Has your business dabbled in the concrete tool industry? If not, maybe the mounting benefits will convince you to start.
Nearly every construction jobsite pours concrete in some capacity, which means nearly every jobsite needs concrete tools to help the job get done. If you aren’t offering concrete equipment rental, you’re missing out on an entire pool of customers. The construction market is using rentals at an increasing rate, and if customers aren’t renting or purchasing concrete tools from you, they’re getting them from your competitors. Don’t overlook this sector of the construction market that’s ready to sign on the dotted line.
Here's what it comes down to: The demand is there, the investment is worthwhile and rental programs can open up new customer segments while still building customer loyalty. These game-changing factors could benefit your business tremendously, but you won’t know how much until you try. Here's a look into why equipment providers are adding concrete tools to their rental offerings—and keeping them in the lineup.
The rising demand
The interest in rental equipment and tools is high and keeps growing as contractors experience firsthand the value and convenience rental brings to the table. Rental equipment now makes up more than 55 percent of contractor equipment fleets and that percentage is growing, according to research conducted by the American Rental Association. With rental gaining momentum, now is the time to add a dowel pin drill rental program. After all, the easiest way to rent a drill is to have it on hand. Whether you start with small tools or jump straight into the world of concrete drills, there’s a place for concrete equipment in your rental offering.
A smart investment
Products that have a high demand and generate a significant return on investment (ROI) are exactly what seasoned business owners like you are looking to invest in. Whether you’re a veteran rental company or a dealer kicking off a brand-new rental program, adding products is exciting and inspiring.
Larger pieces of machinery such as dowel pin drills come with a more substantial upfront investment, but you can set your rental rates to coincide with that. Concrete vibrators, on the other hand, are smaller, making them an easy entry point into concrete tool rental and are often paid off quickly, turning into pure profit for your business.
A rental program allows you to have more equipment consistently generating revenue whereas sales tend to be slower based on equipment lifecycles.
Customer loyalty
Only positive changes will occur in your customer relationships due to expanding your product lineup. The more you can say, “Yes, we have that,” the quicker you’ll become their go-to rental resource—and No. 1 partner.
Using a rental program is all about convenience, flexibility and often affordability. Contractors appreciate having a second option at their disposal when their tried-and-true machine breaks down or the ability to rent when they don’t currently own a piece of equipment they need. Rental is especially appealing to contractors because it takes items off their plates such as maintenance and repair costs as well as storage considerations. If you, their partner, have equipment available when they need it, you’ll likely get their business. From a contractor’s perspective, there’s no need to compare rental stores when all they need is a working machine that gets the job done.
New customer markets
Adding a product segment opens the door to a new set of customers, expanding your customer base and your safety net.
Rental opens the door for new customers who may not have the financing to buy new equipment. You’re allowing those just getting started in the concrete drilling business a way to control costs while accessing the equipment needed to complete their project. Avoiding the cost of ownership, of new or used equipment, is possible with rental. A rental program can also lead to future sales by allowing customers to learn how to properly operate equipment and test different features and options.
Optimizing ROI
Once you’ve checked off the first step of creating a new rental program or adding concrete drills and vibrators to an existing one, don’t forget about the second half of the equation—to optimize it well. To maximize logistics and program profitability, set a schedule for when each piece of equipment will need to be returned to your store. This allows your team to plan for maintenance in between rentals and schedule the next rental in advance. These steps will help you create a well-oiled machine and reach your ROI goals.
Another aspect of optimizing your program is ensuring your staff is well-versed in the new products so they can answer customer questions and inquiries with ease. Take advantage of the product training offered by equipment manufacturers and their knowledgeable staff to learn exactly how the equipment can fit your customers’ needs. Education and expertise are crucial to providing the best rental recommendations and building trust with customers over time.
The customer base is ready and waiting. So, are you ready to hit the ground running? It might be time for you to evaluate the pros and cons of adding concrete drills and vibrators as rental equipment, and all the ways it could amplify profits and attract new customers.
