiding the equipment rental software market growth. The North America equipment rental software market growth is driven by several factors, such as data security, faster Disaster Recovery (DR), and meeting compliance requirements. The need to mitigate risks, achieve scalability and flexibility in moving and storing data, reduce storage and infrastructure complexities, and increase business efficiency are also fueling the demand for equipment rental software in the region.
In North America, trade agreements are one of the best ways to open up foreign markets to exporters. The US has 14 agreements in force with 20 countries, such as the Central American Free Trade Agreement (CAFTA-DR) and North American Free Trade Agreement (NAFTA). In Canada and Mexico, United States-Mexico-Canada Agreement (USMCA) came into force on July 1, 2020. These free trade policies in the North America support the growth of various industries, such as manufacturing, construction, medical, mining, transportation, and consumer electronics. For instance, according to new US Census Bureau data, the US goods trade deficit reached a record US$ 1.09 trillion in 2021, increasing US$ 168.7 billion (18.3%) from the 2020 trade deficit. Favorable policies and emerging technologies, such as IoT and AI, and the rapid uptake of cloud computing are driving the growth of the North America equipment rental software market.
The APAC equipment rental software market is developing rapidly. Several government initiatives, such as Digital India, and rising digitization and competition have led many small and large enterprises to take up the digital business model to gain competitive advantages. In APAC, fleet management services are proliferating with the growth in the logistic industry. Many industry verticals are targeting maximum output at a minimum cost. Thus, they are inclined toward equipment rental software. For retailers and equipment rental management, the cost incurred on fleets holds a large portion of the company's operating expenses. Organizations benefit from robust tracking and inventory management tools provided by players in the equipment rental software market. For instance, dealerships and rental companies can see every piece of equipment in their software through GPS tracking. Organizations gain a competitive advantage by allowing executives to make strategic decisions based on equipment usage, travel time and distance, freight cost, and more using real-time KPIs integrated with GPS mapping
Impact of COVID-19 Pandemic on Europe equipment rental software Market
Russia was the hardest-hit country by the COVID-19 outbreak in Europe, followed by the UK. Most European countries are expected to suffer an economic hit due to a lack of revenue from various industries. The countries recorded the highest number of COVID-19 cases and deaths in the past years. Due to business lockdowns, travel bans, and supply chain disruptions, the region faced a substantial economic setback during 2020–2021.
The construction industry in Europe experienced one of the steepest declines in activities after the pandemic shut down construction sites and hampered the supply of safety equipment and personnel. The decline in building activity in the region has directly impacted Europe's rental equipment industry. The rental equipment software market saw an unexpected drop in 2020 due to a decline in construction. However, a moderate recovery was seen in 2021, and normalization is predicted to begin by 2022.
Based on component, the equipment rental software market is segmented into software and services. In 2021, the software segment led the market with a larger share. Based on deployment, the market is bifurcated into cloud and on-premise. In 2021, the cloud segment accounted for a larger market share. Based on organization size, the equipment rental software market is segmented into small and medium enterprises (SMEs) and large enterprise. In 2021, the large enterprises segment accounted for a larger market share. Based on end users, the market is segmented into manufacturing, construction, transportation, and others. In 2021, the construction segment accounted for the largest market share. By geography, the equipment rental software market is segmented into North America, Europe, Asia Pacific (APAC), the Middle East & Africa (MEA), and South America (SAM). In 2021, North America accounted for the largest share in the market.
The equipment rental software market size has been derived using both primary and secondary sources. To begin the research process, exhaustive secondary research has been conducted using internal and external sources to obtain qualitative and quantitative information related to the market. The process also serves the purpose of obtaining an overview and forecast for the equipment rental software market with respect to all the segments. It also provides the overview and forecast for the market based on all the segmentation provided with respect to five major regions—North America, Europe, Asia Pacific, Middle East & Africa, and South America. Also, primary interviews were conducted with industry participants to validate data and gain more analytical insights. The participants of this process include industry experts such as VPs, business development managers, market intelligence managers, national sales managers, along with external consultants such as valuation experts, research analysts, and key opinion leaders, specializing in the equipment rental software market.
BCS ProSoft, LLC; Booqable.com; eSUB, Inc.; EZRentOut; HQ Rental Software; inspHire Ltd.; MCS Global Ltd.; Orion Software Inc.; Point of Rental; and Wynne Systems are among the key companies operating in the equipment rental software market.
Companies Mentioned
- Bcs Prosoft, LLC
- Booqable
- Esub Inc.
- Ezrentout
- Hq Rental Software
- Insphire Ltd.
- Mcs Global Ltd.
- Orion Software Inc.
- Point-Of-Rental
- Wynne Systems
Table Information
Report Attribute | Details |
---|---|
No. of Pages | 177 |
Published | March 2022 |
Forecast Period | 2021 - 2028 |
Estimated Market Value ( USD | $ 266.78 Million |
Forecasted Market Value ( USD | $ 430.61 Million |
Compound Annual Growth Rate | 7.1% |
Regions Covered | Global |
No. of Companies Mentioned | 10 |