Equipment Rental Software Market Research Report and Outlook by 2028

The equipment rental software sector is projected to expand from US$ 266.78 billion in 2021 to US$ 430.61 million by 2028, reflecting a compound annual growth rate (CAGR) of 7.1% during the period from 2021 to 2028.

The growth trajectory of the equipment rental software sector in North America is significantly influenced by the rising integration of advanced technologies such as big data, artificial intelligence (AI), and machine learning (ML). Key factors propelling market expansion in this region include the increasing demand for data protection, expedited disaster recovery (DR) solutions, and adherence to regulatory standards. Furthermore, the quest for risk mitigation, enhanced scalability and flexibility in data management, streamlined storage solutions, and improved operational efficiency is driving the demand for equipment rental software.

Trade agreements are recognized as a primary strategy for North American exporters aiming to penetrate foreign markets. The United States currently maintains 14 active trade agreements with 20 nations, including NAFTA and CAFTA-DR. The USMCA, which came into effect on July 1, 2020, in Canada and Mexico, further supports the growth of various sectors such as manufacturing, construction, healthcare, mining, transportation, and consumer electronics. Recent statistics from the US Census Bureau reveal that the US goods trade deficit reached a record high of $1.09 trillion in 2021, marking an increase of $168.7 billion (18.3%) compared to the previous year. Alongside favorable trade policies, the North American equipment rental software market is also being driven by the adoption of innovative technologies like IoT and AI, as well as the swift adoption of cloud computing solutions.

The Asia-Pacific (APAC) market for equipment rental software is rapidly transforming, spurred by various governmental initiatives such as Digital India, alongside a surge in digitization and heightened competition among both small and large enterprises. The logistics sector in APAC is experiencing significant growth, which in turn is expanding fleet management services. Many industries are focused on maximizing output while minimizing costs, prompting them to adopt equipment rental software solutions. Retailers and equipment rental management firms face substantial operational costs related to fleet management, making them eager to utilize the tracking and inventory management capabilities provided by equipment rental software vendors. By employing GPS tracking, rental companies can oversee all equipment through their software. The integration of real-time key performance indicators (KPIs) with GPS mapping enables organizations to make informed strategic decisions based on equipment utilization, travel distances, freight costs, and other critical metrics, thereby enhancing their competitive advantage.

Effects of the COVID-19 Pandemic on the European Equipment Rental Software Market

Europe, particularly countries like Russia and the UK, faced considerable economic challenges due to the COVID-19 pandemic, which adversely affected numerous sectors, including construction. Business closures, travel limitations, and disruptions in supply chains led to a revenue decline across the region during 2020-2021. The construction sector was particularly impacted, experiencing a notable reduction in activity as construction sites were halted and the availability of safety equipment and personnel diminished. As a result, the equipment rental software market in Europe saw an unexpected downturn in 2020. However, a gradual recovery began in 2021, with expectations for normalization to start by 2022.

The equipment rental software market is divided into two main segments based on components: software and services, with the software segment leading the market in 2021. The market is further categorized by deployment into cloud-based and on-premise solutions, with the cloud segment capturing a larger share in 2021. Additionally, the market is segmented by organization size into small and medium enterprises (SMEs) and large enterprises, with large enterprises holding a greater market share in 2021. End-user segmentation includes manufacturing, construction, transportation, and others, with the construction sector dominating the market in 2021. Geographically, the equipment rental software market is segmented into North America, Europe, Asia Pacific (APAC), the Middle East & Africa (MEA), and South America (SAM), with North America leading in market share in 2021.

The size of the equipment rental software market has been established through a thorough research methodology that incorporates both primary and secondary sources. The research process commenced with extensive secondary research utilizing both internal and external resources to collect qualitative and quantitative data relevant to the market. This approach aimed to provide a comprehensive overview and forecast of the equipment rental software market across all segments, including the five major regions: North America, Europe, Asia Pacific, Middle East & Africa, and South America. To enhance analytical insights and validate the data, primary interviews were conducted with industry stakeholders such as VPs, business development managers, market intelligence managers, national sales managers, as well as external consultants, including valuation experts, research analysts, and key opinion leaders specializing in the equipment rental software market.

Key players in the equipment rental software market include 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.