The rental industry is growing in the European construction market. One of the reasons behind this growth is that customers have a better understanding of the advantages of using rental equipment.
They can save money by using rental services and have access to modern and technologically advanced equipment. It also provides flexibility and implies less capital expenditure.
Rental offers customers more choice, while mitigating the costs associated with ownership, which can now feel like more of a burden, in terms of cost and maintenance.
Prior to the COVID-19 pandemic, contractors were already looking for ways to work more efficiently and with greater flexibility. This will no doubt intensify when it comes to recovery from the expected economic slowdown.
Many will be looking to return to job sites quickly and win new tenders. However, they may not be in a financial position to immediately invest in new machines.
Flexibility will continue to be an issue for contractors. As the outbreak has proved, the construction market can change rapidly and they need to be able to react quickly to unforeseen situations, avoid unexpected losses and protect their businesses.
The second challenge faced by contractors is compliance to increasingly stringent emissions regulations. To meet these targets, contractors will be required to use the most technologically advanced machines.
Lowering the risk
Hitachi Construction Machinery (Europe) NV’s response to the growth in demand for rental construction equipment was to introduce a rent-to-rent programme. It rents new Hitachi excavators, wheel loaders and mining equipment to its dealers, for them to then rent to customers.
The Hitachi rental concept provides a risk-sharing opportunity, which is particularly advantageous during economic downturns. Renting equipment not only means greater options for customers, but also an enhanced experience and service.
This helps to reduce the burden of ownership, providing peace of mind that running costs are fixed, and machines are well maintained and serviced for maximum availability.
By providing a wide range of equipment, rental allows customers to choose the right machine for the job, which maximises efficiency. Maintenance is particularly relevant, given that rental machines are the most technologically advanced available, ensuring a high performance with the lowest emissions.
Rental also increases the utilisation rate of each item of equipment, therefore decreasing the amount of idle machinery and reducing energy consumption. In view of the climate crisis, rental also offers an affordable and convenient opportunity to significantly cut carbon emissions.