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          1. Consumer Product Rental Industry Profile

            Report Page Length: 10-12
            Last Quarterly Update: 8/18/2020
            SIC Codes: 7299, 7352, 7359, 7841, 7999
            NAICS Codes: 5322
            Chapters Include:
            Industry Overview Trends & Challenges Industry Forecast
            Quarterly Industry Update Call Prep Questions Website & Media Links
            Business Challenges Financial Information Glossary & Acronyms
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            Excerpt from Consumer Product Rental Industry Profile

            Companies in this industry rent personal and household goods, primarily for short periods but also under longer-term arrangements. Major companies include Aaron's, Redbox, and Rent-A-Center (all in the US), along with CinemaParadiso (UK), Furlenco (India), Furniture Leasing Corporation (Germany), Home Essentials (Hong Kong), and TSUTAYA (Japan).

            The global rental and leasing industry has focused on emerging economies for expansion. China is an important market for rentals because of the growth of disposable income among the middle class. Other emerging markets include the Middle East, India, Brazil, and Eastern Europe.

            In the US, the consumer product rental industry includes about 20,000 establishments (single-location companies and units of multi-location companies) with combined annual revenue of about $20 billion. Examples of products rented by companies in the industry include consumer electronics and appliances, DVDs, formal wear, home health equipment, and recreational goods.

            COMPETITIVE LANDSCAPE

            Demand is driven by personal income. The profitability of individual companies depends on the right merchandise mix and inventory financing costs. Large companies have advantages in economies of scale in purchasing, distribution, and advertising. Small companies compete effectively by providing superior customer service and catering to local demographics. About 85% of companies have fewer than 10 employees. The US industry is concentrated: the largest 50 companies account for about 70% of industry revenue.

            PRODUCTS, OPERATIONS & TECHNOLOGY

            Major rental product categories include DVDs, home health equipment, furniture, and consumer electronics and appliances. Other products rented include formal ...

             
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