Why Buy When You Can Rent?

April 20, 2016

Rental equipment is a steadily growing market. There’s a trend towards renting vs. owning, which saves on both maintenance and insurance costs. The annual growth rate of the rental equipment market is estimated at 6-14% through 2016.

There are approximately 10,000 rental equipment yards in the United States and Canada. In all yards, the technician is either a decision maker or an influencer regarding who to buy from. Just like the automotive market, the rental yard technician has a background in mechanics. He has a number of tools at his disposal and all equipment runs through a specific check-in process. Maintenance is very important and any issues are swiftly addressed.

Gates has identified three main segments of the rental equipment market.

Construction Equipment:
These can be corporate-owned or independent. They cater to construction firms or contractors and their main goal is to utilize the equipment, typically for long-term projects.

General Tool: These can be independent or associated with hardware stores with rental yards. They cater to professional contractors and DIY-ers for short-term rentals. Their main goal centers around customer service, meaning it’s especially crucial to avoid equipment breakdowns. Maintenance is important, as yards tend to be using older equipment.

Hybrid: They cater to smaller construction firms, contractors, and DIY-ers. They are independent in smaller towns but also associate with hardware stores in larger towns. Their equipment inventory is similar to that of a large corporate yard but with less or on a smaller scale.

Why Gates?
Gates is an OE supplier of belts, tensioners and hydraulics to every major vehicle and equipment OEM. Gates’ replacement products are manufactured to OE specification to ensure the fit, performance and reliability you expect. Gates tends to be less expensive than the OE and Gates products are accessible via extensive distribution partners. We provide parts for a variety of equipment, such as: loaders, lifts, excavators, backhoes, graders, steers, and more!

Gates’ problem-solving product offerings:
Hydraulic Hose
MobileCrimp® 4-20 Crimper

Additional offerings for this market:
Hi-Power® II

Green Stripe®
Braided Diesel Return


Thermostats and Caps

Water Pumps


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